How to calculate the rate of the small loan
The small loan is in subsidized financing granted by Social Institute in favor of public employees and pensioners. It is one of the products that make up the Social Institute loan offer ex Government Agency, but let’s see in detail what the conditions are small Social Institute Taeg loan.
The first thing to clarify when it comes to the small Social Institute Taeg loan is that this loan is characterized by a subsidized interest rate. This is because unlike what happens with most of the products on the market, the concession takes place by Social Institute.
The social security institution is responsible for disbursing the capital through a specific credit fund, the Unitary Management of credit and social benefits. It is a fund that is fed by the deductions made on the paycheck or on the pension check of the members. Only members of the fund have access to credit.
Rates and calculation of the loan installment
At this point we move on to the question of interest rates. The small Social Institute loan provides a fixed Tan of 4.25%, regardless of the amount financed and the duration of the amortization.
As regards the calculation of the Taeg, however, it is necessary to take into consideration the other items of expenditure. We are talking about administration costs, which in the case of the small Social Institute ex ex Government Agency loan are calculated at a rate of 0.5%. Rate applied on the gross amount of the loan.
In order to calculate the small Social Institute Taeg loan rate, the premium for the Social Institute Risk Fund must also be taken into account. In this case, the rate applied varies according to the duration of the loan and the age of the applicant. to know all the rates applied for the definition of the Social Institute Risk Fund premium, it is possible to consult the relevant table at the end of the Social Institute Loan Regulation (available on the Social Institute website).
Public employees or pensioners who wish to calculate the conditions of the Social Institute loans accessible to them in detail can use the simulator on the Social Institute website. The service details all the conditions of the small loan or multi-year loan you wish to apply for, including the Taeg.
For more information, please follow our portal dedicated to Social Institute loans again.