One of the most common forms of loan currently existing, direct credit to the consumer, or CDC, is defined as a credit operation used by individuals or legal persons for the acquisition of goods and services. It is a value that can be obtained in kind or as a credit, so that the consumer can make a purchase in an immediate way.
The concept is much simpler than it looks. Any term purchase made on the credit card, for example, may be considered a CDC operation. That’s because the idea of funding is to grant an amount so that the consumer can acquire the good or the service at that time and pay in future parcels.
Direct consumer credit can be offered by banks or financials, or through department stores. The format is very used for purchases of products such as furniture, appliances, cars, travel and etc, but can be very useful for purchases at higher values, such as equipment for assembling a small company, for example.
A necessary care in time to get that type of credit is with the total amount to be paid. Always check the interest rates charged and compare with your budget to ensure that you will be able to bear all costs until the financing is paid. Because it is a well-accessible and easy-to-acquire modality, it is important to assess in detail all the tax incidents and other amounts that may be levied.
At the same time, depending on the flexibility of direct credit to the consumer, it is possible to pay off the funding ahead of the time allotted. If, from the purchase of specialized machinery, your company grows faster, for example, it is easy to anticipate payments and negotiate the early discharge, reducing the interest rates of the total value funded.
Another great advantage is the ease of obtaining credit. Conditions vary according to the supplying institution, but it is usually enough to fill in a register and deliver some documents to get the value at the same time. For higher funding, it is necessary to rely on guarantors or other resources that are a little more detailed, but do not hinder access to credit.
Interest rates, smaller than the special cheque or credit card, are among the biggest benefits and differentials of direct credit to the consumer. They also vary according to the financial institution, but are usually advantageous to those who seek the modality. All this makes the CDC a very used credit format in the Brazilian market.
On the government website you can get to know other details about direct credit to the consumer. If you want to better understand how this format can help you get the equipment you need to assemble or grow your food company, leave your comment below.