Cession of the Fifth: 10 things you did not know about the loan

Seeing how the Personal sixth works

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Let’s see what things to know before requesting this particular form of financing. Ten things that will help us discover more about the Personal sixth and its specificities.Who can apply for the Personal sixth –

The Personal sixth can, in general, be requested by all employees with permanent contracts and by pensioners (Fifth of the pension).What is the maximum duration of a loan – The loan extensions can be up to 120 months.Minimum and maximum age to obtain the assignment of the fifth – For the assignment of the fifth salary, the minimum age starts from 18 years (if holders of an employment contract as indicated above) and the maximum limit are defined by the retirement of the law ( retirement age). For the fifth of the pension, the pensioner must not have exceeded 85 years at the end of the loan.Renewal of the loan – Coverage of 40% of the repayment plan is possible to renew the loan.

The insurance is compulsory

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– It is required by law to underwrite an insurance policy against life risk and one against loss of employment (for the assignment of the fifth salary). As required by Article 54 of Presidential Decree 180/1950.The employer can not object – The employer must accept the request for assignment of the fifth, since the worker can freely dispose of the claims against him.What happens if the job is gone – The insurance company covers the loan, but can refer to the TFR.The elements to evaluate the convenience of financing – Before choosing the proposal for the sale of the fifth is good to compare the two fundamental elements of each loan: the TAN and the APR ( here we explain in simple terms what they are ).Early redemption is possible – At any time it is possible to pay off a Janusara loan early, recovering unpaid interest.The ceiling of the installment – The repayment of capital, interest and miscellaneous expenses can never exceed one fifth of salary or pension: a guarantee for a loan that can never go out of control. Follow the next link to find out how to calculate the fifth salary .