Brazil Payroll Loan (Consignado) Calculator
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Consignado is Brazil’s cheapest consumer credit: installments are deducted at source from a salary or social-security benefit, so lenders charge a fraction of what they charge on ordinary personal loans. This calculator applies the 35% payroll margin in force since Provisional Measure 1,355/2026 and the standard PRICE amortization formula, showing the installment, the maximum you could borrow inside your margin, and total interest.
How the payroll margin works
The "margem consignável" is the share of monthly income that can be committed to voluntary payroll deductions. Provisional Measure 1,355/2026, effective May 19, 2026, cut the global limit from 45% to 40% of disposable income for both INSS retirees and federal public servants: up to 35% for payroll loans and up to 5% for each type of payroll-linked card. The global cap is scheduled to fall two percentage points a year until it reaches 30% in 2031.
The percentage applies to disposable pay — income after mandatory deductions such as social security, withheld income tax and court-ordered alimony — not to gross salary. Private-sector employees borrowing through the Crédito do Trabalhador program face the same 35% loan margin.
On a R$2,000 monthly income the loan margin is R$700. At the 1.85% monthly cap, that margin supports up to R$22,141.56 over 48 installments, or R$29,724.50 over 84.
Interest-rate caps in 2026
Unlike most Brazilian credit lines, several consignado products carry a legally binding ceiling. For INSS retirees and pensioners, the National Social Security Council set the cap at 1.85% per month on March 25, 2025, and it remained unchanged as of August 2026; payroll-linked credit cards are capped separately at 2.46% per month. Federal executive-branch servants have a 1.80% monthly ceiling set by ministerial ordinance.
Private-sector employees have no general cap. Since June 26, 2026, however, borrowers who pledge collateral — up to 10% of their FGTS severance balance, up to 100% of the FGTS termination penalty and up to 35% of severance pay — get a rate limited to 1.99% per month. Without collateral the product averaged around 3.79% per month.
For context, the Brazilian Central Bank put the average non-payroll personal loan at 7.08% per month in June 2026 — 127.3% per year.
| Product | Monthly cap / average | Annual equivalent | Interest on R$10,000 over 48 months |
|---|---|---|---|
| Federal servant consignado | 1.80% | 23.9% | R$5,018.87 |
| INSS consignado (cap) | 1.85% | 24.6% | R$5,175.08 |
| CLT consignado with FGTS collateral | 1.99% | 26.7% | R$5,617.05 |
| Payroll-linked credit card | 2.46% | 33.9% | R$7,149.13 |
| CLT consignado without collateral | 3.79% (avg) | 56.3% | R$11,857.53 |
| Non-payroll personal loan | 7.08% (avg) | 127.3% | R$25,307.95 |
Why the gap between consignado and other credit is so wide
Because repayment is withheld before the borrower ever sees the money, default risk on consignado is close to zero. That is why R$10,000 over 48 months costs R$5,175.08 in interest at the INSS cap but R$25,307.95 at the average non-payroll personal loan rate — a R$20,000 difference on the same principal.
The practical rule for anyone eligible: check remaining payroll margin before taking any other kind of consumer credit. Revolving credit-card debt in Brazil runs above 400% a year; an unused consignado margin is almost always the cheaper way out.
Watch for the payroll-linked credit card being sold as if it were a loan. It consumes margin, charges a higher capped rate and its minimum monthly deduction often barely amortizes the balance. Always ask for a quote on the plain loan and compare the totals.
Portability, refinancing and fraud protection
Existing borrowers can move a contract to a cheaper lender through portability: the new bank settles the old balance and takes over the debt at a lower rate. The original lender cannot refuse, and the operation is free. Refinancing ("troco") is a different product — it extends the term and hands back cash, usually raising total cost even when the installment falls.
Early payoff is a statutory consumer right, with a proportional reduction of interest not yet accrued. Always ask for the discounted payoff balance in writing.
Consignado is also Brazil’s most fraud-prone retail product, because deductions are automatic. Since 2026 INSS contracts require facial biometrics and confirmation in the Meu INSS app within five days, and phone or power-of-attorney contracting is banned. Beneficiaries can block new consignado contracts entirely through Meu INSS or by calling 135, and federal servants confirm each operation individually in the SouGov.br app.
Frequently asked questions
What is the interest-rate cap on Brazilian INSS payroll loans?
1.85% per month — about 24.6% per year — set by the National Social Security Council on March 25, 2025 and still in force in August 2026. Payroll-linked credit cards have a separate 2.46% monthly cap. Banks may charge less, so it is worth requesting quotes from more than one lender.
How much can I borrow with consignado?
Your installment cannot exceed 35% of disposable income; the loan amount is whatever principal produces that installment at the agreed rate and term. On R$2,000 of income the margin is R$700, which supports roughly R$22,142 over 48 months or R$29,725 over 84 months at 1.85% per month.
Do private-sector employees get the same rate cap?
No. The Crédito do Trabalhador program has no general ceiling — rates are set by competing lenders through the digital work-card platform. Since June 26, 2026, pledging FGTS severance collateral caps the rate at 1.99% per month, versus an average near 3.79% without collateral.
Does this calculator include IOF and fees?
No. It applies only the monthly rate you enter, using the PRICE amortization table. Real contracts add IOF financial-transactions tax, an origination fee and often bundled credit-life insurance, so the legally disclosed CET (total effective cost) always exceeds the nominal rate.
Sources
Mathematical estimate using the PRICE amortization table and the rate entered. Excludes IOF, origination fees, credit-life insurance and every other component of the CET. Caps and margins reflect Brazilian rules in force in August 2026 and may change; actual rates vary by lender and borrower profile. Informational only — not a credit recommendation.
Related calculators
Also available in Portuguese: Simulador de Empréstimo Consignado