Among the information available in your account statements, there is a commission that you must cancel annually. To find out what annual credit card membership is, continue reading this article.
What is the annual membership of the credit card?
The membership commission, or annual membership, is an annual charge made by financial institutions to their cardholders. This payment is originated by the administration expenses of part of the benefits granted by the credit card. For example, the insurance packages they offer to their owners and the international assistance network.
Financial institutions periodically tell you the amount of the membership commission generated by your card. And if they do not happen, it is your duty to be informed about this amount so that you avoid inconvenience. Depending on the franchise and credit card category you own, the annual membership can mean hundreds of soles. In the event of any carelessness, said contractual obligation can unbalance your personal budget.
The annual membership of the credit card is an established amount that does not depend on the consumption made with it. Then, it is false the belief that by making little consumption with your card you reduce this fee.
Is there a way to exempt payment from the annual credit card membership?
Some financial institutions offer promotions to their cardholders, in which they assume the payment of this commission. These promotions are generally conditioned to a minimum consumption level, to which other requirements are added. It will allow you to know your financing possibilities quickly. You will be able to know the value of the monthly installments that you would pay by choosing between different variables of property value, credit amount, term, monthly net income and monthly payments of other credits.
For example, the GBCAs Bank exempts the card membership payment when the monthly consumption is high. Some consumptions are not considered valid for this promotion, such as that made in casinos.