Adverts
It may seem controversial, but people who have a negative credit history often still need credit for a variety of purposes, such as paying off debts, covering expenses, investing in a business, or even fulfilling personal dreams.
Even with a negative history, these people often have the financial capacity to take on new debts, but have difficulty obtaining credit approval due to their history.
Therefore, many people resort to options such as loans with higher rates or with additional collateral, such as real estate or a vehicle, to obtain the necessary credit.
Furthermore, it is important to highlight that credit is an important tool for economic development, both for individuals and companies.
Without access to credit, many individuals and businesses may struggle to make investments and grow financially, which can harm the economy overall.
Therefore, despite the risks involved, financial institutions may still see value in providing credit to people with negative credit histories, as long as the risks are adequately assessed and managed.
Is it possible to get a credit card if I have a negative credit history?
Credit cards for those with bad credit are an option for people who have a negative credit history and, therefore, find it difficult to get approved for conventional credit cards.
These cards work in a similar way to conventional credit cards, allowing the user to make purchases and pay for them later, with the difference that the financial institutions that issue these cards generally do not carry out such a rigorous credit analysis.
However, it is important to note that credit cards for those with bad credit generally have higher interest rates, as well as lower credit limits than conventional cards.
This is because these financial institutions consider that users with negative credit histories have a higher risk of default, and therefore need to mitigate this risk through higher interest rates and lower credit limits.
It is important that users of these cards understand the conditions and costs associated with them before applying for them, and that they use credit responsibly to avoid excessive debt. In addition, responsible use of these cards can help improve the user's credit history over time.
Which financial institutions allow people with bad credit to have a credit card?
Banco Inter offers the Inter Mastercard consigned card, which is intended for pensioners, retirees, public servants and employees of partner companies.
Credicard offers the Credicard Zero Card, which has no annual fee and can be requested by people with a low credit score. Digio has the Digito Card, which has no annual fee and can be purchased by people with a negative credit history.
Ourocard Fácil is a Banco do Brasil credit card that has a low income requirement and can be requested by people with bad credit. It is a good card because Banco do Brasil is an easily accessible bank for Brazilians.
And finally, we have Santander Free, a credit card from Banco Santander that has no annual fee and can be requested by people with bad credit and low income. It is important to note that the conditions and availability of each credit card may vary.
Financial institutions can assess each situation and analyze each customer's credit. It is important that the user checks the conditions and costs associated with each card before requesting it.
How to manage your credit card responsibly?
Credit cards are a great financial tool, but if not managed responsibly, they can lead to excessive debt. It is important to set a monthly spending limit and stick to it. It should be no more than 30% of your monthly income.
Paying your bill in full each month helps you avoid accruing interest and reduces the risk of getting into debt. If you can't pay your bill in full, it's best to pay the minimum amount to avoid late payments.
It is important to pay attention to your bill's due dates to avoid late payments and the accumulation of interest and fines. Use your credit card in moderation: only use it for purchases that are really necessary and within your budget. Avoid using it for impulse purchases.
Track your spending, and keep a record of your credit card balance to get an idea of how much you're spending and avoid a snowball of bills you can't pay.
Before applying for a credit card, compare the rates and benefits offered by different financial institutions to choose the option that best suits your financial profile. Don't accumulate multiple cards; only have the ones you need.
Remembering that these are some tips for managing your credit card responsibly, it is important that you inform yourself about how your specific credit card works and the rules to make the best decisions regarding its use.
