After having been in the water bath for more than a year, the FGTS guarantee wage (Guaranteed guarantee period) should finally become an option for the private sector that needs money. The interest rates must be lower than those of the traditional salary, which now spends about 2.5% per month, and much lower than personal credit (4% per month), red (12%) or revolving of the credit card ( 12%).
Regulated in April last year by the government, this credit line has not yet got off the ground due to operational problems, the banks say. Caixa Econômica Federal, responsible for the management of the FGTS, reported that it is the is implementing a new system allowing banks to block part of the fund's balance to secure the loan.
Banks can block up to 10% of the FGTS balance
Prior to the change in the FGTS system, the banks did not have access to the background information of the employee who was interested in applying for the payroll, which caused uncertainty in the provision of the loan. The institutions were only informed about the balance of the employee fund when he was dismissed.
If the employee would use the FGTS for one of the permitted purposes, such as buying a house, the balance in the fund could also be set at zero, thus eliminating the collateral to repay the loan in the event of default.
With changes in the system, banks can block part of the funds from the fund. Legislation (Law 13.313 / 2016) relating to private wages makes it possible to block up to 10% of the FGTS balance in order to guarantee the loan.
The law also stipulates that if the employee is dismissed without valid reason, the bank can withhold the fine (comparable to 40% of the balance in the FGTS) to pay the debt.
"The new FGTS system is needed to provide banks with more security to offer this type of credit," said Eduardo Jurcevic, Chief Inspector of Credit for Santander.
The bank was the only one of the large institutions that already had the FGTS-guaranteed payroll since last year. Due to the limitations of the system, however, the product was available to a few customers, from a few companies that maintain their payrolls at Santander.
The risk of default on the payrolls of the private sector is greater
In deductible loans for the annuity financing agreements are deducted directly from the salary of the employee. The payroll is popular among officials, pensioners and pensioners of the INSS, who may have lower interest rates because of the low probability that banks will not be able to receive the tranches from these customers.
In the private sector, the biggest problem is that the employee is fired before he pays off the debt. Therefore, interest rates on the private payroll are higher, on average 39% per year (2.8% per month), compared to 25% per year (1.9% per month) collected from pensioners and civil servants.
In addition, the loan period for private sector wages is lower, about 12 months, while it is possible in the public sector to install the loan up to 60 months.
FGTS gives the bank more security to borrow
By linking the loan linked to the guarantee of the balance in the FGTS, the banks will reduce the default risk in the event that the employee is dismissed or leaves the company.
"The ability to use the FGTS will be positive for payroll credits because it will strengthen the bank's guarantee and it will make a difference in credit terms, especially for employees in companies active in high-turnover sectors," said Jurcevic.
The executive also said that with the use of the FGTS as collateral there is a tendency to lower interest rates, but he avoided predicting how much the reduction could be. Currently, Santander calculates interest rates from 1.4% to 3.9% per month on the traditional private wage list, depending on the customer's profile and the company's field of activity.
Other banks must pay FGTS guarantee
The volume of payrolls for private sector employees amounted to R $ 19.2 billion in July, which represents less than 6% of the total loans in the country, which amounted to R $ 325.8 billion, according to the Central Bank. It is expected that the supply of this type of credit will increase, with the cooperation of other banks.
According to Jurcevic, the use of the FGTS as a guarantee should be available halfway through this month at Santander for customers working in companies that have an agreement with the bank to offer payroll administration.
Caixa said it will award this type of payroll in its stores from the 26th. According to the bank, the credit will be available to the 36.9 million employees with a formal contract, who can apply for a loan with higher interest rates low. "
The other major banks are still analyzing the changes made by Caixa to the FGTS system to determine when the product should be offered.
Banco do Brasil said it is still "evaluating the necessary rules and operational adjustments" with Caixa. The bank now offers traditional private payroll to customers, through joint ventures, with an average rate of 2.3% per month.
Bradesco stated that it intends to offer a guaranteed payroll of FGTS and finalizes the details with Caixa. Until this report was published, Itaú did not indicate whether it intends to offer the new form of payroll administration to its customers.
See the rules of the private payroll with FGTS guarantee
Law 13.313 / 2016 lays down the rules so that banks can offer the deductible loan for the wage bill with a guarantee for the funds deposited on the employee's account in the FGTS. The most important standards are:
- Limit of maximum 30% of salary (allowable margin)
- Maximum interest of 3.5% per month
- Advance payment within 48 months
- Guarantee up to 10% of the balance of the FGTS account
- Retention of the fine (equal to 40% of the balance in the FGTS) in case of dismissal without valid reason