CDC Loan Calculator (Brazil)

CDC: a loan with a fixed monthly rate

Crédito Direto ao Consumidor (CDC) is a Brazilian bank loan that carries a fixed monthly rate, usually amortized through the Price system, where every installment is the same. You find the installment with PMT = PV · i / (1 − (1+i)^−n). Here PV is the financed amount, i the monthly rate, and n the number of months. Take PV = R$ 5,000, i = 2.99%, and n = 12: PMT works out to about R$ 502, and you end up paying roughly R$ 6,024 in all.

Banks offer CDC to individuals and companies, and it comes in three main flavors. Personal CDC lets you spend the money however you like but charges the highest rate. Vehicle CDC uses fiduciary alienation, meaning the car itself secures the loan, which brings the rate down. Consigned CDC has the installments pulled straight from your payroll or benefit, and that's the cheapest of the three. Whatever the model, compare the CET (Custo Efetivo Total). It folds in IOF, registration fees, and insurance, and it usually lands 2–3 percentage points above the nominal rate.

Where it applies

People use it to buy durable goods like appliances, furniture, and vehicles, or to cover medium-term cash flow needs. It also works as a deliberate alternative to a store's "interest-free" installments. Those plans usually bury the interest in the price, so a CDC at a transparent low rate, combined with a cash discount, can end up cheaper.

FAQ

CDC or consigned credit? When you qualify, consigned almost always wins on price. The default risk is lower because the payment comes off your payroll automatically.

Can I pay off early? Yes. Under Law 10.820/2003 and the CDC rules, the bank has to discount the future interest in proportion to what you settle, so never accept a "no discount" answer for an early payoff.

What about the IOF? It's a federal tax that runs 0.0082% per day, capped near 3% a year, with an extra fixed 0.38% on top. The CET already accounts for it.