As of January 02, 2025, the new rules for payroll loans for retirees and pensioners under the Social-Security Authority (INSS) will come into force, pursuant to PRES/INSS Normative Instruction No. 172, dated August 28, 2024.[1]
Among the main changes is the flexibility of the exclusivity period for the offer of credit facilities, which previously set forth a 90-day block before contracting. With the new rule, from 2025 onward, retirees and pensioners will be able to request payroll loans directly from the bank responsible for paying the benefit, without the need to wait for this period.
The exclusivity to take out the payroll loan with the paying bank remains valid for the first 90 days after the start of the benefit, however, over this period, only the institution responsible for processing the payments will be able to offer the service and, only after this period, the beneficiaries will be free to look for other banks to compare conditions and interest rates. The initiative seeks to moderate the flow of initial credit offerings from other financial institutions, providing beneficiaries with an initial period to understand their options before considering alternatives in the market.
Another important aspect is the implementation of stricter security measures, such as the use of facial and digital biometrics that will be mandatory in operations, ensuring not only greater protection, but also agility in the credit granting process. The goal is to ensure that all beneficiaries have access to loans more quickly and safely, without the need to go through time-consuming red tape.
With regard to the payroll loan caps, this will continue to be 45% of the benefit amount, of which 35% may be allocated to personal loans, while the other 10% will be divided equally between the payroll credit card and the benefit card. This division aims to ensure that retirees and pensioners maintain greater control over their finances, preventing an excessive part of the monthly benefit from being committed to debt.
Needless to say, the success of the new rules will be directly linked to the cooperation between the government and financial institutions. This synergy is essential to ensure compliance with established guidelines.
When considering the impact of the new payroll loan rules for retirees and pensioners, it is crucial to recognize the significant role that these changes can play in the Brazilian economy. Payroll loans not only facilitate access to credit with more favorable conditions, but also boost consumption and move several economic sectors. However, the challenges of judicialization remain a pressing concern.
In the current context, Brazil faces a high rate of litigation, with more than 80 million lawsuits in progress[2], a situation that overloads the judicial system and generates significant costs for all parties involved.
From a preventive standpoint, it is essential that financial institutions implement advanced security technologies to ensure efficiency and protection in the contracting process. In addition, ensuring that consumers fully understand the contractual terms is crucial; for this reason, investing in transparency and financial education programs is also capital to promote the responsible use of credit, contributing to a safer and more conscious financial environment.
Thus, streamlining the areas of contracting payroll loans and adopting digital processes is a significant advance. What is more, the implementation of technologies such as facial biometrics serves as an effective tool to prevent fraud and litigation, ensuring the necessary security authentications.
Another important challenge in the context of the judicialization of payroll loans is the presence of procedural fraud, which ends up overloading the judicial system and consuming resources unnecessarily. This practice, often referred to as “predatory litigation,” stands as a considerable obstacle to the efficiency of the legal system.
In this context, it is crucial that financial institutions, regulatory agencies, and the judiciary collaborate strategically to address these challenges. The government should prioritize efficiency and ethics, combating abusive litigation practices that burden the system. Consensual solutions and strategic collaboration are key to improving internal processes and ensure effective judicial relief.
Therefore, while payroll loans play a relevant role in the economy, it is essential to address and mitigate the problems inherent to judicialization to ensure that this tool continues to benefit the country in a sustainable manner.
[1] https://www.in.gov.br/web/dou/-/instrucao-normativa-pres/inss-n-172-de-28-de-agosto-de-2024-581208980
[2] https://www.cnj.jus.br/wp-content/uploads/2024/05/justica-em-numeros-2024.pdf page 15.
Available in: https://lexlegal.com.br/mudancas-no-consignado-para-pensionistas-e-os-desafios-da-judicializacao/
Autor: Renata de Cássia Moraes Nicodemos • email: renata.nicodemos@hotmail.com • Tel.: +55 67 99234 3888
