Now 12: hacks and key points to make the most of its benefits

The Internal Trade Secretariat relaunched the program now 12through which you can purchase various goods and services in derivative payments in up to 24 installments at a nominal subsidized annual rate of 72.75%less than inflation.

Having a negative real rate, the program is convenient for those looking to buy a product and pay for it in installments instead of cash or for those who want access to a good or service and do not have all the money, since they can pay it month by month. In addition, the program is very timely since, due to the difficult situation and the impossibility of many Argentines to save, the now 12 It officiates, at this time, as an incentive for consumption.

One of the main program restrictions renewed is the implementation of a new requirement that requires companies to have price agreements signed with the Secretary of Commerce to be able to participate. However, it should be clarified that this requirement excludes SMEs, as well as small and medium businessesand only applies to items that have current agreements.

Now 12: How to make the most of it

The renewal of the program now 12 It is of great importance to maintain solid consumption, despite the current context. The dynamics remain favorable, especially because “many people cannot save and are dedicated to consuming”. From this perspective, it is crucial to continue encouraging consumption. “However, there are some points to take into account,” he explains. Maximilian Ramirezformer Undersecretary of Macroeconomic Programming, in dialogue with Ambit.

In this sense, Ramírez points out that, in terms of demand, the program is beneficialsince it continues to encourage consumption by offering financed payments at an interest rate of 72.75%, in contrast to a inflation exceeding 100%.

“This implies that you are consuming at a negative rate over 12 months,” he comments, adding: “This leads you to make purchases in installments and continue to maintain consumption, which is favorable from that point of view.”.

Despite this, the former official points out, the price agreement establishes that the participating companies must “commit to keep them”. For this reason, he warns that it is important to consider “how many companies will join this program” because he doubts that many are willing to tie themselves to a price agreement in a context of inflation, which has a floor of nominality 7% monthly.

Consequently, Ramírez warns that there may be a shortage of product supply within the framework of this edition of the program, which could generate upward pressure on prices.

Now 12: buyers eye

Likewise, it maintains that part of the cost of the subsidized interest rate will be assumed by the banks, for which reason it considers that it will be necessary to lend “a lot” attention to “How will this fee be covered?”. And it is that Ramírez explains why when financing at 72% there is “a mismatch with the nominal rates of deposits that the banks obtain, which is 97% (TNA)” for traditional fixed terms.

“That is to say, banks will face challenges to participate in the program due to the difference in rates, which may discourage their participation,” he said. In this sense, he explained that although it is likely that they have agreements or a special format with the Government to enter the programthe mismatch between active and passive rates could imitate your interest in offering this type of program.

Now 12 Vs. Inflation

Consequently, as mentioned above, the program is beneficial for consumers, since the subsidized annual nominal rate of 72.75%, well below projected inflation for this year. So, Damian Di Pacedirector of Focus Market, assures in statements to this medium that, “in everything that can be used, it is opportune”, since the Government has now extended it to other types of goods such as motorcycles or bicycles and in turn, “for winter vacations”.

and exemplified Say Pace: “A ticket for the theater that is around $10,000, for a typical family, is $40,000, but taking it out with Now 12 ends up being very convenient since the rate continues to be subsidized.”

In summary, the renewal of the Ahora 12 program is key to maintaining consumption, but it is necessary to consider the limited supply due to price agreements and the possible reluctance that may appear in some banks to apply it due to the difference in rates. These factors can create challenges in the successful implementation of the program..