Credit cards are one of the most widely used financing methods today. Some users choose an option Pay the minimum amount Provided by banking entities, whether for Low cost Or for an opportunity Debt deferral.
When a person pays only the minimum amount, the… The remaining balance is refinanced automatically at a very high rate. In each case you should check the account summary, as it provides details not only of the price but also of the account details Total financial cost (financing terrorism).
More and more Argentines are failing to pay their credit cards
Another thing to keep in mind is penalty interest, which is applied to the cost of the refinance if it is paid off late. And that’s why it is necessary to consider Total financial cost.
Profile I consulted with tax expert Adriana Czerwony from Parque Gestión Studio, who stated that “The debt can double And even triple within a few months if the habit of paying the minimum balance is maintained.
Consequences of paying the minimum amount on the card
The financial impact is first, but the credit impact is added to it. The credit situation in the financial system deteriorates. The bank explains this The client is experiencing difficulties To cover your total expenses. The available credit capacity is then reduced and placed in… Negative scoring.
Antonella Cimadini: “Credit card arrears have doubled in six months”
Tax expert and Chair of the Small and Medium Enterprises Committee (CPCECABA), Elisabet Piacentini, said: Only positive details Who has to pay the minimum balance, is that they “won’t tell the user how to do it.” debtor At the Central Bank.” In addition, he pointed out that once the minimum payment is not made for one month, “The card informs you immediately We remain as debtors in the databases of the Veraz type or even in the central bank,” so the user is given another classification, as a financial debtor.
The best advice, Piacentini added complete financial education, “So everyone knows that making the minimum payment on a credit card is quite risky, because they then get financed at high rates.”
For his part, Cherone advised that if there was Accumulated debts“The first thing to do is to look for a personal loan with A Lowest rate To cancel all that credit card debt. In search of getting out of the circle of unpaid interests that is becoming more and more overwhelming.
Credit card transactions fell 1.2% in October
A report from First Capital Group explains this Transactions in pesos with credit cards It rose in nominal value monthly by 1.3%, bringing the balance to $21.9 billion of the accumulated total, achieving year-on-year growth of 63.4%, compared to $13.4 billion at the end of the same month of the previous year. Regarding real changes, there is a monthly decrease of 1.2% and an annual increase of 24.2%.
Senior Capital Partner, Guillermo BarberoHe pointed out, “The month ended with… Capsular contracture In real terms, as a result of the scarcity of installment offers with and without interest, despite it being a traditionally strong month,” he said, highlighting the history of Mother’s Day..
Defaults in banking entities: “Banks reduce lines, cut credit policies”
“Although this segment is one of the groups least affected by rising interest rates, the failure to update credit limits has prevented the growth of balances.”, Barbero explained.
While dollar transactions via credit cards recorded a monthly decrease of 16%, bringing the balance to $616 million of the accumulated total, a decrease on an annual basis of 4.9%, compared to $648 million at the end of the same month of the previous year. “the Balances financed with plastic money “It also suffers a decline during this month,” Barbero concluded.
JZ.
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