Commutation Loan


Only to retirees from the Philippine Navy who are AFPSLAI members.


  • The maximum amount that can be borrowed is equal to half of the anticipated commutation revenues.
  • One (1) year is the maximum loan duration, and payment is due when commutation proceeds are received.


  • Loan Application Form and Promissory Note Completed
  • One (1) 1×1 ID photo, both an AFPSLAI ID and a Service ID


  • Commutation of Leave Order and Monetization of Leave Credits, validated by OTNA
  • Statement of Service authenticated copy (from PNFC)
  • A Statement of Last Payment (from PNFC)
  • LBP Payroll Account Photocopy (readable account number)
  • If married, a valid ID for the spouse (Marriage Contract required if spouse is not a member of AFPSLAI)

NOTE: Special Power of Attorney form will be provided by the Branch Office for Notarization of the member-borrower.


Monthly payment
Total overpayment


To find out how much your loan’s interest will be:

  • Enter the loan amount you desire.
  • Choose the length of time you want your loan to be amortized.
  • To find out your monthly amortization, click “COMPUTE,” and to clear entries, click “RESET.”

Please be aware that the above calculation is only indicative. For the precise information, contact us or come to the AFPSLAI branch that is closest to you.


Borrower provides LAF and specifications.

  • The loan specialist moves on with the processing of the loan (new or renewal) if the provided papers meet all the requirements.
  • After the loan has been approved, the borrower goes to the releasing or telling section to arrange for the release of the loan funds into cash, a savings deposit account (SD-02), or a remittance facility.
  • The loan funds are given to the borrower.
  • Loan Release is signed by the borrower.


I am no longer in the military. Am I still a member of AFPSLAI?

If your Capital Contribution Account (CCA) deposit does not fall below Php 1,000, you have maintained excellent credit standing, you update your membership at least once every three (3) years, and you haven’t canceled your membership with AFPSLAI, then yes, you are still a member of the organization.

I am a Muslim member’s legitimate wife. Since my husband’s ex-wife is already a member (recommended by my husband), do I still have the opportunity to join as an Associate Member?

Every married member has the option of endorsing their spouse as an Associate Member, although a Regular Muslim member may only select one of his wives to do so.

What are the various normal fees for AFPSLAI?

The following fees are frequently incurred:

  • ID replacement – Php 100
  • Passbook replacement – Php 50
  • Certificate of Deposit – Php 100
  • Check Cancellation Fee – Php 200

Due to my disability, I was unable to write. How can my signature be updated?

When a new SSC is created, you can attach your thumb mark in the presence of a normal AFPSLAI employee. A medical document attesting to your inability to write is required to substantiate this.

Can an Associate Member revoke their membership independently?

Yes, As long as the account holder is single and without the primary member’s permission.

EDA stands for Expected Dividend Advance.

The EDA facility was established by AFPSLAI to take into account the needs of our members who depend on their quarterly dividend payments. This service allows the members to receive in advance their projected dividends on a quarterly basis, which are scheduled to be released one time after the calendar year.

When will EDA be made available?

Every fourth Monday of the month starting after the conclusion of the quarter, EDA will be released.

Why do I not receive dividends?

For accounts with a maintaining balance of less than Php 1,000 and for members with past due loans, there is no dividend. Only when the member’s loan is current are dividends paid out.

Why is anything “tax-free”?

Withholding taxes and income taxes are not applied to the profits and interest paid on deposits. If your dividend is Php 100, for instance, you will get the full amount as interest on your deposit.

Why is there a Loan Offsetting (LOS) line in my passbook?

You can inquire with our Loans staff about this if your passbook contains a LOS entry. A LOS entry indicates that you might not have fully amortized your loan each month, that you might have a past-due loan, or that you might owe money.

Can I conduct business with AFPSLAI Branch Offices other than the one where I first created an account?

You can, indeed. Transacting with any of our 21 branches won’t be an issue because the AFPSLAI information network operates on a real-time basis. Any of our more than 50 Extension Offices is available for business transactions. When you conduct business with other branches, we don’t charge you anything either.

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