Discover the secret to your credit card interest, learn how to spend, save and enjoy the benefits that a card can offer you without having to pay dearly for what it offers!

Have you ever stopped to think about how your credit card interest rates can affect your finances? Here, we will unravel everything about this crucial subject without using complicated words. The goal is to help you make the best choice!

Understanding how credit card interest works, how much a monthly fee can reach and other associated charges will help you save and prevent your debts from snowballing.

So, get ready to unravel the mysteries of the financial world and take control of your money. Continue reading to discover all the details and transform your relationship with your credit card!

Credit cards in Portugal offer a series of benefits, such as discounts at partner stores, cashback, free operations and the possibility of splitting your payment.

However, it is necessary to be careful, as this is one of the most expensive and costly forms of credit for users. In other words, it is essential that you know all the details before going out using yours.

So how does credit card payment work? Therefore, when subscribing to the service, the bank provides you with a ceiling, that is, a credit limit to spend. In fact, it is possible to change this value according to your income.

Furthermore, you can use the card for two basic operations. The first is payment for purchases, goods and services purchased both online and in person. The second concerns cash withdrawals at the ATM, cash advance!

So, to give you an example, with a credit card you can pay for your purchases at a future date, agreed with your bank. On the other hand, with a debit card, the money already leaves your account directly!

However, this possibility, which may seem advantageous, could end up being a thorn in your side if you are unable to pay off your debt by the deadline, or split the payment, being forced to pay the interest on your credit card!

Interest is represented by two rates on your credit card: the APR and the TAN! However, it is important to keep an eye on the APR value, because it condenses the TAN and other interest payments to the bank.

This way, when you open your account or request your card, check the fee amount to decide whether it is worth it and worth it or not! In addition, other fees involve late payment interest when you delay payment.

When requesting a cash advance at an ATM, you may need to pay a fee. To find out the amount, you must consult your bank's price list. Furthermore, paying for purchases abroad may also generate extra fees.

In fact, it is worth mentioning that the interest rate for credit cards is the highest of all credit operations in Portugal. Thus, Banco de Portugal regulates that the maximum APR limit for credit cards is almost 16%.

Compared to other services, such as personal credit, this percentage is no more than 7%. In other words, depending on the situation, you may consider applying for a personal loan to have less debt.

When you pay your credit card bill in installments, what happens is that you will pay the interest, the longer you delay, the higher this amount will be.

So, always try to pay the full amount of your credit card bill to avoid being subject to interest. Furthermore, if you use the card again, even though you are already in debt, the situation will only get worse.

The same goes for using another card to pay part of the debt. The ideal in this case is to reduce expenses and, in the worst case scenario, take out a loan!

Firstly, it is important to find a bank that offers the greatest benefits and lowest interest rates for credit cards. Additionally, you can talk to the bank and request a rate reduction!

Furthermore, the important thing is to spend consciously with your credit card, so that you generate as few debts as possible and can settle them all smoothly! So, when in doubt, do the math!

Now that you know more details about credit card interest in Portugal, be careful to ensure your debts don't snowball. Consider whether you need to spend this amount on the card or whether there is another, more economical way!

If you are a foreigner in Portugal, you may be wondering whether you can obtain a credit card easily. Be aware that there is a variety of cards that accept people other than Portuguese citizens.

So, discover a series of digital banks that offer unique and interesting conditions that make the opportunity for a foreigner to obtain a credit card in Portuguese lands advantageous.

So, access the post below and check out all the details in our exclusive review! Discover the biggest advantages and disadvantages of applying for a card as a foreigner and find out how to apply!