How much will it cost to refinance credit card debt starting in November

2023-10-30 14:20:00

From November, Paying card fees will be more expensive. It is that, in the last hours, the Central Bank raised the interest rate applied for the refinancing of unpaid balances in plastics.

Starting from the penultimate month of 2023, the percentage that will be applied to balances that could not be paid rises from 107% to 122% annual nominal (TNA)with a total financial cost greater than 300%. It should be noted that this applies to smaller amounts of $200,000 or US$200.

For its part, and with respect to consumption that exceeds this margin, The rate may not exceed 25% of the rate that financial institutions apply to personal loans.as expressed by the Credit Card Law. That is why the CFT, in these examples, It will depend on each bankfinancing in private entities is more expensive compared to public ones.

Oil workers announce a strike and blame companies for fuel shortages

The decision was published in the Official bulletinwhere the Communication “A” 7862/2023 of the monetary authority. Although the decision It does not affect purchases made in installments with a rate already setyes it will for the total balances that have not been paid at the time of closing (that is, when the minimum or partial payment is made).

In this way, the new rate will impact the debt accumulated with the bank issuing the cardbut it will not alter the value of the installments that could have been taken, for example under the program “Now 12” or with a particular business.

This, will mainly affect the most economically vulnerable peoplewhat they are getting more and more in debt to access basic products in the midst of the current inflationary scenariowith monthly variations in the CPI double digits during August and September.

A rate increase in the midst of an inflationary context and government measures

While in the eighth month of the year, the index stood at 12.4%in the ninth was slightly higher, at 12.7%in what they are, both, unprecedented figures since the last hyperinflationwhich occurred in the late 80’s and early 90’s.

This trend would be repeated during Octoberwhere, according to private consultants, the final number, to be disseminated in the run-up to the runoff between Sergio Massa y Javier Miley, It would be positioned just slightly below the latest brands.

The double-digit monthly price increase, according to the projections of the Survey of Market Expectations (REM) of the Central Bank, would remain at least until February 2024, inclusive.

Economy in war mode due to dollar restrictions and political uncertainty

In relation to individual and family financing through cards, and given the current economic panorama, the National Government launched, in recent weeks, credits of up to 400 thousand pesos, to be paid in 24, 36 or 48 installments, for workers in a dependency relationship.

The requested amount is deposited, in case of approval of the application, directly to the credit card linked to the salary account. This allows not only consumption, but also cancel an existing debtwith an Annual Nominal Rate (TNA) of 50%, less than half of what will begin to apply from November.

To obtain this credit CONSIDEREDfocused on plastics, the following steps must be followed:

You must enter with a Social Security Code (generate it if you do not have it) on the website (anses.gob.ar) or the entity’s mobile application
After doing so, you must request the credit, clicking on the option Credits for workers in a dependency relationship
Fill out the necessary documentation, with the amount and number of credit installments to request, in addition to the salary account where the tcredit card to apply for the occasion.
If the request is approved, a ccode by SMS or notification linked to the Mi Anses application with the same
With that code and the National Identity Document (DNI)each person must go to an ANSES office, without an appointment, where their identity will be validated.
After being attended to by an executive, you will be asked, again, if the credit is accepted, to avoid scams.
Once all steps are completed, the money will be credited to the credit card in the next seven business days.