Government of RJ tightens rules for payroll loans to avoid debt

Of this total, 35% can be used for loans and other discounts, and 5% will be reserved for the assigned credit card. New consignments are also prohibited when the sum of mandatory, compulsory and optional discounts reaches or exceeds 70% of the consignee's tax base.

For people aged 60 or over, the contract will only be valid with a physical or digital signature from the contractor or his legal representative and presentation of an official document with photo. The decree also prohibits commercial harassment and active marketing directed at this audience.

In another measure, the State Government temporarily suspended payroll deductions relating to loans and credit cards granted by Banco Master and Credcesta. The suspension applies to the October payroll, paid in November, and is preventative in nature to allow the investigation of possible unauthorized or irregular discounts.

In case of an undue discount, the institution must return the amount in full, with monetary correction and legal interest, within 30 business days.

The decree also prevents new operations involving benefit cards and salary advances. Old contracts remain valid until the end of the expected period.