Signing of clearance in Mindanao State University – Iligan Institute of Technology (MSU – IIT) is done manually and takes one week to finish. The existing process of signing of clearance is very long, time-consuming and tiring. It is somewhat unnecessary for a student to do the whole process while he or she has no accountability. Instead, the students that do not have uncleared liabilities will simply ask for a certification certifying that they are already cleared from liabilities. So, the researchers decided to create a system that will automate the process of signing of clearance by making an Online Clearance System that is capable of showing the destinations of each student where they have liabilities. The researchers used PHP as the language for development and PostgreSQL as the back-end database. The work of the faculty, staff and students will be greatly reduced since signing of clearance is already automated and unnecessary processes are eliminated.