Small Loan for public employees
The small loan is a financing of limited sums, available for public employees and former state workers at the Public Management of the National Social Security Institute. The fundamental requirement to be able to access this form of credit is to be enrolled in the unitary management of the credit and social services of , also known as the Credit Fund. Civil servants in service are automatically enrolled in the Fund and contribute to this through a deduction in the pay slip with a rate of 0.35%. Retired former state workers must instead apply for enrollment together with the retirement one and must then participate with a deduction on the pension of 0.35%.
Anyone who is regularly registered with the Credit Fund can apply to the for the small loan, which usually amounts to a sum equal to 1, 2, 3 or 4 months of net salary or pension. This means that there is a close link between received income and loan disbursement.
For each of the available options, a repayment plan with a different duration is provided: 1 monthly payment is repayable in 12 months (annual loan), 2 monthly payments in 24 months (two-year loan), 3 monthly payments in 36 months and 4 monthly payments in 48 months. Under certain conditions, loans are also available for a double monthly payment: the maximum obtainable is 8 monthly payments to be repaid in 48 months, equal to 4 years.
Even the small loan provides for the payment of an interest rate: the nominal annual rate is currently 4.25%. Furthermore, the requires the payment of a rate of 0.5% for administrative expenses and a portion to be allocated to the risk fund premium, which varies according to the age of the applicant and the duration of the loan.
As with other loans available on the market, this loan also provides for the possibility of early repayment. This procedure allows the debtor to settle the residual capital still to be repaid in a single payment, without waiting for the loan to expire. The particularity of the early repayment of the small loan is the fact that, after liquidating the loan, the user can request a new small loan only after 6 months have passed for annual loans, 12 months for biennial loans and so Street.
Finally, we point out that it is possible to carry out a simulation of the small loan directly on the Institute’s website, inserting little information such as age and salary.