More efficient system for pension deductions pushed

DIGOS CITY—Retirees from the police service and those nearing their retirement age here have expressed support to proposals to automatically deduct their loan payments from their pensions under a program called Automatic Pension Deduction System (APDS).

This, they say, would make it easier for them to pay their loans and prevent failure to pay, whether inadvertently or not, from resulting in the accumulation of their dues.

“That would be a great relief,” retired Senior Supt. Carmelita Tugade said.

Senior Police Officer 3 Edwin Lasquite, of the Hagonoy, Davao del Sur police office, said retirees who had secured their loans from other financial institutions and providers had to use their ATM cards as collateral because their loan payments are not being deducted from their pensions.

So each pension month, they are burdened with going to the loan provider to get their share of their pension, he said.

The proposal to implement APDS, similar to a system currently in use in the military, was raised by retired Philippine National Police personnel in a statement addressed to PNP Director General Alan Purisima.

“The immediate implementation (of APDS) will forestall the adverse effects of nondeduction of monthly loan amortization from pensions,” the statement said.

The pensioners said the system is also in line with provisions of existing laws authorizing those disbursing pensions or payments to men in uniform to deduct payments for loans from pensions or wages.

The police pensioners said while their pensions are released without delay under the current PNP leadership, they may incur penalties and surcharges as a result of the nondeduction of loan payments.

Records showed that most of the loans obtained by PNP retirees are for small-scale business and livelihood projects, educational and medical expenses.

Retired Col. Ricardo Nolasco Jr., board president of Air Materiel Wing Savings and Loan Association Inc. (AMWSLAI), said AMWSLAI also wrote to PNP to pursue the request for the APDS.

“It would be prudent and in the best interest of the PNP pensioners if the request for APDS would be granted and implemented immediately,” Nolasco said.

He said APDS would be more convenient for pensioners. Orlando Dinoy, Inquirer Mindanao