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Using a Brazilian Credit Card Abroad: IOF, Exchange Rates and DCC

By PointsExplainedLast reviewed

Budget for IOF

As of September 2026, add 3.5% IOF to card purchases and cash withdrawals abroad, and to prepaid-card loads and foreign cash.

Know your issuer's conversion rule

Conversion is at the issuer's rate on the day of spending, unless you expressly accept conversion on the payment date.

Decline DCC unless it's cheaper

If a merchant or ATM offers to charge you in reais, compare its rate with your issuer's; Visa's rules say the choice must be yours.

Avoid cash withdrawals on credit

They can carry a fee, pay IOF and can be excluded from rewards.

Check the bill line by line

Each foreign operation must show the currency, the US dollar equivalent, the conversion rate and any fees.

Where this comes from

Sources

The documents this guide relies on. If one has changed since we read it, the document is right and this guide is out of date.

  1. Decreto nº 6.306/2007 — Regulamento do IOF, texto compilado (Planalto)

    Compiled IOF regulation (art. 15-B, VII, IX, X, XX): rates currently in force as worded by Decreto 12.499/2025; phase-down in art. 15-C (Decreto 10.997/2022) marked as revoked by Decretos 12.466 and 12.499 of 2025; references to Decreto Legislativo 176/2025 and ADC 96.

    planalto.gov.br · Accessed
  2. Decreto nº 12.499, de 11 de junho de 2025 — altera o Regulamento do IOF (Planalto)

    3.5% IOF on FX operations settling issuers' obligations for purchases abroad, on withdrawals abroad, on prepaid-card loading and traveler's cheques, and on foreign cash; dated 11 June 2025.

    planalto.gov.br · Accessed
  3. STF — STF restabelece parcialmente decreto que eleva alíquotas do IOF (16/07/2025)

    On 16 July 2025 Justice Alexandre de Moraes, in a joint interim decision in ADC 96 and ADIs 7827 and 7839, restored the IOF decree's effects from 11 June, keeping only the 'risco sacado' part suspended; Congress had approved (25 June) a legislative decree suspending it; the decision was to be analysed by the full court.

    noticias.stf.jus.br · Accessed
  4. Banco Central do Brasil — FAQ: Qual a taxa de câmbio cobrada quando faço compras no exterior com cartão de crédito?

    Conversion at the institution's rate on the day of spending; payment-date conversion only with express acceptance; purchases abroad denominated in reais go on the bill in reais without indexation; bill contents for foreign operations.

    bcb.gov.br · Accessed
  5. Banco Central do Brasil — FAQ: Informações na fatura do cartão de crédito de uso internacional

    Bill for international use must show the foreign currency and amount, USD equivalent on each date, USD-to-BRL rate on each date and the BRL amount.

    bcb.gov.br · Accessed
  6. Visa Brasil — Explicação sobre conversão dinâmica de moeda

    Visa requires merchants and ATMs offering DCC to display amounts in both currencies, the exchange rate and fees or markup; they should let cardholders accept or decline, must not choose on their behalf, and should not influence the decision with language, font size or color; Visa recommends declining and reporting to the issuer if details are missing or under pressure; accepting or declining doesn't affect the ability to buy or withdraw.

    visa.com.br · Accessed
  7. Banco Central do Brasil — FAQ: Quais tarifas podem ser cobradas pelo serviço de cartão de crédito?

    A fee may be charged for cash withdrawals abroad on the credit or debit function if provided in the contract.

    bcb.gov.br · Accessed
  8. Banco Central do Brasil — FAQ: Cobrança de tarifas relacionadas a cartão

    IOF is incurred on international credit card purchases and on foreign currency purchases.

    bcb.gov.br · Accessed
  9. BTG Pactual — Regulamento do Programa de Fidelidade BTG Pactual

    Withdrawals made with the card are excluded from points and cashback (cl. 4.5 iii).

    cdn.btgbank.com · Accessed
  10. Nubank — Termos e condições do Pacote Nubank+ (vigência 26/12/2025)

    Cash withdrawals are excluded from cashback.

    nubank.com.br · Accessed
  11. Banco Central do Brasil — FAQ: Parcelamento de compras realizadas no exterior

    FX rules don't regulate installments abroad; depends on the merchant's contract with the card network.

    bcb.gov.br · Accessed
  12. Banco Central do Brasil — FAQ: Compras ou despesas realizadas com cartão no exterior

    Prepaid cards may be used abroad; loaded in Brazil via an institution authorized to operate in FX; more than one currency allowed.

    bcb.gov.br · Accessed
  13. Banco Central do Brasil — FAQ: Vou viajar para o exterior. Quanto posso comprar em moeda estrangeira?

    No limit on buying foreign currency for tourism from authorized institutions.

    bcb.gov.br · Accessed
  14. Banco Central do Brasil — FAQ: O que é Valor Efetivo Total (VET)?

    Definition of VET (exchange rate, fees and taxes, in reais per unit of foreign currency).

    bcb.gov.br · Accessed
  15. Banco Central do Brasil — FAQ: Em quais casos a instituição é obrigada a informar o VET?

    Institutions must inform the VET before spot operations of up to US$100,000.

    bcb.gov.br · Accessed
  16. Banco Central do Brasil — FAQ: Existe algum comparativo do VET que indica as taxas médias das instituições?

    The BCB publishes a monthly Ranking do VET.

    bcb.gov.br · Accessed
Questions

About this guide

Does a card with no foreign-transaction fee avoid IOF?

No. IOF is a federal tax on the foreign-exchange operation behind your purchase. As of September 2026 the rate on card purchases abroad is 3.5% under Decreto nº 12.499/2025, whatever card you use.

Which day's exchange rate is used for my purchase abroad?

The Banco Central says it's the rate your issuer applies on the day of the spending. The issuer can offer conversion at the payment-date rate only if you expressly accept it.

Should I pay in reais when a shop abroad offers it?

Only after comparing rates. If you accept, the amount in reais goes on your bill and the merchant's exchange rate applies. Visa requires merchants offering DCC to show the rate and any markup, and says the choice to accept or decline is yours.
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