When you speak about paycheck, for those who do not know the term, the first image that comes to mind is the traditional checkbook. But do you really know what a overdraft is? For we are actually talking about something else.
After all, what is overdraft?
The overdraft is nothing more than an “automatic loan”. The bank automatically lends to the account holder when he has to spend beyond the amount he has in his account.
Let’s say you have 100 reais available in your account, but you need to pay a 250-dollar bill as a matter of urgency. So that you do not delay the payment of the ticket, the bank releases each client a special check limit. That is, additional money that will then be returned to the bank, with corrections. In this example, you would use 150 reais of the overdraft, which would be returned, with interest, once you put some money into the account.
By the ease of handling that money, the fees are generally high. Some banking institutions offer the special check limit for a few days (up to 10 days) without charging any fees. It is important to be attentive. Banks that give days without interest may have rates higher than the general average of the banks when the time for exemption ends.
To choose your bank, you need to identify if you frequently use overdraft. And also how long you are debtor to choose the institution that best suits you. In the case of banks that give the interest exemption in “so many” days, be careful to cover your account before this deadline expires. After him the interest will come with everything.
How much interest payment?
Now that you know what special check is, it is important to know the interest. Each institution defines, based on several indexes, the interest rate of the overdraft. In a survey carried out by the Procon-SP Foundation, in March of this year, the average rate of the banks surveyed was 13.53% per month. To get an idea, in the same survey it was identified that for personal loans the rate was 6.4% per month. So it is worth considering if there is a real need for a loan. Without the possibility of paying for it in the short term, it is worth considering other ways to obtain resources. Here is the best time to consider a personal loan.
Should I or should not I use it?
It is important that the trader be aware that this limit does not really belong to him. It is not the actual value of money that the customer has available in your account, but a credit given by the bank.
It can be very useful in cases of diseases, emergencies in general. But its use should not be trivialized because it is a very expensive way of obtaining the resource.
It is also important to consider that, when used, the accountant has as goal to cover the account as soon as possible. The interest charged is daily and can be an unpleasant surprise at the end of the month.
If you are curled up and using the overdraft a lot, it is worth considering a personal loan. Here’s how to make a personal loan online.