Brazil has millions of employees who work in the public sector. They are commonly known as Federal, State and Municipal Public Servants. But did you know that the loan for civil servants can be differentiated?
In addition to numerous, and because they are present in all spheres, civil servants gain special attention from financial institutions and other companies that make loans in the market. They are the target of the Public Employee Loan, also known as the Payroll for Public Employee.
Let’s talk here about the loan for civil servant. However, if you are not a civil servant, but want to take a payroll loan, it is also possible.
What Does the Government Employee Loan Have?
The Public Server has this type of loan that presents some different conditions. Examples include payroll deduction, reduced interest rates, and differentiated debt repayment terms.
These conditions can be obtained by public servants who are active, inactive or even retired and pensioners.
But let us know the main features of the loan for public servant.
How to obtain the Payroll for Public Servants?
There is a way for the Public Server to have access to the Payroll Loan. The institution for which he works has to make an agreement with the bank or the financial responsible for the loan.
It is in this way that the consignee (banks and financial institutions) lends a certain amount to the payee (Public Servant) to pay monthly during the time stipulated in the contract that is established.
Payroll Loan Agreement
It is in this document that you must be detailed all the values of the transaction made between the Public Server and the bank or financier who will make the loan.
In addition to the amount that will be granted, it is important to check whether the Total Effective Cost was also considered. It is nothing more than the operating costs which include, for example, administrative fees, possible insurance and, of course, interest rates, among others.
How much can you get on a loan?
Each Public Servant has a certain amount to contract the loan to a civil servant by virtue of a rule. Every Server can only use up to 35% of its own net income for the loan. Being that 5% of this amount is for expenses with the consigned credit card.
Conclusion: The ceiling of each installment of the Payroll Loan contract can only reach 30% of the net income of the worker.
There is only one way to repay the loan to a civil servant in this mode. The installments are debited directly on the payroll every month.
Because of this, automatic deduction of salary, the Server does not use tickets or even invoices to pay your debt.
Any and all requests for Payroll Loans only have the process completed after the endorsement.
This procedure is nothing more than the authorization of the debit of installments on the payroll by the agency responsible for paying the Public Servant.
Once this is done, the loan is generally completed within 48 hours. But this varies according to the bank or financier who will be in the process.
A detail. The credit is always made into the account of the Public Server holder. There is no chance that the amount will be transferred to another account or ownership.
A decree downloaded at the end of 2017 set the interest rate ceiling for Public Servants at 2.05% per month and 27.6% per year. This amount already considers the Total Effective Cost (all expenses included in the loan agreement – see above).
If the Server finds even better rates in the market can ask for the portability of credit. This occurs when it is possible to request transfer of credit operations from one financial institution to another. But, for this, it is necessary to occur the early settlement of the operation in the original institution with the new) or else the refinancing.
Easiness in contracting the Payroll Loan
The Public Servant is able to contract the Consigned Loan quickly and with little bureaucracy.
The other good news is that in this type of operation there is no need to consult the CPF of the Server to the SPC or Serasa, bodies that register if there are debts in the name of the request of the credit.
In general, the documents required for the transaction are RG, CPF, proof of current residence and the most recent paychecks as well.
As this is a type of loan that carries the guarantee of the contractor, banks and other financial institutions do not ask for guarantors or guarantors.
As already mentioned, fixed installments are directly discounted (automatic debit) on the payroll every month.
The term varies between 12 and 96 months. This depends on the agreement established between the company where the Server works and the financial institution that participates in the process.
In any case, it is a loan with longer maturities than the many other personal lines of credit available in the market.
Important: The server may terminate the contract before the deadline. This is negotiated with the bank or financier responsible for the loan.