What are multi-year loans
Government Agency, as perhaps many of our readers will already know, no longer exists since it merged with Social Institute since January 2012. The latter is the social security institution to which the former Government Agency services were transferred, including credit lines offered on conditions facilitated. So let’s see together the main features of Government Agency direct multi-year loans.
Multi-annual direct loans are loans for public employees and pensioners and are granted exclusively to meet specific expenses. In fact, the sum obtained must be used for documented personal or family needs falling within those indicated in the Social Institute Loans Regulation.
To access the Government Agency multi-year direct loan offer, you must first be registered in the Unitary Management of credit and social benefits. Another essential requirement is represented by the fact that the applicant must have at least four years of service usefulness for the pension and four years of contributory payment to the unitary management of credit and social benefits.
Workers are also required to have an open- ended employment contract. In the event of subjects registered with a fixed-term contract of not less than three years, it is still possible to access credit during the period in which the contract is valid with the obligation to assign the severance indemnity to guarantee the repayment of the loan.
Multi-year loan rate and amounts
The repayment period varies from a minimum of five to a maximum of ten years, or from 60 to 120 monthly installments. The size of the transferable portion cannot exceed the critical threshold of a fifth of salary or pension.
As regards the interest rate applied, we have a nominal annual interest rate corresponding to 3.50%, to which are added administration fees 0.50% and a risk provision premium, which varies in relation to the duration of the repayment plan. The refund process takes place starting from the second month following that of the disbursement.
How to apply for funding
How is the multi-year direct loan obtained? Once the required documentation has been attached, the request must be sent only electronically, through the online service, present on the Social Institute portal, “Multi-year Loans web applications”.
Those enrolled in the service must submit the application through the administration they belong to, while pensioners registered with the Credit Fund must submit the application electronically using the reserved area of the Social Institute.it web portal (device PIN required).
Together with the application must be submitted documentation that can attest to the state of need and any expenditure, based on the motivation set by the Regulations (available on the Social Institute website), and a medical certificate of sound physical constitution.
The faculty to renew the assignment of the fifth is not provided until two years have passed since the start of the five-year assignment, or four years after the start of a ten-year assignment.
How to calculate the loan installment
Those who wish to evaluate the convenience of the Government Agency direct multi-year loan proposal, before proceeding with the request, can take advantage of the special online service for simulating loans on the official Social Institute website.
To reach it, you need to connect to the official Social Institute website and from the home page choose the item “Access services” from the “ Online Services ” menu, at the top right. Clicking on “List of all services” displays all the services on the portal. At this point, it will be sufficient to choose the “Public Employee Management: simulation calculation of small loans and multi-year loans” function.
Procedure for online simulation
Once the service is reached, the user has the possibility to choose between three calculation methods :
- loan simulation;
- loan simulation for ideal installment;
- loan simulation for specific amount.
To carry out the Government Agency simulation of direct multi-year loans, simply enter the required data in the form, after which the system proposes all the Social Institute loans accessible to the user, based on the data entered. The amount of the monthly installment, the interest rate and the various charges applied are indicated for each loan.