The credit card is one of the financial products most used by Brazilians currently one of the most requested products from our platform. With the ease of applying for credit card and Brazilians using it on a day to day basis, the invoice can get out of control. When the credit card bill reaches our budget we have two options: pay the minimum amount or installment . Understand the two options below.
What happens when I pay the minimum credit card bill?
Also known as revolving credit , the minimum payment is one of the champions of high interest, behind only the interest of overdraft . For this reason, paying the minimum invoice is recommended only when you pay the remainder the following month. When you choose this option, your limit is also compromised as only what you paid will be released. See the example below:
Your credit card limit is $ 500. Your bill for this month was exactly $ 500 and you will not be able to afford this debt, choosing to pay only the minimum $ 102.73. Your limit until the next payment will be what you paid, in this case $ 102.73
In addition to the high interest rates that will come on your next credit card bill, if you do not plan to pay it in full, it will come high again.
One option to avoid revolving credit is to apply for a loan with interest less than your credit card. By paying the full amount of your card with a personal credit you release the limit and you get a fairer interest option. We have widely used personal loan options for these cases , our clients seek us out of revolving credit as they are seeking to improve their financial profile and score .
What happens when I split my credit card bill?
Credit card billing installment is a great option for you if this month’s bill comes in unexpectedly. However, this option depends on availability, please contact your card carrier to find the best option. If you have a portion of the money, you can negotiate a cash amount and installment the rest, but be careful if your credit card has an annuity, as it may become an unexpected amount beyond the installment.
If you’re looking for credit card options, look for a low-rate or annuity-free one so you don’t lose track of your accounts. See some options by clicking here. There are options where your annuity can come out for free with the use of the card!
So, is it clearer now? If you have questions, our team is always happy to help you find the best financial solution. You can apply for credit card and other products through Sureline Credit through our website or app, available from the Apple Store and Play Store. Sureline Credit brings together several partner options so you don’t leave your plans behind: you sign up for our platform, choose one of our partners, submit your details and await approval. Simple, fast and without leaving your routine!