Government Agency loans are special loans dedicated to employees and pensioners of the public administration. After the elimination of the Government Agency, these loans are provided, together with all the other services, by Social Welfare. Below you will find an in-depth guide and all the information you need to obtain affordable financing.
In fact, each credit institution has special agreements with some institutions and institutions, which allow their employees to access credit on favorable terms, such as lower interest rates than market averages, greater ease of disbursement or lower ancillary costs or null in some cases.
Among all public workers, those administered by Government Agency fall into a special category, with numerous offers and advantages in the field of loans. These are all the workers today administered by Social Welfare, into which all the public social security institutions have converged, in particular the employees of the public administration registered in the Public Employee Management.
Sale of the fifth Government Agency
The most commonly used type of Government Agency loan in the agreement is the transfer of the fifth, a non-finalized loan for which it is not necessary to declare the purpose of the loan, but can be used for the most varied needs, such as obtaining liquidity, buying a car, finance your debts, pay travel or school fees, renovate your apartment or buy any goods or services.
This is a loan linked to the acceptance by the Institute, which in the positive case will directly pay the monthly installments by deducting the salary or pension. The amount payable varies according to the monthly installment which cannot exceed 1/5 of the net salary, for a maximum of 120 months. In this case, the accessory costs vary according to the individual agreements made with the credit institutions, such as the fixed interest rates, the TAN, the nominal annual rate and the APR, the annual percentage rate of charge, the costs of the preliminary investigation, management and sending of periodic documentation (source: prestitisbp)
The transfer of the fifth Government Agency requires a compulsory life and non-life insurance policy, the cost of which is included within the monthly installment. In case of early repayment of the loan it is necessary to pay a commission of about 1% of the remaining amount. To apply for this personal loan it is necessary for employees to be aged between 18 and 65 years, not to be exceeded at the end of the loan, as well as at least 3 months of service seniority and an open-ended employment contract. In some cases fixed-term contracts are also accepted, but the duration of the loan must be shorter than that of the contract itself.
Government Agency loans in comparison
Retirees, on the other hand, must not exceed 85 years of age at the end of the loan repayment, have a pension higher than the minimum both in terms of seniority, old age or disability. It is not possible to obtain the assignment of the fifth with all the other types of social security treatments, such as civil disability pensions or income support checks.
The necessary documentation concerns your identity document, the tax code, and the latest paycheck or pension slip. The transfer of the fifth can also be requested by the protested, foreclosed or by those who have been reported as bad payers.
How the Government Agency loan works
Among the best offers for the sale of the fifth in agreement with Social Welfare and the former Government Agency, we find that of Unicredit, which offers a loan repayable up to 120 months, for a maximum of $ 72,000 for civil servants and $ 69,000 for retirees, with an interest rate lower than the market average and the compulsory insurance policy fully borne by the bank.
In addition, in this period a rate of 5.30% is offered exclusively for public employees, who will make a loan request online through the group’s website. Another very interesting offer is that of Compass, which offers assignments of the fifth for both public and state employees, and for pensioners, under special contractual conditions, such as the elimination of brokerage costs, the possibility of requesting an advance on the loan, agreed interest rates and speed of disbursement.
For both, it is possible to request up to a maximum of $ 75,000, without the need to provide additional guarantees, even if protested, foreclosed or reported in the bad payers lists. Among the best offers of transfers of the fifth for public and government employees in the agreement is that of Prestitalia, the financial company of the Ubi Banca group, which offers loans with a TAN of 5.60% and an APR of 6.73%, in promotional route until 31 December 2016.
In addition, disposals of the fifth agreement with Social Welfare and ex Government Agency are envisaged for pensioners, which can be requested completely online with favorable conditions, speed of payment and advantageous interest rates, up to a maximum of 80 years of age not to be exceeded at the end of the repayment of the loan.
Loan with Government Agency delegation
The loan delegation is nothing more than an assignment of the additional fifth, which allows to request higher figures through the increase of the monthly installment. This can go up to a maximum of 50% of the salary or pension, always for a maximum duration of 120 months. All aspects of the delegation of payment are exactly the same as the transfer of the fifth, such as the fixed costs, the compulsory insurance policy and the 1% commission for early repayments, as well as the documentation necessary for the request or age limits and length of service.
One of the best offers of payment proxies in the agreement is that of Best Bank, which offers the possibility of requesting up to a maximum of $ 100,000, at favorable conditions and interest rates. The categories included in this promotion are employees of the State Police, the Penitentiary Police, the Guardia di Finanza and the Air Force.
Interest rates vary from 4.45% to 6% for the TAN, and from 7.55% to 9% for the APR. The maximum age is 65 years or 35 years of service, not to be exceeded after the loan has been repaid. To request this payment proxy, you must present your identity document, the tax code, the latest paycheck and the service certificate issued by your administration.
Or you can see if you fall into one of the many agreements entered into by PrestiNuova, the financial company of Banca Popolare di Vicenza, which allows you to request payment proxies at subsidized conditions for public and state employees, repayable from 24 to 120 months, at advantageous interest rates, with quick and easy to request disbursements.
Agos also offers loans through the delegation of payment at particularly favorable conditions for civil and government employees, which can be requested completely online. In particular, Agos offers the possibility to request an advance on the loan available after a few days, and interest rates below the market average.
To request a loan through the delegation of payment it is necessary to provide your identity document, the tax code and the last paycheck, as well as having to constrain your TFR accrued to guarantee the loan. It is possible to request the delegation of payment even if foreclosed, protested or reported as bad payers.
Small Loans Regulation
Among the various forms of loan agreement offered by Government Agency, there is that of the small loan, divided into three different categories according to the type of public worker. The first relates to civil servants and retirees enrolled in the Unified Management of credit services, who can request a small loan repayable through a deduction from their salary or pension.
The second offers workers enrolled in the Magisterial Management the opportunity to apply for small loans up to a maximum of two months, at preferential conditions, while the third concerns employees of Poste Italiane and its subsidiaries, who can apply for loans of small repayable amounts. under special conditions from 1 to a maximum of 4 years.
For these types of Government Agency loans it is not necessary to declare their purpose, and it is possible to request them directly online as regards retired people, while for public sector workers it is necessary to fill in the appropriate form and present it in the offices of the relevant administration. Interest rates are very low, on average around 4.25%, while the amounts are linked to the financial situation of the applicant. For example, if you do not have any type of active loan, such as assignments of the fifth or anything else, you can get up to a maximum of 8 months, from a minimum of one month.
Multi-year direct financing Government Agency
It is a particular form of loans, dedicated to public and state employees registered in the unitary management of social and credit benefits. In this case it is possible to request a finalized personal loan, the request of which must be accompanied by an adequate certification on the motivation of the loan.
It is possible to request loans repayable in 60 or 120 months, at subsidized conditions and interest rates. To obtain these loans, it is necessary to hold an open-ended employment contract, while in the case of fixed-term employment contracts, it will be necessary to have a duration of the same equal to or greater than three years and provide your TFR to guarantee the loan.
Calculation of multi-year guaranteed loans
The guaranteed multi-year Government Agency loans are non-finalized personal loans, with the possibility of repayment in 60 or 120 months, guaranteed precisely by Social Welfare. To request them, you must have had an employment relationship with a public or state institution for at least four years, and present a certificate on your health.
As for the amounts and costs, these vary according to the various agreements entered into by the Social Security Institute with the credit institutions, while the fixed costs are 0.50% for the expenses incurred by the Social Welfare and a fixed cost at coverage of non-payments of 1.5% for 60-month loans and 3% for 120-month loans.
With this type of loans, Social Welfare guarantees the credit institution against any problems related to payment, for wages reductions, for termination of the employment relationship without having acquired the right to pension treatment or for the possible premature death of the debtor.
All parents with public or state employees, enrolled in Public Employee Management or Master’s Management, can participate in competitions to access scholarships made available by Government Agency.
These are special rankings which are drawn up annually, based on the academic marks of the members and the income situation, the ISEE, of their family. If you are able to enter limited places, it is possible to obtain a scholarship to support school expenses, related to attending schools and universities, European and foreign schools, or Italian schools abroad.
To participate in the competition calls, it is necessary to apply online on the Social Welfare website, using your device PIN, attaching your family ISEE. Calls are usually made in the winter, between January and February.
Loans for retirees and civil servants
In the field of loans and financing, surely the sector that concerns public employees is one of the most advantageous and full of offers at favorable conditions. Historically in our country, employees have always been divided into two broad categories, those in the public sector and those in the private sector. Employees of the private sector have always had different conditions, such as the possibility of being fired, transferred or re-discussing wages, working hours and accessories to wages such as thirteenth, fourteenth, overtime, holidays, illness and permits.
Especially in recent years we have seen how even in very large companies it is possible to undergo major changes in one’s salary, due to poor company results or internal and external economic crises. Even in the field of loans and financing, private sector workers get conditions in line with the market, neither more nor less.
On the other hand, public sector workers can enjoy a whole series of privileges which, even if it is no longer as in the past, allow them both to face life more serenely, and to obtain loans and financing at favorable conditions. This mainly depends on the difficulty with which these workers risk losing their jobs, which is a first-rate guarantee for credit institutions. In addition, the employer’s reliability means that banks and financial companies keep these workers in check when requesting financial services.
How Government Agency mortgages work
All public and state employees with permanent contracts and pensioners, who have been enrolled in the unitary management of social and credit benefits for at least three years, can apply for an Government Agency loan, with special facilitated conditions.
This is the possibility of obtaining mortgages for the purchase or renovation of the first home up to a maximum of $ 300,000, repayable from 10 to 30 years at a fixed or variable rate. To apply for this type of mortgage it is necessary to fill in the specific application form available on the Social Welfare website, and present it to the Social Welfare territorial office, management of the former Government Agency of the area where the property is located. To submit the application it is necessary to complete the form completely in all its parts, and to present it in the time windows of January, May and September, always from 1st to 10th of the month.
Each year special rankings are created based on the requests made, the financial and income situation, and the cash availability of the Social Security Institute. Interest rates, both fixed and variable, are usually granted on favorable terms, while payment is made through pre-filled MAV bulletins.
To use these services, however, the device PIN is essential, to access your personal area on the Social Welfare website and receive all the necessary provisions, as well as being able to always check the payment situation.
Our guide to Government Agency loans ends here. For any other information we recommend contacting the nearest Social Welfare office.