Payday Loans for Employees
Browsing the Web it is easy to come across online loan proposals presented by banks and financial companies operating on the Web. They are produced by interest rates and facilitated repayment terms when compared with the traditional banking circuit, thanks to the cut in fixed costs associated with the physical market .
The online loans undoubtedly represent a valid alternative to the classic financing for the inhabitants of the island, which otherwise would be forced to limit their research to the local institutes. Indeed, there are many banks and financial institutions that provide loans online without the need to go directly to the branch: the practices are carried out completely online.
Payday Loan Online and Delegation of Payment
But what are the types of loans available online? In principle, these are payday loans, which can be repaid in various ways, the most common being only the transfer of the fifth and the loan with delegation . We try to understand better how they work.
The assignment of the fifth is a type of financing that allows access to sums, even large sums, by repaying the credit through direct deduction from the salary. This is a type of financing reserved for individuals with a demonstrable fixed income, that is, holders of a pension or a permanent employment contract .
As the name suggests, loans on salary assignment provide for a maximum monthly installment of one fifth of the salary (20%) or pension received by the applicant. The loan cannot extend beyond ten years and the interest rate is fixed.
We then find the loan with delegation of payment , a solution very similar to the payday loan. Even the loan with delegation, in fact, provides for the repayment of the credit by reducing the installment of the salary, in this case, however, the monthly payments can reach up to two fifths (40%) of the net salary . Unlike the salary assignment, the delegation of payment is reserved for employees with permanent contracts.
Payday Loans : How to Find them Online
For both salary-backed loans and those with delegated payments, repayment of installments is made by the employer or social security institution, which takes care of deducting the installment from the debtor’s income and paying it to the bank. Obviously those who are not in possession of the requisites necessary to access these types of financing can resort to a traditional payday loan .
In this case the installments can be reimbursed through or bulletins and the installment is not bound to the income of the applicant. The guarantees covering the loan can be of various nature, ranging from the presence of an income to the signature of a guarantor. Alternatively, a mortgage can be placed on a property.