Those who apply for a loan must have objective requirements (such as income) and other subjective requirements which vary according to the various forms of financing, the duration of the repayment plan and the amounts that can be financed.
Among these requirements, the age item is the one that weighs most. Until recently, in fact, retirees were severely penalized, given that banks allowed access to the loan only to those who had not passed a certain age (on average 70 years) for a maximum age at the end of the 75 years old.
Among the few exceptions there was the Inpdap loan (now INPS ex Inpdap management after the merger of the social security pension dedicated to the public sector), which went up to 90 years as a maximum age (at the end of the loan).
The maximum age limit: how should it be considered?
Each bank and each financial company has the freedom of choice to define the maximum age that can be financed. This is because seniority is considered a growing risk factor (in fact, with increasing age, the interest rates applied also increase). But for some years, thanks to the formula of the transfer of the fifth (which is assisted by a special compulsory insurance) this limit has been moved forward. So the banks that provide for the disbursement, even if sometimes with some restrictions by category of pensioners, have raised the age up to 90 years.
It should always be remembered, however, that the maximum age indicated is used to identify the age that can be at most, in the event that the loan is granted at the expiration of the loan. This means that, returning to the hypothesis of the assignment of the fifth, which normally provides for a minimum duration of 24 months, for example, for the age limit of 90 years, at the most you must have 88 in order to be able to access the repayment of a minimum duration equal to two years. If, on the other hand, there is a limit of 75 years, the last accepted age will be 73 years, however, not being able to exceed 24 months of repayment.
Inpdap loans for their retirees
The concessions for public and state workers do not end with increasing age and the end of the working period. Inpdap , in fact, provides for the disbursement of its loans directly until reaching the age of 90 at the time of the loan term, both for the small loan and for the multi-year loans. With respect to employees, the only exception is for the amounts calculated net of the transferable portion, even in the case of disbursement of the small loan to pensioners .
However, in order to access these forms of subsidized financing, you must always be registered in the Unitary management of credit and social benefits. It is not enough to have joined and contributed during the period of working activity, but when retiring it is necessary to confirm the willingness to enroll in the fund as a “pensioner” and continue paying the expected contribution fee. Obviously there is a small discount, given that the contribution share is halved, going from about 3% to 1.5%.
As regards convenience with advancing age, there is a worsening of the “overall cost” of the loan, due to the share to be paid to the Risk Fund, which increases, after 63 years, almost exponentially. Therefore, if it is almost always convenient for a worker to apply for Inpdap loans, for a pensioner the assessment must be made by comparing the proposed conditions with provisions of the fifth contracted with INPS.
Non-Inpdap retired personal loans up to 90 years: difficult but not impossible
Numerous banks entered into an agreement with INPS in the autumn of 2013 to extend access to the assignment of one fifth of the pension , at subsidized conditions, to various categories of pensioners, with consequent increase, at least in some cases, in the maximum age of access .
This agreement does not guarantee univocal treatment, but each bank and each financial adherent is free to propose the conditions it deems most suitable for the category of pensioners, but with the commitment to offer general conditions (which may concern not the rates but the accessory costs associated companies, the cost of the compulsory insurance component, etc.) cheaper than those offered to other categories.
The loan or lifetime mortgage
Beyond the transfer of the fifth , the chances of being able to get the amount you need, without having to give up a good portion of the pension are not many. For this reason, the legislation that frames the lifetime loan has been revised and regulated, in order to make it less “burdensome” for the heirs.
This form of financing requires ownership of a property (in the case of co-ownership, a majority of the property must be owned), and provides that the pensioner requests a mortgage that does not require the payment of interest by the applicant, unless he is his choice will provide a refund.
In fact, this formula was created to allow a pensioner to obtain a large loan, without giving up the part of the pension for repayment. It will then be up to the heirs to decide whether to return capital plus interest to the bank or whether to let the property pass to the bank that will sell it to take advantage of the amount it boasts as credit.
Given the very particular functioning, banks set limits which are:
- involves the heirs in the decision-making process for taking out the loan (at least so that all parties are informed of the cost consequences);
- fairly low percentages of LTV (maximum 50% of the value of the property resulting from the appraisal);
- high interest rates.