This tool will allow consumers to compare all the charges associated with the credit cards they use with those available in the market. There are relevant differences in the case of annual maintenance and/or administration charges, charges that can range from $0 to over $350,000.
The Sernac ordered the first “Credit Card Comparator” so that consumers can know the cost of using the card and compare it with others available in the market.
Currently, there are around 15 million four hundred thousand bank and non-bank credit cards in force in the country (Financial Retail). On the other hand, the average bank credit card debt reached $555,837while in the case of non-bank credit cards it reached $240.8762.
Lucas del Villar, director of Sernac, points out that in general terms the new tool has allowed visualize the important differences that exist in the amounts of maintenance charges that financial entities charge for the use of credit cards.
Indeed, in the case of total maintenance and/or administration charges in the year, the minimum charge is $0, while the maximum amount exceeds $350 thousand for this same period.
In the case of charges for cash advance in installmentsit can range from zero cost to an amount of $29,990 for each operation.
Likewise, an important aspect to highlight refers to charges for purchases and advances abroad, which vary in the form and unit of collection. For example, some cards define these charges in UF, others in dollars, and may even consider a percentage of the amount of the transaction or a mixture of the above.
The financial Sernac law in 2012 established a series of requirements and parameters for financial institutions that allowed consumers to know how much they would end up paying when requesting a loan, through the inclusion of tools such as the Total Cost of Credit (CTC) and the Charge Annual Equivalent (CAE).
the comparator
The comparator will allow consumers easily and automatically know and compare the amounts for transaction charges applied by the different financial entities to the use of credit cards, either in the national or international market.
In addition, this tool will enable people to know the amounts of the charges for administration and/or maintenance that consumers currently pay in their financial institution in the period of one year.
The Credit Card Comparator is available to consumers through the website www.sernac.cl
some costs
The credit cards CrediChile Mastercard Universal and Santander Universal have the lowest charge for maintenance and/or administration, with a total annual value of $26,504; while the highest is obtained by the La Polar Cardwith an amount of $189,316.
Cost of buying in installments
By using the tool and selecting the option “Cost to buy in installments”, The Banco de Chile/Banco Edwards Mastercard Universal and Credichile Mastercard Universal credit cards appear as the cheapest for an operation of $100,000, with a value of $120,628; while the most expensive was Ripley Card, priced at $126,188.
Cost of requesting a cash advance
Finally, in the case of consulting for a cash advance for $100,000, the Universal Leader Credit Card is the one with the most convenient value, with $118,344; while the most expensive option is presented by the Hites Credit Card, with an amount of $151,226.
