At least eleven Brazilian banks, between public and private, suspended the granting of payroll loans.| Photo: José Cruz/Agência Brasil

The Civil House reported on Monday night (20) that a new meeting will be scheduled to define the ideal rate for the payroll loan. The announcement was made after the end of the meeting with representatives of public banks and the government, without a consensus on the maximum value of payroll interest for INSS retirees. There is speculation that the value will be above the current 1.70% and below 2.14%, as it was before.

“It was agreed that a new meeting will be held by Friday. The expectation is to reach an agreement on the rate”, informed the Civil House.

According to the Civil House, the Minister of Social Security, Carlos Lupi, will call a new meeting of the National Social Security Council to discuss the issue next week.

The government has been trying to seek a “middle ground” for the payroll interest ceiling, after ten financial institutions suspended operations of payroll credit lines for INSS beneficiaries. The Brazilian Federation of Banks (Febraban) even mentioned that “the new ceilings have a high risk of reducing the supply of payroll loans”.