In recent years, obtaining a credit card in Mexico has been significantly simplified, thanks to financial entities such as Wildebeest and Silverit is now possible to access a line of credit with more agile processes and less bureaucratic procedures.

Nu and Plata credit card: the reasons why they could complicate your finances. (Photo: Screenshot)

However, what at first might seem like a good decision to enter the credit worldlater it could become a real headache, especially if you don’t know the “fine print.”

That is why on this occasion in OfMoney I share with you the reasons why you should not apply for the credit cards offered by Nu and Plata.

To begin, you should know that the National Commission for the Protection and Defense of Users of Financial Services (Condusef) explains that the effectiveness of a credit card depends on the responsible use we give it, since there are no good or bad plastics.

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This is why, beyond knowing the benefits of these products, it is essential to pay attention to the associated commissions and charges, since, in the event of a delay, it is precisely the interest that triggers the growth of the debt.

Although most financial institutions, better known as fintechs, offer cards without annuity, this benefit is usually offset by high interest rates.

This means that, if you do not consider yourself a “total” customer, one who pays off your balance month after month, the interest could quickly consume your budget.

By not proving income, the lines of credit offered on both cards are usually reduced.

Although this can be quite useful for those who are starting their credit history or are afraid of a high credit line, as it limits them to the actual use of the card as a large expense or emergencies.

Currently, the main banking entities offer their clients a benefit known as cashback, in which a certain percentage of the money spent on purchases is returned to the user.

However, this reward program is usually conditional, since the user must choose a category or make a certain transaction in one of the affiliated stores, which does not end up being as convenient for the customer.

Being fintechs, they do not have physical offices like traditional banks, where you can request clarification if you have problems with some purchases or with plastic; solutions are made by telephone or chat.

Now that you know, follow the Condusef recommendations and, before requesting or acculturating a credit card, compare the options and choose the ones that best suit your needs and possibilities. About the author: Daniel Fitta He is a journalist passionate about personal finances; write every day in OfMoney of The Universal.