Payroll loans are already quite common in Brazil. However, many people still do not know how to use paycheck credit card . And this is another facility that brings several advantages to its users.
Just like payroll deductible credit, the card is also paid through automatic rebates. Customers who use this card pay the minimum amount of each invoice directly from the salary or benefit and before they even receive it.
Therefore, you can only use paycheck credit card for those who have fixed and proven income. As in the payroll loan, this is the case of INSS Beneficiaries and Public Servants .
The paycheck-deductible credit card is also offered to the Armed Forces Military, as well as to some private sector employees who are contracted. So, even though it is so advantageous, this card template can not be used by everyone.
Want to know how to use the best payday loan? So take the time to discover how this tool works that can be so important in your finances. Check out!
Common Uses of Payroll Credit Card
The payday loan can be considered a common credit card. Payments are monthly and can be used on any purchase, as the customer prefers.
Whether it’s installment purchases or cash withdrawals, this option has several advantages.
You can use the payroll deductible credit card to pay for purchases normally. In physical or virtual stores, to buy installments in less or more times.
In addition, billing may occur in some cases within 45 days of purchase .
The credit limit will depend on the monthly individual income. Therefore, it is based on the net income that appears in the paycheck or extract from retirement or pension. These are the first differences that can be mentioned between paycheck and conventional credit card.
Apart from purchases in installments, the consigned credit card can also be used for withdrawals . These withdrawals can either be cash or transfer to the cardholder’s current account.
The rules may vary according to each financial institution. However, some banks allow up to 90% of the card limit to be taken out at once. But, of course, that will depend on the expenses that the customer has in debt.
How does revolving invoice credit work?
The revolving credit moves all the amounts that the holder still needs to take out. That is, everything that is bought in installments or is left without payment from one month to the other enters the revolving credit.
This credit covers the current expenses (open balance), but in exchange, it charges additional interest . It is worth mentioning that, even if paycheck credit card interest is lower than a conventional card, it is very important to keep accounts up to date and finances balanced.
Learn how automatic rebate and overpayment work.
Every month a portion of the credit card invoice is automatically deducted from the customer’s payment . The payment can be salary or benefit, the discount occurs in the same way.
That part that is paid automatically equals the assignable margin . Everyone who is entitled to payroll deductible loans has an assignable margin that must be respected.
The assignable margin was created to avoid indebtedness. Thus, every customer can commit 35% of their monthly net income with payroll deductible loans. Being:
- 30% of the income is for payroll loans ;
- The remaining 5% are for the payroll deductible credit card.
Therefore, every month 5% of the salary or benefit of the cardholder can be deducted for the discharge of the invoice.
If the customer spends less than this amount, only what has been spent is discounted. If you spend more, you need to pay the rest.
Invoice Over Amount
Everything the customer spends beyond the assignable margin is called surplus value. This part of the invoice needs to be paid as an ordinary credit card statement. That is, by means of a bank slip, for example.
The responsibility for payment of the excess value of the invoice is the cardholder. And if it is not paid, that amount returns next month, plus interest – that’s how the revolving credit works.
The interest rate on payroll-deductible credit card revolving credit is on average 29.9% per year. Very different from the values of traditional cards that revolve around more than 300% per year.
Being, therefore, in this situation, the user can choose how these expenses will be removed. The invoice can be paid in cash at its full value. Or, partially paid again. If no payment is made, customer charges interest at a later date on future invoices.
The care, in this and in any case of use of the revolving credit, is that, the longer the discharge period, the greater the debt value. That is, more interest is being added to the total amount.
So you have to be careful not to get red. Check out these 3 essential tips!
3 Tips for Using Consigned Credit Card Without Going Red
The payday loan credit card offers several advantages over common credit cards. Your interest rates are lower and your payment deadlines are higher.
In addition, users have the convenience of not having to worry about paying the minimum amount of the invoice, which is automatic.
However, just like any credit, if not used well, it can lead to other consequences. When used without moderation or control, for example, debts can accumulate and interest, even small ones, continues to grow month by month.
Learn the tips of the experts to use the credit card without incurring debt:
1 – Use credit card for planned purchases
When a purchase is planned it is possible to prepare in advance. Both in relation to the purchase, as well as the payment (which is taken as more important). Thus, the monthly installments should fit within the budget.
The credit card should not be used to buy daily and without discretion. The ideal, of course, is to use it only in exceptional cases where you need to have additional credit or longer term for payment.
On the other hand, if the purchase is not planned, it may jeopardize a portion of the owner’s payment, making the balance received less at the end of the month.
2 – Avoid using the limit value
The card limit , as well as withdrawals in kind, should also be used when there is no alternative. So, again, planning is always necessary.
By compromising the limit and using the paycheck credit card with less important purchases, the user will be left with no margin to use when a financial emergency appears, for example. And this can compromise the finances of anyone.
3 – Keep invoice value within margin of 5%
When the client spends only the minimum amount of the installments he does not have to worry about additional payments. That is, the expenses are within the limit that is automatically deducted from the salary or benefit.
This prevents any extra expenses not being paid in the current month and generates additional costs – not foreseen, in the following months. In addition, what is already paid automatically is easier to control.
In other words, the ideal is to keep debts at the tip of the pencil. So it is possible to use the payroll deductible credit card without worry.
If well used, this feature can even be understood as an ally. Whether for the achievement of a goal, for a desired trip, for the funding of studies .
So, if you want to exchange the most expensive debts for the payroll deductible credit card, this may be the opportunity.
How to apply for your Payroll Credit Card online
Anyone who is interested in using the payroll deductible credit card can make an online credit simulation and apply for the card over the internet.
With basic information the financial institutions can already analyze the application and approve the credit card. It’s fast, easy, no bureaucracy!
With available margin, only the personal documents, such as RG and CPF, must be presented, along with an updated proof of address and proof of payment of the last months.
So how about looking for the best credit deal right now? You can use the online credit simulator for free , search various offers and ask for your payday loan without leaving home!