The decrease in the Central Bank's monetary policy rate has led to a decline in financing rates. In this context, Cuota Simple, the Government's plan that previously offered payment options in 12 and 18 installments, is now reduced to three and six installments. This modification has caused the fee, which was previously 43.2% with the former BCRA rate (32%), to drop to the current 39%, being 135% of the reference rate.
Banks managed to negotiate favorably with the Government, as the previous payment term was up to a year and a half, with a rate equivalent to 125% of the monetary policy rate. Starting in 2025, they succeeded in increasing this to 135% of the rate. However, bankers were requesting a fixed rate of 56%, fearing that the Central Bank might lower the reference rate as inflation decreased, a proposal rejected by the economic cabinet.
The official financial plan has proven to be more expensive than external alternatives, reflecting the complexity of the current economic landscape in Argentina. For example, six installments with interest include a nominal annual rate (TNA) of 92%, with a total financial cost of 171% for financial entities and 211% for non-financial entities. The latter are not part of the Cuota Simple plan.
Guillermo Barbero, partner at First Capital Group, pointed out: "We will see in the coming months how the market replaces the offer that the Cuota Simple operation presented and whether it can maintain the nominal and real growth that credit card financing has been experiencing."
