It is quite easy for a civil servant to obtain financing quickly. But, obviously, some precautions must be applied to be able to find the best payday loan of the moment. In fact, between one product and another, there can also be a substantial difference both in terms of the interest rate and in terms of delivery.
In this mini guide we will try to explain in detail how to find the best loan for civil servants. So if you are a ministerial, an employee of a public company or controlled by the state, by the regions or by a local authority, you will be able to find very useful information and find out what the best funding is at the moment.
Loans for civil servants: the assignment of the fifth
The loan par excellence for public sector employees is the transfer of the fifth, by far the preferred tool both by credit institutions and by the workers themselves. The transfer of the fifth is nothing more than a non-finalized payday loan, for which it is not necessary to indicate the purpose of the loan, but it is possible to use the sum required for any use, such as the purchase of cars and motorbikes, building renovations, the purchase of furniture and electronics, the obtaining of liquidity or the consolidation of debts, the payment of travel and courses of specialized studies.
The assignment of the fifth is a particular type of loan, the request of which must be endorsed not only by the bank but also by one’s employer, who once activated the loan will be himself to repay it through a direct deduction on the worker ‘s paycheck.
Precisely because of this feature it is possible to request loans through the assignment of the fifth even if protested, foreclosed, reported as bad payers or if with other ongoing loans. The limit of the transfer of the fifth is the amount that can be requested, tied to the monthly installment which cannot exceed 1/5 of the net salary by law.
This regulation was introduced precisely to guarantee workers from the risk of excessive debt. Furthermore, the amount that can be requested is also linked to the duration of the loan, which cannot exceed 120 months. In most cases, the interest rates, both the TAN, the nominal annual rate, and the APR, the global effective annual rate, i.e. the true cost of the loan inclusive of all costs, are offered at advantageous conditions compared to the averages market, precisely because these workers represent a security for banks.
Other costs may be linked to the preliminary investigation of the file, management costs, the sending of periodic documentation or stamp duties. In addition, with the transfer of the fifth, it is mandatory to take out a life insurance policy and against any job loss, the cost of which is calculated within the monthly installment.
If you wish to pay off early, you can do so by paying a commission of 1% of the outstanding amount of the loan to be repaid. As far as documentation is concerned, it is necessary to present your identity document, the tax code and the latest paycheck. Obviously it is necessary to have a permanent employment contract, a length of service of at least 3 months and a maximum age that varies from institution to institution, but which normally is around 65 years of age not to be exceeded at the end of the loan repayment.
In some cases it is possible to request the assignment of the fifth even with a fixed-term employment contract. In this case, however, the duration of the loan will be linked to that of your employment contract. Some credit institutions also request additional guarantees from this type of worker, such as severance indemnity accrued to guarantee the debt or the signature of a guarantor.
Best Loans for Public Administration Employees
Among the best disposals of the fifth for civil servants, there is certainly the one offered by Best Bank, which allows you to request up to $ 72,000 repayable from 24 up to 120 months, with the cost of compulsory insurance paid entirely by the bank. Furthermore, in this period it is possible to take advantage of a special interest rate in promotion at 5.30%, by making a free quote online or in the agency.
Another very advantageous loan is that offered by Infra Bank, which proposes a transfer of the fifth with no preliminary, commission or stamp duty fees or periodic communications. Furthermore, further advantageous conditions are provided for employees of the Ministry of Economy and Finance. In this period for example, it is possible to take advantage of truly competitive interest rates of less than 5%.
Delegation of payment for civil servants
The delegation of payment or double fifth, is nothing more than the possibility of doubling the transfer of the fifth, reaching a monthly installment up to a maximum of 40% of the net salary, i.e. 2/5, while in some cases it is also possible to arrive up to 50%.
The characteristics of the delegation of payment are the same as for the assignment of the fifth, such as the maximum repayment term of 120 months, the payment by one’s employer by direct deduction from the salary.
In addition there are compulsory insurance, fixed rates, the early termination clause and the documentation necessary for your request.
Obviously, being a loan aimed at increasing the amount of the loan that can be requested, much will depend on one’s economic capacity and length of service, the increase of which will also increase the amount that can be requested by the worker.
Better payment proxies
Among the best payment proxies, in addition to those of the usual Best Bank, Lender Bank, Intrasavings Bank and Infra Bank, we also find that of Cream bank, which proposes to request up to $ 50,000, repayable from 24 to 120 months with particularly advantageous interest rates.
It is also possible to request an advance on the loan immediately available, to start paying after 60 days from the disbursement of the same and not having to present any additional documentation to your paycheck.
Another very interesting product is the payment delegation offered by Lender Bank, which allows you to reach a monthly installment of up to 50% of the net salary, with the possibility of also renewing the loan at any time.
The duration ranges from 24 to 120 months, it is possible to pay off the loan in advance without paying any additional costs, and there are fixed and agreed interest rates with many public and state institutions. You can request a free quote by going to the agency or by calling the toll-free number.
Funding for civil servants
Another possibility for civil servants is to apply for a classic payday loan, whether finalized or not. If a finalized loan is requested, its purpose must be specified, through the supply of cost estimates or presale certificates, on the basis of which the loan requests will be assessed.
It is generally better to apply for a payday loan if, for example, you want to obtain additional liquidity, in addition to the money needed to meet the expected expenditure. In this case the interest rates will be slightly higher compared to a transfer of the fifth, precisely because of the type of loan no longer linked to the payment by your employer.
It is also true, however, that it will be possible to request much higher figures than the assignment of the fifth, and above all no longer tied to the rule of the fifth but to the evaluation criteria of each credit institution. In the case of finalized payday loans, it is possible to obtain very advantageous conditions, especially in some specific categories such as the purchase of cars, the installation of photovoltaic and solar panels or the financing of the studies of their children.
In both cases it is possible that additional documentation may be requested with respect to the transfer of the fifth, such as bank account statements, domestic users or the Cud. On this topic we have written an interesting guide to inpdap loans. The inpdap loan is a subsidized loan granted by Social Welfare.
Better funding for public administration employees
Among the best payday loans we find the one offered by Best bank, which offers a payday loan at favorable conditions for public, state and ministerial employees, provided that we do not have conditions of protests, foreclosures or reports as bad payers.
It is possible to request from $ 1,000 to $ 30,000, repayable up to a maximum of 120 months, with an advantageous and fixed interest rate, also payable with other ongoing loans. It is possible to receive the requested sum within 24 hours from the approval of the request, by direct credit to your current account.
The required documentation concerns your identity document, the tax code and the latest paycheck. For example, it is possible to request for a 40-year-old state employee with a salary of $ 1,200 net monthly $ 28,000, repayable in 120 months with a TAN of 4.20% and an APR of 5.71%, for a total cost of loan of $ 36,600.
Or you can request a flexible payday loan with the Intrasavings Bank group, which offers the possibility to request up to $ 100,000 repayable in a maximum of 120 months. This is a loan that can be fully customizable, and which allows after payment of the first 12 installments to be able to request the suspension of shortfalls at any time.
This operation requires bank approval and a suspension cost of $ 30. The interest rates are fixed and advantageous, and it is also possible after 6 months to request further credit through the re-discussion of the loan. The necessary documentation is your identity document, the tax code and the latest paycheck.
Another very competitive loan is Lender Bank’s PerTe, with which it is possible to request up to $ 75,000 repayable up to 86 months, with the possibility of requesting the postponement of some installments, in a number equal to that of the financing years minus one, postponing them at the end of the loan. It is possible to request a free estimate, even online, and if the request is accepted, receive the sum within 24 hours directly on your bank account, even if from a different institution. The required documentation is your identity document, the tax code, the latest paycheck and the Cud.