Microcredit is a solution of economic support for individuals or families who are in temporary financial difficulties, who have contracted debts and are unable to pay their installments on a regular basis, who have signed executive financing such as bills of exchange, or who need to obtain a personal loan to balance their financial situation but do not have access to credit. Precisely in order to meet these difficult situations, the Region of Sicily also proposed its idea with the sole objective of supporting Sicilian families who find themselves in difficulty with paying the loan or who have lost their jobs.
Microcredit for Sicilian families: DETAILS
The microcredit offered by the Sicily Region is a financial proposal that has the sole purpose of economically helping Sicilian families economically with the intent to counter the phenomenon of increasingly rampant usury in a period in which there is greater need to pay off contracted and difficult debts to be paid due to dismissals loss of job or increase in the cost of living, always higher on the Italian territory. Microcredit consists in the provision of subsidized interest-rate loans, granted by banking institutions that have an agreement with the Region, which also guarantee regular repayment.
THE WHY OF THE ETHICAL FUND
It is the Ethical Fund that provides the real and economic guarantee for banking institutions, which can thus grant certain loans for regular repayment and keep the interest rate lower, since the guarantee is the Sicily Region itself.
Microcredit in fact bases its guarantee on the repayment of the capital disbursed in the institution of the Ethical Fund, set up exclusively to guarantee and increase the granting by the credit institutes of personal loans with an interest rate that does not take into account the lack of guarantees that these subjects do not have because of the impossibility of approaching the credit, for the loss of their job or other financial difficulties in which they find themselves.
The microcredit of the Sicily Region has in fact the objective of resolving the conditions of temporary economic hardship, regarding housing needs, education, health protection, also realizing particular and individual family life projects with the aim of improving social conditions and organization of economic resources.
Microcredit for Sicilian families: REQUIREMENTS
The request for the Sicily Region’s microcredit can be requested by individuals and families who, as mentioned above, find themselves in a temporary situation of economic difficulty, and who cannot bear the costs or debts contracted but have the potential to rebalance their situation financial and regularly return the capital they benefited. It should not in fact be thought that the microcredit solution is a donation of money, but must be seen as a financial support to recover from a difficult economic situation.
Microcredit for Sicilian families: OTHER BENEFICIARIES
Non-profit organizations can also participate in the Sicily Region’s microcredit proposal, which must send their application for membership and the agreement form to the 6 – Credit and Savings Service via Notarbartolo 17 in Palermo, with the substitute declaration of notoriety for social cooperatives. Following the acceptance of the request for funding and the preliminary investigation, the agreement with a council decree must be approved. Only in this way, the non-profit organization can be included in the list of affiliated subjects.
Microcredit for Sicilian families: CAPABLE OF CAPITAL
The microcredit proposed by the Sicily Region allows the disbursement of variable capital in the form of a personal loan to families who are in conditions of economic and social difficulty, with a maximum amount of 6,000 USD. The capital you benefit from can also be renewed, for a total capital up to 25,000 USD, if the restitution and payments have been regular. To summarize and better understand the characteristics of the Sicilian Region’s microcredit and the requirements to be able to request and obtain it, also observe the table below:
|MICROCREDIT OF THE SICILY REGION||MAXIMUM CAPITAL WITH DISPENSE||MAXIMUM AMOUNT|
|FOR FAMILIES IN TEMPORARY ECONOMIC DIFFICULTIES||6,000 USD||UP TO 25,000 USD|
|CAPITAL POTENTIAL RETURN||RENEWABLE FOLLOWING RETURN||GUARANTEE OF THE ETHICAL FUND|
Microcredit for Sicilian families: the ETHICAL FUND
The microcredit proposed by the Sicily Region allows the disbursement of a maximum capital of 6,000 USD per vote, up to a total financing of 25,000 USD, thanks to the guarantee of the Ethical Fund of 12,000,000 USD, which allows the banking Institutes that physically grant the money, to have the certainty of the regular repayment of the capital.
Microcredit for Sicilian families: CAPITAL DELIVERY
The capital disbursed with the Sicily Region microcredit solution is entrusted to non-profit organizations, which are in charge of verifying the presence of subjective requirements and the sustainability of the return of capital by the families and subjects who request the facilitation. The application for participation in the microcredit is forwarded to a credit institution affiliated with the Sicily Region for the provision of funding for this project, which acceptance and rejection takes place in a totally discretionary manner.
Microcredit for Sicilian families: THE INTEREST RATE
The microcredit proposed by the Sicilian Region provides capital that uses a facilitated global annual percentage rate, applied directly to the loans and cannot be higher than the average global effective rate – TEGM – applied to personal loans and published by the Ministry of Economy and Finance. Finances, based on Law No. 108/96, reduced by 50%. The guarantee of the Ethical Fund constitutes the insolvency cover in the amount of 80% of the maximum capital granted. To better understand and recapitulate, also observe the following table:
|MICROCREDIT OF THE SICILY REGION||GUARANTEES||INTEREST RATE|
|ECONOMIC SUPPORT FOR FAMILIES IN TEMPORARY ECONOMIC DIFFICULTIES||ETHICAL FUND||TAEG NOT MORE THAN TEGM AND DECURTED BY 50%|
|REAL POTENTIAL OF RETURN OF THE CAPITAL||80% COVERAGE WITH ETHICAL FUND|
Microcredit for Sicilian families: WHO TO CALL FOR
To apply for participation in obtaining the microcredit proposed by the Sicily Region, families and interested parties must present themselves at one of the operational counters of the non-profit organizations affiliated with their municipality and present the required documentation.
SO MUCH FOR LAUGHING A FEW: THE EXCHANGE
Just to laugh a little, below is a video veiled by a bitter irony in which the protagonists, due to the lack of money to pay the last bill, to be precise 12,500 lire, find themselves in the situation of losing the refrigerator, paid with so many sacrifices. The loss of the refrigerator, as the bill has an executive title, no longer means the mere loss of a material good but becomes a cause for shame for the two spouses, who in the building are the only ones with the refrigerator, even among the most beautiful : the piece, entitled “La Cambiale” is taken from the film “Le Coppia” by Enzo Jannacci and Monica Vitti.