How Does Credit Card Work? Know the Rates

The credit card offers the possibility to make purchases today and pay them later.

With them you can install more expensive purchases, buy from foreign websites and accumulate points to be exchanged for air tickets.

To have the card it is necessary to be over 18 years old or to be emancipated and to be with a clean name. Depending on the bank or issuer, it is necessary to prove income.

The card request can be made through the telephone number of the bank’s call center, the bank branch or the website (if you already have a checking account).

For those who do not have a checking account, it is necessary to present RG and CPF, proof of residence and proof of income.

Once the application is approved, the bank establishes the credit limit, which is the maximum amount that can be spent. This is determined according to income.

Credit Card Rates

 Credit Card Rates

On the basic credit card (the one that does not have rewards programs and is only used to pay for purchases or services), there are five types of fees that any bank can charge:

  • Annuity: Charged every 12 months to cover card costs. Can be parceled out. However, some less well known banks do not charge this fee.
  • Charge : fee charged for cash withdrawals. There is interest collection and IOF (Tax on financial transactions)
  • Payment of bills (electricity, water, gas and telephone): the cost of the operation is charged.
  • Second way of the card: issuance fee in case of loss or theft
  • Emergency Credit Card Assessment: A fee is charged when a purchase is made that exceeds the credit limit of the card

“Is it in debt or credit?”


The debit card is linked to the checking account. When using debit cards, the amount is subtracted directly from the account. Credit cards, on the other hand, offer loans offered by financial institutions, usually banks.

Using a credit card means you will repay the amount on a pre-defined date called an “invoice.” The invoice due date is chosen by the customer. However, if the payment is not paid in installments, there is no interest charge.