CMN Resolution No. 4549 — Regulation of Financing for Credit Card and Post-Paid Payment Instrument Outstanding Balances

The Central Bank of Brazil, in accordance with Article 9 of Law No. 4,595 of December 31, 1964, makes public that the National Monetary Council, in a session held on January 26, 2017, based on Article 4, items VI and VIII, of the aforementioned Law, and considering the provisions of Article 7 of Law No. 12,865 of October 9, 2013,

R E S O L V E S:

Article 1. The outstanding balance of the credit card invoice and other post-paid payment instruments, when not fully paid by the due date, may only be financed under the revolving credit modality until the due date of the subsequent invoice.

Sole Paragraph. Financing of the outstanding balance through other credit modalities under conditions more advantageous for the client, including regarding the charging of financial charges, may be granted at any time before the due date of the subsequent invoice.

Article 2. After the period specified in the caput of Article 1 has elapsed, the remaining balance of the revolving credit may be financed through a credit line for installment payment, provided that it offers conditions more advantageous for the client compared to those practiced under the revolving credit modality, including regarding the charging of financial charges.

§ 1. The provision of the credit line referred to in the caput may be included in the credit card contract and other post-paid payment instruments.

§ 2. Financing of the outstanding balance of the credit card invoice and other post-paid payment instruments under the revolving credit modality of values already installment-financed as described in the caput is prohibited.

Article 3. The values subject to financing must be considered in credit risk assessment processes, including regarding the definition of credit limits for credit cards and other post-paid payment instruments.

Article 4. The provisions of this Resolution do not apply to credit cards and other post-paid payment instruments whose contracts provide for invoice payment through payroll deduction.

Article 5. The Central Bank of Brazil will monitor the implementation of the provisions of this Resolution, and may propose to the National Monetary Council, if deemed necessary, the adequate normative treatment of exceptional situations, observing, in any case, the guideline of offering more advantageous conditions for the client, including regarding the charging of financial charges.

Article 6. The Central Bank of Brazil is authorized to issue norms and adopt measures deemed necessary for the compliance with the provisions of this Resolution.

Article 7. This Resolution enters into force on April 3, 2017.

                Ilan Goldfajn  
                  President of the Central Bank of Brazil