Payroll deductible credit is a great solution for those who need a quick cash.
It was created to make loan access easier for pensioners, retirees and, of course, your company employees. However, although it eliminates bureaucracy to a minimum and has much lower interest rates, it is still a loan and should be used with caution. Let's look at 5 tips for your employee to use payroll loans prudently.
1 - The loan needs to have a specific purpose.
The excellent conditions of payroll loans make it very tempting, and often used to achieve goals for which it is not worth it. For example, it is common to find situations where it is used for day to day payments, or for smaller goals like buying a home appliance.
While it works, and can even be used in an emergency, your money can be spent more efficiently if there is financial planning to cover future expenses without having to rely on the loan.
Remembering that the main purpose of payroll loans is to exchange expensive debt for a cheaper option. For example, credit card or overdraft debts.
2 - Rate credit very well
After determining the purpose behind the need for credit, it is best to evaluate all available options in order to choose the best one. Firstly, you need to assess whether the credit meets your need and your financial availability. Payroll-deductible loans are very positive in this regard as they have clear comparative advantages over any other.
3 - Make a detailed financial planning
Another key tip is to avoid overpayment of payments. For this you must always do the financial planning.
First, how much of your income you will commit to repay the loan. There is a stipulation by law that this amount should be up to 30% of salary, but the ideal is to work with a slightly lower number. After all, you never know what can happen and it's always good to leave a little fat left over.
4 - Avoid accumulations
Another important aspect of planning is to leave the path clear for the loan. That is, you need to evaluate what other payments will be made during the debt repayment. The goal is to always leave as few payments as possible to avoid accumulations that may make it necessary to apply for a new loan to cover. The snowball effect can be hard to stop. However, if you need a new credit, try to renegotiate the payroll loan you already have extending the repayment term and maybe receive some cash difference in your favor.
5 - Always do the financial monitoring
It is also critical to follow up carefully during the payment so as to get the exact size of the debt before committing the money to another transaction. Since there is no billet or clear charge, since the rebate is automatic, it is a little difficult to see the impact it has on finances, and how the wage itself decreases during payment. You have to do the control.
The payroll loan is not a 7-headed animal. On the contrary. It is a financial modality with some of the lowest interest rates on the market and a payment condition that has many advantages. But care must be taken to use this feature responsibly and prudently.
At Crédito Folha, you can help make your employees knowledgeable about loans and have an experienced partner. Register your company with us and make this operation much safer.