Currently, there are several card issuers that provide credit cards whose limit is called “flexible”, which often ends up resulting in the famous idea that consumers can buy what they want and when they want, which is not quite the case. In practice, this term now designated can result in several misinterpretations about credit cards. It is important to understand that no credit card is truly unlimited, they all have a built-in limit for security reasons.
To contextualize, the credit card limit works as a spending margin defined by the finance company and/or the financial institution (known as a bank), limiting how much the consumer can spend. Therefore, always consider the total purchase amount and not the installment. Also, the flexibility provided by these credit cards is a big plus. To give you an idea, normally these cards do not have a hidden limit lower than R$ 10 thousand, as they are aimed at consumers with high purchasing power, being considered a differentiated credit card and are updated.
In a way, the flexible limit allows the cardholder to buy with peace of mind. Even so, it is very difficult to have a purchase refused in this credit card medium, which, in turn, is dedicated to the high-income public. On the other hand, with flexible limit cards you will only know if the transaction is covered by the limit at the time of purchase. If the transaction deviates from your consumption profile, it can be automatically denied at the time of payment.
Therefore, this type of card takes into account the average spend and also the cardholder's purchase pattern. Now, if you need to make a purchase for a higher amount and you do not normally carry out transactions of this nature, it is convenient to communicate to the administrator through the Service Center, informing the approximate value of the transaction you intend to carry out with your credit card.
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To exemplify, the most well-known cards with a flexible limit are: Mastercard Black (or Mastercard World Elite in the United States), Infinite VISA, American Express Green, American Express Gold and American Express The Platinum Card. You can also contact the call center to find out what the maximum amount you can use on a specific card is.
Still, even if the cardholder could afford to spend millions of dollars on their credit card, if there wasn't a "hidden limit” these cards would be an easy target for bad actors. Therefore, the flexible limit takes into account your average spending, payment history, availability of funds, investments, among other variables to approve or not the respective transactions.
Hope this helps!
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