From this Sunday (1st), expenses made with credit cards abroad will be charged according to the dollar exchange rate equivalent to the day. Therefore, it begins to be valid no longer according to the rate exchange rate in the days before the invoice is closed.
The new rule was defined by the Central Bank (BC) at the end of last year and should avoid scares when paying bills.
The option to lock the exchange rate so that expenses are paid according to the dollar exchange rate set for the day. Now this is not new and has been authorized by the BC since 2016. However, few banks have passed on the possibility to consumers.
Previously, the amount to be paid on the invoice was defined just ten days before closing, which left the consumer without knowing for sure what exchange rate would be used for the conversion.
However, with the new rule, the value in reais of expenses will be equivalent to the dollar exchange rate on the day the transaction is carried out, which may also vary between banks or card brands, as each one has its own calculation formula. .
Another important detail is that the BC also stipulated that banks and financial institutions must publish daily on their service channels, until 10 am, the quote that will be applied for that day.
The measure, as disclosed in a note, aims to combat “the reduced possibility of comparing conversion rates practiced by card issuers, which discourages competition”.
Taking care of your international card
Are you excited to take a trip to the United States? Despite the practicality of the new rule, there are still some aspects related to credit cards that must be observed carefully. See below what they are:
How is IOF charged for international credit cards?
In addition to the dollar exchange rate, it is worth remembering that expenses made with credit cards in international territories are subject to an IOF rate, the Tax on Financial Operations, of 6.38% per purchase. For example: imagine that a tourist made a transaction in dollars, worth R$ 1,000.
When paying the invoice, a fee of 6.38% will be charged on the purchase price. To calculate how much tax will be paid, just do R$ 1,000 x 0.0638 = R$ 63.80. Therefore, the final amount to be paid will be R$ 1,063.80.
And there's no point trying to escape: debit cards or the famous prepaid ones are also subject to an IOF of 6.38% per purchase, if they are used to pay international debts.
So, if you are going to travel and are only thinking about the financial side, the tip is: take physical cash.
“If we momentarily leave aside the issue of security, then the best option is to take the currency in cash. Thus, the transaction is only subject to a fee of 1.1% for exchange transactions, instead of the 6.38% for cards”, details Henrique Erbolato, lawyer specializing in tax law and partner at Santos Neto Advogados.
How to use your credit card abroad
In addition to worrying about the exchange rate and the amount to be paid in IOF, there are some precautions that must be taken before the card is used for trips abroad and becomes effective.
1) Firstly, it is always important to check whether the credit card is international and can be used in other countries; generally, the information is described on the card itself;
2) Another important detail is to notify the bank in advance that you will be traveling internationally, so that they can unblock the function. Otherwise, the card may be blocked due to 'suspicious use' – a security measure that is commonly adopted by different financial institutions;
3) Here's a warning: to avoid negative surprises, it is important to always find out in advance about the payment method that will be used on the invoice, as other forms of calculation also do not become illegal and can be used, as long as the customer expressly chooses to accept them;
4) Credit card ownership is also an issue that cannot go unnoticed: despite the chip being the most used option in Brazil. Because there are still many countries or stores abroad that prefer reading using the magnetic strip, which must be signed by the card owner. And like many establishments abroad, they only make purchases upon presentation of an identity document. Therefore, the transaction may not be carried out if the card belongs to a third party.
