When are the debts aging?

Most people struggling with debt or a spiral of debt ask themselves the title question, when the debts expire, virtually all debts are subject to limitation and only time and applicable law is the only variable in this topic.

What exactly is debt aging?


Pursuant to the applicable law and the provisions of the Civil Code, the notion of limitation of debts can be defined as the possibility of avoiding the need to repay a given debt after a specified period of time from its conclusion.

In practice, this means assigning expiration dates to specific debts, however, when this period expires by law, the debt does not disappear but the debtor (indebted person) has no legal obligation to regulate it towards the creditor.

After what time exactly do debts expire?


Each type of debt owed to an entity has a different nature and legal maturity, in practice, it means a different limitation period for the institutions concerned, more precisely it looks like this:

  • Debit on the bank account – the statute of limitations expires after 2 years and the period is counted from the date on which the debt should have been settled, in the case of an indefinite contract this means the date of the first request from the bank to repay the debt – this applies to all claims under the bank account agreement
  • The claim required due to a specific work/commission contract – 2 years
  • Arrears resulting from telecommunications services (subscription) – 2 years
  • Requirements under the contract of sale or delivery of goods and services – 2 years
  • Credit card debt – 3 years
  • Loan / credit agreement – 3 years
  • Unpaid rent – 3 years
  • Demands from the employment contract – 3 years
  • All commitments related to business operations (JDG) – 3 years
  • Deposit / advance / prepayment claims – 3 years
  • Prescription regarding a blank promissory note – 3 years
  • Claims under an insurance contract – 3 years
  • All debts related to the force of law (taxes and other) – 5 years, for example, VAT or income tax or on civil law transactions
  • Debts relating to succession – 6 years (only in the case of the inaction of creditors)
  • Other debts and claims resulting from a final judgment of a court or other institution appointed for the target case – 6 years
  • Mortgage – 6 years applies only to interest due to the security of the real estate and high amounts.

We have really exchanged only a large part, but not all matters relating to the limitation period, as a result of recent amendments to the law, the limitation time has been reduced from 10 to 6 years.

Can you interrupt the limitation period of debt?


Creditors may interrupt the limitation period in several ways, one of which is the voluntary acceptance of debt by a person who is subject to dilution, the exact name of this type of action is “voluntary submission to enforcement” if we sign such a document.

We are fully aware of the debt, we stop the limitation period and let us punish ourselves according to the contract with the creditor. Liabilities for voluntary submission to enforcement completely interrupt the limitation period.

The second way for creditors to interrupt the limitation period for a given contract is to take action by the court, any final judgment issued interrupts the limitation period for debt, it is often the loan companies that use this gate interrupting the course and extending it practically indefinitely.

Does the statute of limitations mean a better credit history?


Absolutely not, according to what we wrote earlier, the limitation period does not mean its repayment or disappearance simply changes its requirement for the person who took the debt.

The only way to improve your credit history is to pay back the debt or spread it over installments and negotiate with the creditor to improve your entries.

What about GFI, GFIC and GC databases after the debt has expired?


Regardless of the statute of limitations on the debt, the creditor may still make an entry in each of the databases regarding our credit history, which is important, such entry shall not be time-barred until it is removed by the creditor.

Which is only possible when the obligation is closed, i.e. repayment of the total debt. Only then can we contact the creditor to remove the unwanted entry in the database.

From equally important information it should be said that the creditor making the entry to the said databases must provide the date of occurrence of the given arrears.

The minimum amount on the basis of which you can be found in GFI, GFIC or GC is USD 200 in relation to the debts of individuals and USD 500 in companies.

Guide to have a loan on sale of the fifth in progress, what it is and why choose it

Why renegotiate sale of the fifth 2018

Why renegotiate sale of the fifth 2018

Those who have a loan on sale of the fifth in progress and are in economic difficulty can resort to the renegotiation of the transfer of the fifth. Operation that allows to modify the conditions for the repayment of the ongoing loan.

Renegotiation is a procedure usually provided for mortgages, however it can also be used for personal loans, in the specific case of the assignment of the fifth, the renegotiation usually coincides with the renewal of the loan.

When we talk about renegotiation, assignment of the fifth, in fact we usually refer to the renewal of the loan. The reason is due to the characteristics of the loan. The loans on assignment of the fifth in fact provide for a monthly installment deducted directly from the paycheck or from the monthly pension received by the beneficiary.

As can be seen from the name, moreover, the assignment of the fifth provides for a maximum monthly installment equal to the fifth part (20%) of pension or net salary. Reason why the characteristics of the loans on assignment of the fifth do not allow particular changes with the renegotiation of the assignment of the fifth.

What you can change with the fifth assignment renegotiation

What you can change with the fifth assignment renegotiation

Those who choose to renew the transfer of the fifth pay off the loan in progress and at the same time turn on a new one. This on the one hand allows to obtain new liquidity and on the other hand to benefit from better conditions.

For example, it is possible to establish a more amortized plan than expected for the previous loan and a lower rate. However it is necessary to report that it is not possible to increase the installment beyond a certain limit in order to reduce the repayment times.

In fact, we remind you that the installment of the loan upon assignment of the fifth cannot exceed 20% of the applicant ‘s pension or monthly salary. In this regard, reference is made to the net salary received monthly.

For more information on the transfer of the fifth and the most convenient solutions of personal loans, continue to follow our portal.

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Related articles related to Social Institute loans ex Government Agency

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Mortgage loan for First Home Renovation: All the Features

Thanks to the Government Agency mortgage for first home renovation, it is possible to face numerous expenses related to various interventions on your main home. This is a loan for workers and employees enrolled in the autonomous unitary management of credit and social benefits.

First Government Agency first home loan

First Government Agency first home loan

The worker must have a permanent contract. Not only. An enrollment length of at least one year is required.

Although it is an Government Agency mortgage for first home renovation, we are dealing with a loan granted by Social Institute. Government Agency no longer exists and its functions are now managed by the National Social Security Institute.

First home renovation: the works admitted

First home renovation: the works admitted

What are the interventions allowed? The Government Agency mortgage for first home renovation is a precious resource for those who intend to carry out renovation, maintenance, adaptation, expansion and transformation works.

The sums that can be requested reach 150 thousand USD, but the amount cannot exceed 40% of the value of the home.

However, we remind you that the Government Agency mortgage is still a loan that allows you to buy or build your first home. In this case, the social security institution offers a maximum amount of 300 thousand USD.

Among the purposes we also find the purchase or construction of a garage or parking space (pertaining to the main house, maximum distance 500 meters). The maximum amount granted is equal to 75 thousand USD.

Mortgage: how to get it

Mortgage: how to get it

What is the application procedure to be followed? The application must be sent to Social Institute at specific times of the year, it is the first ten days of January, May and September.

The submission must be produced electronically, using the online services of the inps.it site. In order for the user to complete the procedure, he / she must have the PIN, personal code sent to the applicant by Social Institute.

Various documents will be attached to the application, the absence of which compromises the same validity as the request for access to credit.

Mortgages interest rates: fixed and variable

Mortgages interest rates: fixed and variable

Is the Government Agency mortgage really convenient? To answer this question we must first evaluate interest rates. The fixed rate formula is expected to apply 2.95%. Those who prefer the floating rate will have to face the 6-month installment plus 200 basis points.

With regard to the reimbursement, we also note a French amortization plan, punctuated by deferred half-yearly installments. The installment is paid through precompiled MAVs, which can be downloaded from the Social Institute portal.

And for the duration? The applicant can choose between different solutions, starting from a minimum threshold of 10 to a maximum of 30 years. However, if the borrower is at least 65 years old, the duration cannot exceed 15 years.

Early repayment of a mortgage

An unexpected return of money gives you the possibility to repay your mortgage earlier than expected? The operation can be interesting for you. However, to avoid unpleasant surprises, it is better to first look at your loan contract. Indeed, the early repayment of a mortgage is not always in the interest of the borrower. Explanations.

Early repayment of a mortgage: what does the law say?

Early repayment of a mortgage: what does the law say?

The regulations are clear: according to the Consumer Code, the repayment of a mortgage before maturity is possible for the borrower. However, the contract may prohibit early repayment, the amount of which is less than or equal to 10% of the capital borrowed, except if this amount corresponds to the loan balance.

The contract may also provide for penalties. Where applicable, the borrower is liable to pay the lender corresponding prepayment indemnities:

  • up to 3% of the principal remaining due before the early repayment;
  • or at 6 months maximum interest on the principal repaid in advance, at the average rate of credit.

Between these two formulas, the most advantageous for the borrower will be chosen.

But that’s not all ! In the event of early repayment of a variable rate mortgage, these early repayment indemnities may be increased by compensatory interest. These famous interests guarantee the lender that the average rate provided for in the contract will be applied over the current term, and therefore, that his shortfall will be less.

For a mortgage contract from 1 July 1999, however, there are exceptions. The Consumer Code stipulates that early repayment indemnities are not due to the lender in three cases:

  • When the borrower or his spouse dies;
  • When the borrower or his spouse is in forced cessation of activity;
  • When the borrower or his spouse changes the place of work and the housing must be sold.

Repay your mortgage in advance: ultimately, interesting or not?

Repay your mortgage in advance: ultimately, interesting or not?

Depending on the amount involved and the conditions set out in the contract, the early repayment of a mortgage can be very expensive for the borrower. The question is: will it cost him more or less than if he continued to repay his loan until the end? To find out, a calculation is necessary in order to know:

  • The cost of early repayment, on the one hand;
  • The gain that can be realized on the insurance and the interest that will not be payable, on the other hand.

From the amortization table, the borrower can easily calculate what he has to pay in terms of interest and insurance. The amount obtained will be the one he will save if he balances his credit before term. If by deducting this amount from the early repayment indemnities, he obtains a positive result, the repayment of his loan in advance is profitable.

And what about partial prepayment ?

And what about partial prepayment ?

In some cases, it is more advantageous to repay your mortgage partially rather than in full, especially when the loan rate is high. Indeed, a partial prepayment allows the borrower to reduce the duration of repayment of his loan, and therefore its total cost since the interest (calculated on the remaining amount) will be lower. When a borrower opts for a partial prepayment, he has the choice between:

  • keep the same monthly payments, and therefore stay on the initial repayment period;
  • decrease them by increasing the duration of repayment of his loan, to gain purchasing power;
  • increase them to pay off your loan faster and have less interest to pay in the end.

However, an early repayment is generally no longer attractive once the repayment period has passed by half. The same applies to insurance if it is calculated on the capital remaining due: the amount of the premium decreases as reimbursements are made. Failing to settle his mortgage, the borrower may have to think about an investment solution.

Credit intermediaries with a loan despite debts

If you are looking for a loan from Switzerland despite debt, more precisely the Swiss loan without credit checker, you are looking in the wrong country. Swiss loans without credit checker have been coming from Liechtenstein since 2010. The article explains how this came about and which current loan conditions apply to Liechtenstein loans.

Credit despite Swiss debts – review

Credit despite Swiss debts - review

Switzerland is not only known as a holiday destination for mountains and steep slopes. Credit tourism was especially popular for a long time. Already in the 1960s the housewife loan without credit checker was advertised. In the 1970s, it was credit despite Swiss debts that the magazines found attentive readers. From 1973 the Swiss loan came from Interverta finance banks, based in St. Gallen. From 1978 onwards the loan offers came from credit company AG and since 1992 from nice bank lenders finance banks.

Advertising keywords that have been coined over such a long period of time are not easily forgotten. This does not change the fact that Switzerland has not been the country of origin of credit checker-free loans for Germans since 2009.

The Federal Financial Supervisory Authority (BaFin) and the Federal Administrative Court have contributed to the change in the credit landscape. BaFin had already banned nice bank lenders finance banks from granting loans in Germany in 2003. At that time, nice bank lenders was the largest provider of credit checker-free loans to Germans. Germany in turn was the most important market for nice bank lenders finance banks. About 90 percent of the loan awards went to Germany. A legal dispute followed through all instances. In 2009 the dispute preoccupied the Federal Administrative Court. (Az. 8 C 2.09)

The case was finally decided on April 22, 2009. nice bank lenders had to cease its activity on German territory. A banking license was missing. The traditional loan in spite of debts from Switzerland stood before that. Alternative credit providers were obviously also affected by the judgment, because they too withdrew from the market. It was not until 2010 that the same group of investors was founded, so there is at least rumors that best bank in Liechtenstein. Fulfilling all official requirements, it now offers a legal loan without credit checker according to the model of nice bank lenders AG loans.

Liechtenstein loan – who can get the loan?

Liechtenstein loan - who can get the loan?

Employees are to be addressed by advertising the credit intermediaries with a loan despite debts from Switzerland. Only people who are in employment subject to social security contributions can qualify for lending. Another key point is the length of employment. The employment relationship with the current employer must have been in place for 12 months. It must not be terminated or limited. (Except time soldiers).

A loan without credit checker from Liechtenstein, based on the model of old Swiss loans, is only secured through income. The salary must therefore not be subject to a current attachment and must not be assigned in favor of others. Another point that is being checked for lending is the public debt register of the judicial district. An entry excludes the chance of a loan.

The amount of net income to be proven for credit approval is directly dependent on the loan amount requested. Already 80 USD net above the personal garnishment limit are sufficient to qualify for 3,500 USD credit. However, if the larger loan amount – 5,000 USD of credit checker-free credit – is to be applied for, the requirements will skyrocket. Only a net income that exceeds the limit of non-attachability by at least 550 USD qualifies for this loan amount.

Credit terms – credit despite of debts

Credit terms - credit despite of debts

A loan despite Liechtenstein debts is only granted in the amount of USD 3,500 or USD 5,000. Only one of the two credit options can be chosen. With direct application and non-cash payment, the bank calculates 11.62 percent effective annual interest for 3,500 USD net loan. If a USD 5,000 loan is approved without credit checker, the effective annual interest rate is 11.61 percent. The interest rate mentioned does not include any external costs. (Examples of external costs: postage, certification costs and cash payment by post).

Despite debt from Switzerland, a loan is always repaid in 40 equal monthly installments. With the loan variant with 3,500 USD, the monthly installment amount is 105.95 USD. A total of 4,238 USD including all interest and fees will be repaid. If a loan of USD 5,000 has been approved, the monthly installment is USD 151.35. In this case, the total repayable sum, again including all interest and fees, amounts to 6,054 USD. External costs, as already mentioned, can still be added to the loan despite debts from Switzerland.

7 tips to use credit cards well

But it is still money

But it is still money

It’s money: it’s so obvious that sometimes it seems like it’s forgotten. The credit card is nothing more than money that the bank lends us, but it is still money. That is, what we pay with it is not free. Usually they will charge us next month, but after all, they will charge us. That is, if within a month we are going to continue without money, buying with a credit card is fooling ourselves.

Payments: Something very important to use credit cards well is to schedule your payments like any other monthly expense. We know that on the 15th they give us 500 USD of mortgage and we usually have that money in the account. The 22nd is the moment in which we pay the 35 USD of ADSL, fixed and mobile; and we also worry that there are funds in the account. Well, at the end of each month we must look at what we have paid with the credit card, add the amounts and have that amount ready.

With a credit card it is enough: in many cases a single card generates significant headaches. Imagine what could happen with several. Our advice is that you have one or none.

Better the debit one: it can happen that, even having money in the current account, we think that it is better to pay with the credit card not to spend it. Better first what we have. What is already ours.

When to use the credit card?

When to use the credit card?

At this point we mean night. Yes, those hours when, with two or three drinks on top, and the corresponding ethyl excitement, we throw credit as if there was no tomorrow. But there is. And the hangover without money is much worse.

Payment control: it is important that we keep a record of payments by credit card. We do not even need to take paper and a pen, with electronic banking we will have all the information at the click of a button.

Review: it is difficult for them to be confused, but, just in case, it never hurts to review the payments we have made when our bank charges us for what we spent with the card.

How to perform Government Agency online loan simulation

The web makes selecting a loan easier today. Why? Just a few clicks are enough to view many proposals and compare their qualities. Using the Government Agency loan simulation, for example, we can know what the repayment commitments will be. What tools to use and how they work? We come to the answers.

Operations for online calculation of loans

Operations for online calculation of loans

The online calculation provided by Social Institute regards the loans disbursed by the same social security institution. In particular, the simulation of Government Agency loans concerns the credit lines pertaining to the public of those registered for the unitary management of credit and social benefits.

The direct Government Agency loans that can be processed are the Small Loan and the Multi-year Direct Loan. How to reach the calculation service?. The functionality that allows you to run the simulation is “Public employee management: simulation of small loans and long-term loans calculation “. The system implemented by the social security institution requires the user to enter personal data: from those relating to income to the figures that would be requested.

After the information has been provided and the calculation has been started, it will be possible to view, in a concise and clear way, many repayment details. It is also an opportunity to verify, in numbers in hand, the advantages provided by the single credit line.

Small loan and Multi-year: the proposals for civil servants and retirees

Small loan and Multi-year: the proposals for civil servants and retirees

The Small Loan as the Direct Multi-year are two direct ex Government Agency loans: they are therefore provided by the Institute (Social Institute) which manages the disbursement in compliance with the criteria defined by the respective regulations.

The questions accepted are those of those registered for the unitary management of credit and social benefits. In terms of interest rates, there is a precise distinction: the small loan has a TAN of 4.25%, the multi-year 3.50%.

There are also marked differences in terms of duration: the small loan goes from 12 to 48 months, the multi-year has a repayment plan of five or ten years.

Express credit serious – loans are offered in various forms

As is well known, loans are offered in various forms. As a layperson, it is not always easy to find the right loan offer for the planned project. Because many offers sound the same and only show in detail what you can really expect from them.

Many consumers are in a hurry to borrow and are therefore looking for a correspondingly fast loan. You want a simple recording that does not require a lot of paperwork and an unnecessary amount of security. However, it is often forgotten that the collateral is immensely important in order to receive a fair and worthwhile loan offer. Because as a borrower you can not provide any security, you are quickly attracted to dubious offers and take a serious step away from an emergency loan.

How do you recognize a rush credit seriously?

How do you recognize a rush credit seriously?

A serious credit can be recognized by its simple features. In the best case, this comes from a traditional bank and not from a credit broker who first has to see where he can get the loan from. This not only takes a lot of time, but also costs money unnecessarily. After all, the credit broker also wants to earn something. However, if you have nothing to hide and have good conditions for borrowing, you can also take out the loan directly from a bank and save a lot of time and money.

In addition, one recognizes a rush credit that it always requires collateral and that the loan is only granted if the borrower or a guarantor can demonstrate good to very good creditworthiness.

When it comes to taking out the loan quickly, care should also be taken to ensure that the loan is not necessarily taken up on the Internet. Due to the lack of direct contact with the bank, it can happen that the admission time is a little longer and the express loan quickly becomes a regular installment loan.

Pay close attention to how high the effective interest rate

Pay close attention to how high the effective interest rate

On top of that, we recommend that you always pay close attention to how high the effective interest rate for the individual loan offers is. Banks have traditionally paid for the quick provision of money quite well. If you are not careful here, you have to pay a very high effective interest rate, which in many cases is not worth it. Because fast lending is often desired. But it wouldn’t matter much if the money wasn’t available until two or three days later.

If you look closely and think about this, you can save a lot of money and make the express credit a real bargain.

Loans to online banks have a clear advantage

The Internet has developed into a good alternative to traditional methods and business in most areas of public life. It is no wonder that banking has also moved its offers to the new market. This has created numerous advantages and new opportunities for customers. As a result, loans from online banks are no longer uncommon. Of course, there are also some things to pay attention to.

Quickly to the desired loan

Quickly to the desired loan

Above all, loans from online banks have a clear advantage, the money is available to the customer faster than with comparable methods. On the one hand, this is due to the processing time, which can be quickly filled out for the user by means of clear search masks and thus requested. In this way, extensive advice in a branch, which usually has to be waited for, can be dispensed with.

As a rule, the applicant receives an approval for the loan immediately and can look forward to the money in his own account more quickly thanks to these factors. So there are good reasons why online loans are often called instant loans. In addition, banks can be reached by their customers around the clock on the Internet. This also makes it possible to make credit inquiries at any time.

Offer of the online banks

Offer of the online banks

Fast online banking also has some advantages for the banks themselves, which in turn enables them to offer their customers excellent interest rates. However, these can vary widely, not only between the individual banks, but also in terms of time. Loans to online banks should therefore be compared in detail. If customers do not find a satisfactory interest rate, they should wait a bit, they can quickly change again on the Internet.

Conversely, this also means that loans with very good conditions should be used quickly, as these could also deteriorate quickly. A great help are the credit calculators, which always compare the different tariffs with each other. The big differences between the individual offers quickly become clear.

The interest rate for a loan over USD 10,000 with a term of five years varies between 3% and 17% for online banks. A fixed interest rate, which is currently around 5% to 6% for online banks, should also be considered.

How to get Government Agency loans up to $ 80,000 At Discounted Rates

Government Agency loans up to 80 thousand USD

Government Agency loans up to 80 thousand USD

Government Agency loans are credit lines dedicated to public employees and pensioners that allow you to obtain liquidity at subsidized interest rates. Absolutely palatable products in the current panorama of consumer credit, since they give access to very high sums. In fact, it is possible to obtain Government Agency loans up to $ 80,000.

Specifically, the maximum amount payable varies according to the type of loan selected. The Government Agency offer includes four types of financing : small loans, multi-year direct loans, multi-year guaranteed loans and Social Institute ex Government Agency mortgage loans.

Small loans and long-term direct loans, such as Social Institute ex Government Agency mortgages, are paid directly by the social security institution. The Unitary Management of credit and social benefits is granted through a specific credit fund. The issue is different for the Government Agency secured multi-year loans, which are granted by banks and financial institutions affiliated with Social Institute, against a guarantee provided by the Institute.

Small loans allow you to obtain relatively low sums, up to a maximum of 8 months of salary or pension received by the applicant. The repayment takes place with an amortization plan that extends to a maximum of 48 months (minimum 12) and the interest rate (Tan) is fixed at 4.25%.

Direct and guaranteed multi-year loans

Direct and guaranteed multi-year loans

When it comes to Government Agency loans up to $ 80,000 then small loans should be excluded precisely because of their characteristics. Instead, multi-year loans and mortgages are to be considered. Direct multi-year loans are particularly attractive. They allow you to obtain sums of up to 150 thousand USD with an interest rate (Tan) of 3.5% and without having to take out a mortgage on the home.

Unlike what happens with small loans, however, they are granted only for specific purposes, on the basis of which the maximum amount payable is defined. The repayment takes place in 5 or 10 years.

Secured multi-annual loans present major obstacles. First of all, the loan is subject to the approval of the lending bank, since Social Institute only provides a guarantee. The interest rate then varies according to the case. Although Social Institute has signed agreements with banks and financial companies for the application of advantageous conditions, there are no precise rates applied by all banks. Likewise, the maximum amount payable varies according to the duration and repayment capacity of the applicant.

How Government Agency mortgages work

How Government Agency mortgages work

Finally, let’s move on to Government Agency mortgages, mortgage-backed loans provided by Social Institute to deal with the purchase of the first home, renovations and education expenses. The maximum amount payable cannot exceed 300 thousand USD, as a result they fully fall within the scope of Government Agency loans up to 80000 USD.

The repayment takes place in 10, 15, 20, 25 or 30 years with quarterly installments. The beneficiary can choose between an interest rate that is fixed or variable.