Try to clarify the two main consumer credit products.
The substantial difference is found in the repayment procedure . For the transfer of the fifth installment is paid directly by your company that retains the monthly amount directly from the employee’s slip and pays it to the financial (if you are retired the installment will be withheld and reimbursed by the social security). mercador24.com has more notes
In the personal loan, on the other hand, the installment can be repaid by postal or bank giro. Another very important difference is in the assessment of your financial situation for the granting of the loan.
In the assignment of the fifth, your credit history and your payment punctuality are not assessed, but only the company you work with is assessed that together with your TFR will be the guarantee for the loan for the loan.
This means that even if you have had payment delays, protests or foreclosures it will not be an obstacle to accessing the credit.
The personal loan on the contrary makes an assessment on your punctuality and accuracy of repayment of loans that clearly will give precise indications to the financial about your reliability.
So if you have had late payments or protests you will hardly be given a personal loan.
Technical characteristics between the two products.
What differences can we find between a personal loan or a transfer of the fifth?
For the sale the maximum payment is equal to one fifth of the net salary or pension received. Instead for the personal loan there are no limits on the installment amount but it is very important to respect the installment ratio. (ie the total sum of outstanding commitments for loans and mortgages should not exceed 30-35% of net income).
Fundamental is also the fact that with the assignment of the fifth you could get an important amount (if your salary permits) with a single signature. Instead, usually for amounts exceeding € 15,000 / € 20,000 the financial require a second guarantee signature for a personal loan.
The transfer of the fifth has a compulsory insurance coverage to cover employment and life risk. Insurance coverage for personal loans, on the other hand, is completely optional.
This means that, even starting from a lower interest rate, with the sale of the fifth one can reach a higher final rate. Especially for private employees or pensioners a little later with age because the cost of insurance has an important impact in terms of costs.
In the case of state employees or “young” pensioners, you could obtain very advantageous rates because the risk for the loan is minimal having a full guarantee of the repayment of the installment and with very low insurance risks.
The personal loan or the assignment of the fifth have both advantages. It is good that you carefully evaluate both options according to your specific needs in order to get the best solution for you and your family.