Card interest comes to 470.7%

Brasilia-with high unemployment and the fall in labor income, the number of people in debt grows in the country and, to make matters worse, the average interest of the debts are the highest ever recorded by the Central Bank. In July, the rate was 42%, but when discounted loans for the purchase of home ownership, that have subsidized rates, average interest comes to 71.9% and beats the record of historical series, initiated in 1994. In the month, the overdraft interest also are the largest ever levied – 318.4% per year. Higher interest rates increase the risk for anyone who joins in debts, mostly in overdraft and revolving credit card, which, despite a drop of 0.2 percentage points on the rate, there''s no reason to celebrate. The year, the index is at 470.7% – the highest among those surveyed by the Central Bank.
The overdraft rate is up 31.4 percentage points compared to December 2015, when was in 287% per year. The modality is the worst opponent that the public servant Raimundo Ferreira, 54 years, must face every day. He acquired a debt of R$ 5,000 in overdraft, pulled by higher interest rates. The server remember that knew I was high the annual interest when it became indebted and today he is surprised more and more every day. Currently, it pays taxes of 28% per month, the equivalent of 336% per year. "As there was no way to pay, was renegotiate part of the debt and got a payroll loans and, every month, the Bank takes my business R$ 2,000. The money comes out straight, "he said.
The average interest rate charged by financial institutions in credit operations recorded amounted to 29.2 percent a year in July, down 0.2 percentage point. In the year, the rate for the payroll also had the same retreated, but there has been an increase of 1.4 percent in the 12 months ending in July. Operation of personal loans to individuals, the average interest totaled 132.2% a year-high of 3.9 percentage point.
If it wasn''t for the help of his daughter, who also has fixed income, Raymond wouldn''t have doubts of how his life would be: "I''d be destitute, starving," he lamented. Without it, the official public account that would be a dead end, because the rent wouldn''t give to pay all the Bills from home, the more you pay off the debt. "I was going to get more and more debt. There''s no way out of this situation, "he admitted.
BAD DEBT in July, the rate of default of the credit operations reached 3.6 percent, after an increase of 0.1 percentage point. The level of default increased 0.1 percentage point families and closed the month at 4.1% on credit. The level of the companies already had a result stable and stood at 3%.
The roupeira Jaqueline Soares, 27, was unemployed until this month and therefore hasn''t had conditions to pay the credit card debt that has been going on for a year. Until then, she was Babysitting tips to pay bills from home, but the money was left to settle the disputes with the Bank. "Other than that, my dad helped me with my mother''s pension money. So I went looking for a job. Finally I found to get their bills on time this semester, "he said.
Tulio Maciel, head of the Economic Department of the BC, Tulio Macial, recommended that buyers think twice before using the credit card and overdraft. "Revolving credit must be used with great caution, for very short period of time," he said.
Shang Rasool, 47, General Services worker, has debts in various modes and try anyway clear the backlogs, making savings at home. "Decreases spending on water and energy, not to mention that I''m not leaving home for dinner or do any leisure activity. Just bought the essentials of nutrition. The way is to turn around, "commented.