How does the credit card bill installment work?
Did the card bill come higher than you expected? A good option may be to install the credit card bill. Even if that is the debt that will bring the least trouble with the full down payment – not repaying your home financing, on the other hand, would be quite problematic.
How to make?
In general, adherence to installment is quite simple, and does not require any contact with the operator. In the invoice, it is common to have information about the number and values of installments, if the consumer wants to do so. As soon as you pay the stipulated minimum installment amount, the individual automatically joins the installment payment. In other cases, you only need to access the card’s internet banking and select the installment option. A maximum of 24 debt relief installments can be adopted.
The advantage of making the installment payment is that your name is not subject to inclusion in credit protection services. After all, you are not defaulting, but delaying the payment of amounts. In addition, it is possible to pay off debt more comfortably without financial complications.
Installment or revolving?
It is important to highlight that the installment is very different from the revolving, feared by many consumers. While the first distributes the debt amount over a few months, the second consists of the minimum payment of the invoice.
In the latter case, interest rates are quite high, as much of the debt goes to the following month. Revolving charges can reach 16% per month, while in installments the interest rate usually does not exceed 9% per month.
Revolving also occurs when the consumer fails to pay the bill. That is, it is subject to the same high interest rate, over an even higher amount. Therefore it is crucial to adhere to a form of payment. Considering security for finances and interest, credit card payment installment is the best option.
Credit Card Invoice Installment Care
When it comes to adhering to the installment payment, it is essential to reflect. Firstly, with the option, the consumer assumes a debt for the following months. This means that finances must be planned to ensure that this and any other debt will be paid on time. Delaying installment payments is a bad deal.
To make the installment of the credit card bill is to assume a new debt, and therefore requires careful planning of the finances.
Make interest-free installment on card
Therefore, it is also essential to evaluate card credit. The limit will be released as it is paid in the month. Smaller values, however, are no guarantee that you will not spend more than you can.
So put all your monthly expenses at the tip of the pencil, including the monthly installment. Then check how much you should spend on your credit card over the next few months.
Finally, consider other ways to repay debt. There is, for example, the possibility of borrowing. Considering mainly the payroll, the interest rate charged may be lower than the installment – which will be advantageous.
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Alternatively, you can ask your employer to advance your 13th salary for debt repayment. Or count on the refund of income tax. If you have an inactive FGTS account, you may also be entitled to extra budget amounts, which would be great for invoice payment.