Government Agency loan disbursement and necessary time
When you need to access credit, the timing of a loan can be a crucial factor. A scenario that affects not only loans disbursed through the traditional banking circuit, but also those granted by Social Institute in favor of public employees and pensioners. In this study, we will therefore address the issue of Government Agency loan times of disbursement.
The first thing to clarify before dealing with the Government Agency loan issue timing is that the Government Agency loan offer consists of several products. There are in fact both direct and secured loans.
The former are paid directly by the social security institution through a special credit fund. The guaranteed loans, on the other hand, are products granted by banks and financial companies affiliated with Social Institute and guaranteed by the Institute.
Conditions of the Government Agency 2018 loan offer
Let’s start by talking about direct Government Agency loans. These fall into two categories, small loans and multi-year loans. The small loans involve the granting of relatively low amounts to be repaid in 12, 24, 36 or 48 months. The interest rate is fixed at 4.25%.
Multi-year loans, on the other hand, can last for 5 or 10 years. The sum that can be financed is defined according to the purpose of the loan, as established by the Government Agency Loan Regulation. The amount that can be financed can also exceed 100 thousand USD, the rate is fixed at 3.5%.
Much like direct Social Institute multi-year financing, secured loans can last 5 or 10 years. The amount payable varies according to the income received by the applicant, the rate is defined by the lending bank.
Without this premise, let’s move on to the timing for the disbursement of Social Institute ex Government Agency loans.
Government Agency loans disbursement times for direct and guaranteed loans
Speaking of the timing for the granting of loans, we start from direct financing. For the small Government Agency loan, disbursement times are approximately 60 days from the date of receipt of the application.
Longer times for the disbursement of long-term loans, for which it takes about 90 days. Again, the period is calculated from the date on which the social security institution receives the loan application.
The reason why the times for the granting of long-term loans are more dilated is due to their characteristics. Being loans aimed at Social Institute, it takes more time to evaluate the request, and the various documents attached to the request.
Finally, let’s move on to the timing for the disbursement of guaranteed Government Agency loans. In this case the times can also be very extended, since the procedure for the request is quite complex. It should also be considered that the timing for the granting of credit may vary according to the chosen credit institution.