Italy lifts fifth‑pension loan rates for loans above €15,000

From 1 July to 30 September 2026 Italy’s Ministry of Economy and Finance and INPS implemented new reference rates for the “cessione del quinto” pension‑loan scheme. The update, based on the Bank of Italy’s average effective global rates (TEGM), sets a 13.87 % average rate for loans up to €15,000 and a 9.57 % average rate for larger amounts, with usury ceilings of 21.3375 % and 15.9625 % respectively. For borrowers over 79 years the ceilings coincide with the usury limits. For younger age brackets the thresholds are lower and vary by loan size.

The increase is asymmetric: the TAEG ceiling for loans above €15,000 rose by about 0.09 percentage points, while the ceiling for smaller loans changed by only 0.01 point, keeping rates for modest credit essentially stable. INPS’s “Quote Quinto” system automatically blocks any loan plan that exceeds the prescribed caps. As an illustration, a 72‑year‑old applying for an €18,000 loan sees the maximum TAEG rise from 10.02 % to 10.11 %, a modest annual cost increase.