The average total interest charged by banks on the revolving credit card reached 355.2% per year in February, the Central Bank announced today. The number represents an increase of 8.9 percentage points from January, and is 28.2 percentage points higher than the same month in 2021.
In the case of installments, still using a credit card, interest rose from 172.5% to 174.3% per year between January and February. In February last year, the rate was 167.1%.
Considering the total interest on the credit card, which takes into account revolving and installment operations, the rate increased from 67.3% to 73.2% in the comparison between January and February. In the same month last year, it was 63.2%.
The note with interest and credit statistics was presented by the monetary authority approximately one month late. The dissemination of indicators by the BC has been compromised by the mobilization of civil servants who pressure the government for salary readjustments.
The revolving card, together with the overdraft, is an emergency credit modality, widely accessed in times of difficulty.
In April 2017, the rule that obliges banks to transfer, after one month, the debt from the credit card revolving to the installment plan, at lower interest rates, began to apply. The government’s intention was to allow the interest rate for the revolving credit card to decline, since the risk of default, in theory, drops with the migration to installments.
Delinquency remained stable at 2.5%, the Central Bank said, an increase of three percentage points compared to the same month in 2021.