Clipping of news on Brazilian Culture, Law and Citizenship
08/15/2016
This article was translated by an automatic translation system, and was therefore not reviewed by people.
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It is easy to use and quick to spend, but it takes care
One of the tips is to have only one
card. Photo: Disclosure
More than half of Brazilian families are in debt and most of it is because of the credit card, the villain of the financial health of the people, so it must be used sparingly. And look at that, with ten care, can you avoid many problems.
The figures illustrate the drama of many people. According to a survey of June the National Confederation of Commerce (CNC), 58.1% of households have debts, and the credit card is responsible for the debt at 76.6% of them.
Not to be part of these statistics, it takes a lot of financial discipline and planning. This goes also for the awareness of the correct use of the credit card, as explained by the chief economist of the Credit Protection Service (SPC) Brazil, Marcela Kawauti.
"People end up using the card as a way to increase income. Spend all that can not in the month and the next month, have to take account of the fixed costs and the previous month's card, "says Marcela.
She says that it is okay to let the credit card for "moments of real need," when you have no money, but need to make certain purchase.
According to the economist, it is a mistake out using the card in all that is a thing. "It is important to avoid using the card on purchases of everyday life, such as food, shoes and clothes."
Another slide quite common (and dangerous) is to get excited about the card limit. "Many people end up using the card limit associated with the overdraft as if they were income, as a supplement to the salary, which is an absurd mistake," warns economist Claudio Goncalves, noting that banks play the limit up there to encourage the use.
By the time the bill arrives, nothing to pay the minimum amount. "The bank offers this bait you pay the minimum. But this bait costs 400% interest per year. And pay interest is a sin against yourself. Is the person financially crippling, "says the president of the Association of Economists of Brazil, Manuel Enriquez Garcia.
According to a survey by the National Association of Finance Executives (Anefac), credit card interest rates have reached the absurd 447.44% per year in July, in the country. For months, the interest rate is 15.22%. It is the highest value recorded since October 1995.
Get tips:
1. Have only one card
If it is too difficult to control spending on a credit card, picture with several. Having a card facilitates the task of not having debts.
2. Do not get carried away with the card limit
The banks put the very high card limit to encourage the customer to use it. Never spend more than you earn.
3. Avoid installment
A good way to not lose control of spending is paid everything in sight. With installment payments, you will joining the values of new purchases to acquisitions made in previous months. Also, depending on the number of installments, no interest charges. If you do not have to pay all at once, think it is not better to wait, save money and pay cash, calling up a discount for it.
4. Get in the habit of consulting invoices
How will you know if you are spending too much or too little in the month? Just checking the invoice of your card weekly. Can you see the changes in banking or internet application.
5. Run away from store cards
Even with the benefits and discounts to have a store card interest rates are often very high. And it's an account for you to manage. Best avoided.
6. Avoid using it on shopping day to day
grocery shopping, clothes, shoes and everyday expenses should not be paid with credit card. Leave it to real situations need, when you need credit to purchase certain.
7. Beware of the annuity
You can reduce the annuity and to not pay it. Talk to your account manager and be wary of no annual fee card offers. This may be worth only for a period and the value rise after.
8. Do not pay the minimum card
The greatest sin of those who do not want to have debts is to pay the minimum amount of the invoice. Interest is very high and worsen your debt.
9. Enjoy the benefits
Credit cards usually have rewards plans, offering miles for air travel and points to be used as discount in trades. See what are the advantages on the site of the flag of your card or the bank manager. Enjoy the benefits, but do not be fooled: the bank just does it all for you encourage increasingly use the card.
10. Think not have card
If you can not control spending credit card, it is better not to have it.
Source: The Tribune
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This article was translated by an automatic translation system, and was therefore not reviewed by people.