An invalid citizen is considered to be any citizen who is physically and mentally impaired and who is therefore in a situation of psychophysical disadvantage.
But does their unfavorable situation also have an economic impact, such as the possibility of accessing forms of loan?
Let’s clarify. In the Italian legal system we have 4 types of disabled people classified according to the invalidating cause:
- Civil disabled (Law 66/62; Law 381/70; Law 382/70; Law 118/71).
- War invalids (DPR 915/78).
- Invalid for service (DPR 915/78).
- Disabled of the job (DPR 1124/64).
And according to the provisions of art. 38 of the Italian Constitution, these categories of citizens have the right to economic and welfare support, receiving a pension in the ways and measures provided for by the legislative system.
In order to have the recognition of civil disability it is necessary to find a handicap, also called physical, mental or sensorial infirmity, which therefore causes functional damage, i.e. loss or limitation to carry out an activity no longer normally, but with obvious and serious difficulties. These difficulties must correspond to a reduction in working capacity of more than 1/3.
According to Presidential Decree 915/78, both a military and a civilian who, working for the state, has been subjected to impairments of any kind for war causes such as the explosion of a bomb, is defined as a war invalid.
The Italian State compensates this category of citizens by providing a treatment defined as a war pension which can be paid both directly to the person and to family members if the person has died or if the person perceived it before dying (reversibility).
Disability of service
According to Presidential Decree 915/78, all public employees who have been disabled due to illness or an accident, always due to their work, are defined as disabled by service. This invalidity must be ascertained at the Peripheral Medical Commission.
The Presidential Decree 1124764 establishes that all those employees of private companies who as a result of an illness or accident resulting from the activity carried out suffer a disability of more than 20% can be considered disabled. This recognition must be made by the INAIL of the province where the accident occurred.
Different is the case of incapacity for work which instead provides for an infirmity or pathology that causes permanent impossibility to perform any job.
But can disabled pensioners apply for a loan?
We assume that the figure of the Social Institute pensioner (or other body) who receives his retirement pension monthly is considered by banks and financial institutions to be a top figure. But who receives the disability pension are treated by the banks in the same way?
In most cases, invalidity pensions are represented by subsidies, i.e. by not particularly high figures linked to the not always certain trend of a certain accident / illness and this is why we are going to analyze for which categories of disabled there is a concrete possibility of requesting a loan.
Comparison of probability of disbursement between personal loan and assignment of the fifth – with pension
|Type of pension||Probability of disbursement Personal loan||Probability of loan disbursement with assignment of the fifth|
|War invalidity / reversibility pension||Average||High|
|Pension with service invalidity||Very low||High|
|Pension with working disability||Low||High|
|Pension with disability||Low||High|
|Civil disability pension||Very low||Low|
|Social allowance / pension||NO||NO|
So from what is shown in the table not all pension categories can be financed through a personal loan. As far as the invalidity pension is concerned, the only really feasible solution is that of the loan with the assignment of the fifth which, however, is granted on the basis of the type of invalidity attributed to the applicant.
For example, as shown in the table, a category of pension that cannot be financed with the assignment of the fifth is civil invalidity, or cases of checks or social pensions.
Among the categories that can be financed, however, we find the pension for the disabled of war and therefore also that of family members called reversibility and also the category of pensioners with disabilities / incapacity for work.
How to request the assignment
If you have a disability pension, you must provide the documents attesting your income, all the documents and medical certificates as in a normal loan plus a form that directly provides the bank or financial institution that certifies the various pathologies of the applicant.
Since there are probabilities of death by the applicant – sometimes high, sometimes minimal – it should be emphasized that this type of financing is compulsorily protected by an applicant’s life insurance policy. In fact, the form filled in by the doctor is then assessed by the insurance company that decides whether or not to grant coverage for the transfer of the fifth and then consequently the credit institution accepts or rejects the request.
When is it not delivered?
Here are the cases in which the Bank generally does not pay the loan with the assignment of the fifth even if guaranteed by the disability pension itself:
- too serious disease and high probability of death;
- disability pension too low to be able to cover the installments;
- uncertain disability pension – in the sense that it can be revoked at any moment – on the basis, for example, of a recovery – or a clear improvement from the accident or pre-existing illness
As we have analyzed, the Bank does not always welcome the request for a loan with a disability pension. In fact, we must also consider the fact that in many cases the invalidity pension is not always assaultable in the event of default, this means that the credit institution cannot rely on it in the event that the applicant stops repaying the loan.
In conclusion, the disbursement of a loan for invalidity pension holders is assessed on a case-by-case basis, this is obviously because the Bank wants to be sure that it is possible to repay the amount lent but the optimal solution remains for most cases the request through assignment of the fifth.