Credit card use abroad will be more predictable

By March, credit card purchases abroad will be more predictable, with purchases registered closer to the currency exchange rate on the date of the transaction. Brazil’s Central Bank determined that exchange-rate conversions to real on the invoices consider the rate used by the bank on the day of the purchase, which is equivalent to the commercial dollar rate plus a spread. This rate will be disclosed daily by the banks. The spread enters the account to protect banks from potential “mismatch” in the transaction. “It is the price of predictability for consumers when they go shopping,” said an industry executive.

Source: Valor Econômico

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