Loans on assignment of the fifth of the salary

Here are the news related to the Transfer of the fifth Government Agency directly from the Social Institute management ex Government Agency 2018/2019. See http://www.nagolovu.com/long-term-installment-loans-bad-credit-direct-lenders/ for an illustration

The assignment of the fifth Government Agency is dedicated to employees of state, public or para-public bodies and companies.
For employees of public administrations or state bodies and for Government Agency pensioners, the assignment of the fifth is an opportunity that has innumerable advantages compared to all other forms of loans.

How the assignment of the fifth works

How the assignment of the fifth works

The assignment of a fifth of the Government Agency salary or pension is a formula for accessing credit which is based on the retention upstream of the fifth part of the paycheck or the pension check.

In this way, the beneficiary does not have to worry about not forgetting the reimbursement and has the possibility to request a loan even if it is registered in the list of bad payers or protests (the granting of loans against assignment of the fifth does not include checking the databases ).

Duration and repayment plan

Duration and repayment plan

When calculating fifth assignment of the pension or salary it is also necessary to consider the duration, which cannot exceed 120 months. In the case of pensioners of particularly old age, the maximum duration can be reduced to 60 months.

Another important aspect to take into account is the presence of a fixed rate for the entire duration of the loan and lower than the anti-usury threshold. We conclude by recalling that among the advantages of the loan against the assignment of one fifth of the salary or pension there is the possibility of using it even if you are registered on the lists of bad payers or protesters (the disbursement is not subordinate to the control of the databases).

Since this is a non-finalized loan, it is not expected to present an expense voucher.

Loan disbursement

How long does it take to disburse loans on the sale of the fifth Government Agency? In the most complicated cases it can be expected even 2/3 weeks. In general, it is difficult to go beyond the working week after the loan beneficiary signs the contract.

As mentioned earlier, everything depends on factors such as the possible presence of agreements between the Social Institute and the reality chosen by the worker or the pensioner, but also on the policy of a specific Social Institute office (some release the communication of the amount transferable on sight, others instead, they require waiting a few days for the document to be sent).

Loans for bad payers

Loans for bad payers

In any case, it is important to remember that the loan against assignment of one-fifth of the pension is a very advantageous formula for accessing credit, which allows you to request loans repayable immediately, through the reduction upstream of the monthly installment. Another advantage of this loan is the ability to apply for funding even if you are registered on the list of bad payers or protested.

The news in force since January 2020

How have loans changed in 2020? A question that interests many Italians looking for a financing solution. The main changes concern the sale of the fifth Government Agency 2020, which saw the entry into force of new rules on rates and the provision of credit to pensioners.

Indeed, the threshold rates relating to the Taeg to be applied to loans on the sale of one fifth of the pension have been updated. On 5 January, Social Institute announced that, following the decree of 21 December 2015, the Ministry of Economy indicated the new global average effective rates (TEGM) which banks and financial intermediaries will have to comply with from 1 January to 31 March. 2019.

What to know about the transfer of the fifth of the pension

What to know about the transfer of the fifth of the pension

To deepen the issue of the transfer of the fifth Government Agency rate, we can take the example of the loan against the transfer of the fifth of the pension and call into question the threshold rates just mentioned.

For a pensioner under the age of 59 who applies for a loan against the transfer of one fifth of the pension of less than $ 5,000, it is necessary to consider the 9.09% threshold rate.

If, on the other hand, the loan exceeds $ 5,000, the threshold rate drops to 8.71%. Let’s take another example and frame the case of the pensioner between the ages of 60 and 69, who requires a loan against the transfer of a fifth of an entity of less than $ 5,000 (in this case the threshold rate corresponds to 10.69%, 10, 31 if the figure exceeds $ 5,000).

The last age group to consider is 70-79. In the case of a loan against a loan less than or equal to $ 5,000, the threshold rate is 13.29%, a percentage that drops to 12.91 if the loan exceeds $ 5,000.

Interest rates

We summarize the transfer rates for the fifth 2020 relating to loans disbursed directly by Social Institute to public employees and pensioners registered in the unitary management of credit and social benefits.

We are talking about the following products:

  • Small Public Management Loan : nominal annual rate of 4.25%;
  • Public Management direct multi-year loan : rate 3.50%;
  • Social Institute mortgages : fixed rate 2.95%, variable rate corresponding to the 6-month Euribor increased by 200 basis points.

Loan simulation

Loan simulation

Finally, remember that those who wish to orient themselves better in the offer of loans on the sale of the fifth Government Agency can take advantage of the web application for simulating loans.

The service allows you to choose between three calculation methods:

  • Loan simulation;
  • Simulation for ideal installment;
  • Simulation for specific amount.

Once the simulation mode has been selected, simply enter the required data in the appropriate calculation form and start the loan simulation. The system will propose all the subsidized loans accessible to the applicant, taking into account the data entered.

Those who wish to carry out personalized simulations of loans on the sale of the fifth Government Agency can use a special service on the official Social Institute portal, which allows to know in detail the loans accessible to Social Institute members. The service in question draws on the data in the Social Institute databases and allows you to know all the details of the loan.

Loan with a term of 120 months – which bank grants it?

Nowadays, taking out a loan for an urgent purchase or the fulfillment of a wish is completely normal. A large number of prospective creditors would like a loan to have the longest possible term of 10 years in some cases. Interested parties do not consider that the loan can be very expensive. In addition, only a few lenders offer a 120-month loan. As a rule, the normal loan offers are up to seven years and some are also offered for eight years. If you actually want a loan with a term of 120 months, you won’t find many providers. Here the providers could become more in the future, because the demand is relatively high.

Why is a loan with a term of 120 months chosen?

Why is a loan with a term of 120 months chosen?

Regardless of whether it is a large or a small sum, the loan with a term of 120 months is very popular. Most importantly, the monthly installments are low because the amount of the loan is divided into several months. The long term gives consumers the opportunity to afford something more expensive because the installments are still affordable. However, lenders are also demanding something for this benefit.

The processing fee will be around three percent and due to the increased credit default risk, interest premiums must be expected. So if you look closely at a loan with a term of 120 months, you will find that this loan is expensive and risky. With every loan, future income is planned and the longer the loan term is chosen, the higher the risk. No one can say today what his salary will be in seven to nine years.

What about a long term with a consumer loan?

What about a long term with a consumer loan?

If you take out a consumer loan, you should keep the loan term rather short. It is best to choose a term that is as short as possible and the loan amount can often be reduced. However, if you do not stray from the long runtime, you will have to search a bit on the Internet. Then of course a borrower has to expect the increased borrowing costs.

A prospective customer can contact reputable credit intermediaries such as Von credit, because they advertise with long terms. Anyone who engages a credit broker must note that there are additional costs. If a loan is brokered, a commission is due. This commission is then apportioned to the monthly loan installments. Otherwise, a cheap provider can be found online in the loan comparison.

How do you get an installment loan without private credit checker?

Today there are various loan offers on the financial market. Installment loans are particularly popular. Installment loans are no longer only offered in their original form. In the meantime, you can also benefit from an installment loan without private credit checker. The installment loan without private credit checker was developed as an alternative to the conventional installment loan.

The big difference to a conventional loan product is that no private credit checker information is obtained, the installment loan without private credit checker is granted without a credit check from private credit checker. This is a key benefit. Above all, people with poor or limited credit ratings can still benefit from an installment loan with an installment loan without private credit checker.

Installment loan without private credit checker – credit check

Installment loan without private credit checker - credit check

Contrary to the expectations of many consumers, even without private credit checker, credit cannot do without a credit check. In the case of a loan without private credit checker, the creditworthiness check is carried out using internal bank checking tools. The banks and credit institutions examine the potential borrower for collateral, income and expenditure. Thanks to the extensive credit check, the banks can offer an installment loan without private credit checker, without having to expect a higher credit default risk. In addition to the difference in the credit check, there are no further differences. As a borrower, even with a loan without private credit checker, you can set up the term almost at your own discretion.

Many banks grant any amount of credit and free use. In practice, installment loans are repaid in installments without private credit checker. The installment repayment offers the borrower a constant liquidity burden, while the banks can benefit from a high level of security. Since the installment repayment can minimize the credit default risk, installment loans without private credit checker are only slightly more expensive than conventional installment loans.

Installment loan without private credit checker – make comparisons

Installment loan without private credit checker - make comparisons

If you want to take out a loan, you should definitely make a comparison. The loan comparison of loans without private credit checker can be realized on the Internet today. The comparison on the Internet is free, fast, easy and anonymous. A loan calculator often helps to make an objective comparison. The credit calculator offers the consumer the chance to make a comparison taking individual information into account.

In a loan comparison, one can take into account an individual term, any loan amount and a form of repayment. By comparing with individual information, you can get an accurate comparison result. The low comparative effort can help to significantly reduce interest costs.

The permanent loan: Loan is not a gift!

The permanent loan is a very interesting topic in many ways. Who owns the works of art in museums? What are the obligations associated with it? Lawyer Korina Perry provides information in the art law blog.

 

Why a permanent loan?

Why a permanent loan?

“The art is long! And our life is short!” This saying of Goethe’s created character in the world-famous play Faust aptly describes why works of art are permanently lent to a third party, be it a museum or a gallery.

In order to clarify the interests of a permanent loan in contrast to the short-term loan of a work of art, one has to deal with the participants.

Works of art have their price. Most museums use state funding. There is often a lack of collections or works of art to display changing exhibitions. The purchase or purchase of collections or individual works of art can be a financial problem.

Art wants to be seen; she wants you to deal with it and forms the basis for discussion. The best way to do this is to create a space in which the discussion can unfold publicly.

 

What is a permanent loan in legal terms?

permanent loan in legal terms?

The permanent loan is a legal term, but it is not found anywhere in the law. It is used today to make it clear that the lender leaves the time of return open when the artwork is handed over to a third party. The lender, however, always remains the owner of the artwork and can request it back from the hirer.

 

What are the special features of a permanent loan?

permanent loan

The basis of the permanent loan is a loan contract.

When the term long-term loan is legally fulfilled has not yet been precisely defined. It is generally recognized that this is a long-term loan, the end of which is deliberately kept open between the parties. In principle, the distributor can reclaim the artwork at any time.

As with all contracts, the so-called principle of private autonomy also applies to long-term loans. After that, everything can be agreed, unless the law prohibits it. Taking into account the interests of those involved in long-term loans is therefore always a question of the individual case and requires careful and deliberate design of the underlying contracts, in the best case by a specialist.

If you have any questions about the subject of art law, please contact us. The Perry & Partner law firm will be happy to help you!

Cheap loan for civil servants – read here

 

Because of their secure income, civil servants are given more favorable terms when lending than other workers. A cheap loan for civil servants is characterized above all by low interest rates and long terms.

This results in moderate monthly installments for the borrower even with larger loan amounts. A cheap loan is offered to officials from various banks and insurance companies.

What is a cheap loan for civil servants?

What is a cheap loan for civil servants?

In addition to civil servants, such a loan can also be given to employees who have been in the public service for a long time. Depending on the provider, loan amounts between USD 10,000 and USD 100,000 are offered. The amount of credit that is possible depends on the monthly income of the borrower.

The long terms of between 12 and 20 years are particularly advantageous. The interest rates are significantly lower than for comparable loans. For most providers, this depends on the amount of credit required and the term chosen. The loan is paid out for free use. However, no further loans may exist in addition to the official loan.

Anyone who has already taken out a loan must repay it with the official loan.

How is a cheap official loan repaid?

How is a cheap official loan repaid?

 

The official loan is repaid through a life insurance policy. The sum insured and the term of the life insurance correspond to the official loan. While the interest is paid monthly to the lending provider, the repayment is made via the life insurance contributions.

As soon as the term of the life insurance has ended, the loan is repaid in full in one sum. In the event that surplus shares are incurred during the term of the life insurance, these are paid out to the borrower.

Advantages of an official loan

Advantages of an official loan

 

In addition to the favorable conditions and the low monthly installment, a cheap loan for civil servants has a number of other advantages. The borrower and his family are fully covered for the entire term by taking out life insurance. A further life insurance or a residual debt insurance is therefore not required for the loan.

Upon request, the borrower can take out an insurance against invalidity. This secures the loan in the event of illness or incapacity to work. When the insured event occurs, the insurance covers the monthly installments or the outstanding loan amount.

No processing fees are charged for the official loan. In addition, borrowers can install a discount on most providers on request. This allows the amount of monthly payments to be reduced even further.

Of course, the payment can also be made 100 percent on request. Of course, the chance to receive attractive surplus shares is also an advantage. These are paid in full to the borrower at the end of the term.

Risk of total failure P2P credit platform

The risk of a total failure of a P2P platform should not be underestimated, but also not overestimated! Nobody can judge exactly how high this is. On the one hand, P2P loans are still in their infancy (compared to traditional investments such as stocks, funds and the like), and on the other hand, I am not aware of a total default.

What happens in the event of a total failure?

money cash

Nobody can say this with 100% certainty due to the lack of precedents. You can find out what such a worst-case scenario looks like with the respective provider in the FAQ directory of the platform or through a specific request from the support. It is usually the case that the P2P platform transmits the so-called “loan book” to a notary at regular intervals. In the event of bankruptcy, the latter is then responsible for processing the outstanding loans. In theory, this sounds plausible to me, but in the worst case I would have to take care of it myself. Realistically speaking, the latter is almost impossible.

How can I protect myself from a total failure?

money cash

You cannot protect yourself directly from it, as you have no personal influence on it. However, you can minimize your risk if you observe the following points:

 

  • Diversification as the top priority! Spread your total investment across multiple P2P platforms / providers and loan initiators. One should also think about a diversification into different economic areas (Western Europe / Eastern Europe, various countries).
  • Read financial reports! If these are made available, you should read them into them and follow them for years. A possible total loss can be recognized early on in the balance sheets.
  • Watch statistics! Every provider makes statistics available to investors somewhere on the homepage. Observe growth rates in credit volume, number of investors and also default rates.
  • Establishing the market: The trend is that the longer a provider is established on the market, the less likely it is that there will be a sudden total failure.

My personal assessment

Basically, I think a sudden total failure of a P2P loan platform is relatively unlikely. Rather, I think it is a realistic scenario that some providers will clearly stand out from the competition and others will gradually disappear from their meaning. Here too the old adage applies: “Whoever does not go with the times goes with the times”. In my opinion, there is currently a huge change in the direction of “P2P Loans 2.0”.

The original idea of ​​social lending seems to be falling behind more and more.

Many investors want pre-financed loans, repurchase guarantees / collateral, small minimum investment amounts, no fees etc. – to name just a few points. I don’t exempt myself from it. This is probably the reason why the Eastern European P2P platforms find this enormous popularity. The development of Smava can be seen as an even more extreme example. Smava was one of the pioneers in the German social lending sector in 2007 and sees itself today mainly as a comparison portal for installment loans. P2P loans are now only a minimal “secondary branch”. How the development continues – we will see!.

Money loan: private or as a representative of the company in general? Dutch lawyer for corporate law explained

If a legal entity, such as a limited company Liability Are you curious about the importance of liability? AMS Advocaten explains it. More about liability or liability Public limited company A NV is a legal person with company capital that is divided into transferable shares. 

 

Private or as a representative of BV iG?

money loan

The appeal raised the question of whether the founder of a company had concluded a loan agreement for $ 60,000.00 privately or as a representative of his company iG. In the first instance, the court ruled that the loan was taken out privately and that it had to be paid back privately by the borrower.

 

Loan Agreement

To answer the question of whether and in what capacity the loan contract was concluded, the Court used two judgments of the Dutch High Council (HR 11 March 1977 and HR 28 November 2014). In these judgments, the High Council states that it was about what the parties had explained to each other and derived from, and were allowed to derive from, their respective mutual statements and behaviors.

 

Act on behalf of society?

The Dutch Court of Justice examined the facts of the matter on the basis of the above criteria. From the facts it was evident that the borrower was not referred to in the loan contract as a representative acting on behalf of a company iG, but as a private person without reference to the company. The company is also not mentioned in the signature on the last page of the contract.

 

Certificate of incorporation: private deposit

money loan

In addition, there is no mention in the recitals, also known as “considerans” in Dutch, that the loan was to be regarded as a loan for a company. It can be seen from the company’s founding certificate that both founders had paid $ 60,000. From this, the Court deduced that the founders had made a private capital contribution of $ 60,000. If this capital contribution comes from a loan, it will not become a loan that the company will start up with.

 

Loan to Found the Company

money loan

Based on the above, the Court then upheld the ruling of first instance and ruled that the loan was taken out privately. The fact that the loan will ultimately be used to make a deposit of $ 60,000 to set up the company does not mean that the loan will suddenly become a loan that the company in question is taking up.

 

Attorney at law when founding a company iG in the Netherlands

On the one hand, it can be seen from the above judgment that a legal entity can already start with the company before it is actually founded. This judgment also shows the downside: the actions must be documented well and cleanly to prevent the founders from being ultimately held personally liable. A lawyer can help.