Credit cards have become a very popular element among Brazilians, but there are still those who do not understand how it works, what its rates are, am
ong other things. Today we will take a very common question from consumers: credit card installment has interest?
Install credit card purchases
Installment payments may occur with interest-free purchases, but this varies according to the conditions offered by the establishment in which you are making your purchase. If the store does not give the customer the interest-free installment option and yet wants to split the purchase amount, he will eventually pay the interest charged by his credit card management. Remember that in this case the interest rates can be very high, and vary according to the administrator.
And the installment of the invoice?
Well, installment credit card bill is a possibility that is not offered by all administrators. In addition, you must be very careful, because both in the case of installment and invoice payment, the interest is very high.
If you have spent more than you could with the card, it is important to try to renegotiate your debt and make payment with cheaper lines of credit.
What charges can I get from my credit card?
Under credit card rules, five charges are accepted:
- Credit Card Annuity;
- Fee for issuance of duplicate credit card;
- Fee for cash withdrawal in the withdrawal function;
- Rate per request for emergency credit limit assessment;
- Card billing fee.
What is the Emergency Credit Limit Request Rate?
You may have already seen a charge with this name on your credit card statement, haven’t you? Please note that it is very common for it to be provided for in the credit card agreement and its value varies by administrator. If in doubt, consult your credit card agreement.
Remember that the charge of this rate is not unique. It can happen whenever you try to use a value above your credit limit and the amount is released by the administrator. No matter how much the excess was, the fare may be charged.
But it is noteworthy that the non-collection of Emergency Credit Limit Request Rate cannot be made more than once in the same month. In addition, the customer may have the option to disable this feature on their card, so that purchases over their limit are only automatically declined.
Understanding Credit Card Invoice
Some data is required when talking about credit card billing and you should be aware of it. Here we list the items that should appear on your invoice, as well as the administrator fees:
- Total credit limit;
- Limit for each type of credit operation that can be compared;
- a list of all credit card charges at the date of purchase, including the number of installments;
- identification of credit operations that were contracted by the consumer and their respective values;
- The Total Effective Cost (CET) applied for the next period of credit operations that may be contracted (eg revolving);
- the amount of charges that will be charged the following month if the customer chooses to pay the minimum invoice;
- minimum amount of invoice to be paid;
- amounts related to charges charged, reported separately, according to the types of transactions performed with that card.
How does the credit card limit work?
Just like when we apply for a loan or a loan, the credit limit of the card is set according to the rules set by the financial institution. She may use a specific profile analysis and may or may not release the credit card to the consumer. In general data are considered as risk, income, ability to pay, among others.