In-depth payroll credit

Pay credit is one of the most requested products by financial service users and one of the easiest to obtain. According to the financial authority, two banks, BBVA Bancomer and Banamex, account for 54% of the financing.

The National Commission for the Protection and Defense of Users of Financial Services (Condusef) reported on the results of supervision in 2018, in terms of financial transparency and quality of payday loan product information, made during the course of the year. Year 2018 at 12 Banks

According to a press release, it was reported that these 12 financial institutions providing payday loans have a market share of 99.8%, with a balance of the loan portfolio of 230 000 697 million pesos, according to the figures. published by the National Banking and Securities Commission in June 2018.

Experts have indicated that this type of credit is one of the most popular products for financial service users, due to the fact that it was a credit granted easily, its main characteristic being that the discounts are made on the payroll of the company. worker

It was explained that, in fact, salary credits can be granted to workers whose salary is paid to a payroll account at a financial institution. It was explained that the process is usually as follows: a company distributes the payroll to its workers through a financial institution that opens payroll accounts to employees; Once with the account, the financial institution offers salary credits to the employees of the company. The Commission has indicated that the advantage of these credits for constituents is that the institution automatically withdraws the periodic payment of the credit when the employer dispatches the payment of the payroll. It is therefore easy and quick to treat.

It was explained that, although it is a credit without a physical guarantee, the credit risk on the payroll is lower than that of other unsecured consumer loans, since to the extent that the worker continues to work for the same company, he receives the payment. of your salary on a regular basis in your payroll account. Thus, the intermediary continues to receive the payment of the loan and gives rise, in addition, to the offer of other financial products and services (mobile telephony, insurance, savings).

IN TWO BANKS

Condusef pointed out that, nevertheless, the cost of this credit could be lower, but that the high concentration on the market is known, the cumulative participation in the total portfolio of the 2 largest bidders (BBVA Bancomer and Banamex) being only a little over 54% in recent years; In addition, the participation of the five largest companies (including Santander, Banorte and HSBC) also remained stable at around 96%.

It was pointed out that the transparency oversight process consisted in verifying that the documents and information used by the financial institutions with the users, before the award of the contract and for the duration of the loan, complied with the regulations in force, so that analyze customer records containing documents such as membership contract, coverage and account statement.

In addition, they stated that it was verified that the information leaflet, the product advertisement and the web page contained consistent information and did not give rise to errors or confusion.

The most used The salary credit is one of the most used to finance family projects

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