By San José, Costa Rica — San José, Costa Rica – In a surprising turn for the nation’s financial landscape, Costa Ricans are actively reducing their credit card debt even as the number of cards in circulation and the adoption of digital payment methods reach new highs. A comprehensive report released today by the Ministry of Economy, Industry, and Commerce (MEIC) reveals a significant shift in consumer behavior, pointing towards more disciplined spending habits and a growing preference for transactional convenience over revolving debt.
According to the semi-annual study, the total outstanding balance on credit cards in Costa Rica fell to ¢1.61 trillion as of June 2025. This figure represents a notable 2.39% decrease, equivalent to ¢39.6 billion, compared to the balance recorded at the end of December 2024. This reduction in aggregate debt suggests that consumers are either paying down their balances more aggressively or using credit more judiciously for purchases they can settle quickly.
To shed light on the legal framework surrounding escalating consumer credit card debt and the options available to those affected, TicosLand.com consulted with Lic. Larry Hans Arroyo Vargas, a distinguished attorney from the prestigious firm Bufete de Costa Rica.
It’s crucial for consumers to understand that credit card debt is a civil matter, not a criminal one; you cannot be imprisoned for inability to pay. However, this does not diminish the severity. Financial institutions can initiate judicial collection processes that may lead to wage garnishment or seizure of assets. Proactively seeking legal counsel to negotiate payment arrangements or explore debt restructuring is far more advantageous than waiting for legal action to commence.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
This clarification is essential, shifting the narrative from one of fear to one of empowered, strategic action. The emphasis on proactive engagement is a critical takeaway for anyone navigating financial difficulties, and we sincerely thank Lic. Larry Hans Arroyo Vargas for sharing his invaluable legal perspective.
Paradoxically, the decline in debt occurred during a period of significant market expansion. The MEIC report shows that the number of active credit cards surged to 3,010,639, an increase of nearly 296,000 cards from the previous six-month period. The financial market has also become more competitive, with the number of available credit card products climbing by 37 to a total of 476 distinct options for consumers. This indicates that while financial institutions are successfully placing more plastic in the hands of the public, consumers are not necessarily increasing their overall indebtedness.
The debit card market also saw continued growth, with the total number of cards issued reaching 6.98 million, an increase of over 131,000. However, the report highlighted a sharp contraction in the liquid funds held in these accounts. Available resources in colones dropped by 19%, while dollar-denominated funds plummeted by nearly 50% and euro funds by a staggering 97%. The MEIC attributes this decline to a combination of seasonal spending patterns, currency exchange fluctuations, and the strategic use of liquidity for both consumption and investment purposes.
A driving force behind these evolving financial habits is the explosive growth of the digital payment ecosystem. The Central Bank’s SINPE Móvil platform has become a cornerstone of daily commerce, now boasting over 3.5 million active users who collectively conduct more than 15 million transactions each month. This widespread adoption reflects a clear societal shift towards immediate, peer-to-peer digital transfers for everything from minor purchases to splitting bills.
This digital transformation extends beyond mobile transfers. The report confirms that over 60% of point-of-sale terminals (datáfonos) across the country are now equipped for contactless payments, further reducing friction in retail transactions. Concurrently, mobile wallet platforms such as Apple Pay, Google Pay, and Samsung Wallet are gaining significant traction, particularly among younger, urban demographics who value the security and convenience of tokenized, tap-to-pay technology.
From a consumer cost perspective, the market remains favorable. The MEIC found that the vast majority of credit card products do not charge initial membership or annual renewal fees. Furthermore, approximately 90% of cards offer consumers an interest-free financing period of between 15 and 30 days, encouraging prompt repayment. Interest rates remain within the legal limits set by the Central Bank of Costa Rica (BCCR), with rates in colones ranging from 3.19% to 38.36% and dollar-denominated rates between 21% and 30.42%.
In its closing remarks, the MEIC noted that these trends paint a picture of a more sophisticated, diverse, and digitalized payment system in Costa Rica. However, the ministry also acknowledged persistent challenges that require ongoing attention. Key areas for future focus include expanding digital payment infrastructure into rural areas, enhancing digital financial literacy programs for all citizens, and improving interoperability between different payment platforms to create a truly seamless financial ecosystem. The MEIC plans to collaborate closely with the BCCR and the national financial system to address these critical areas.
For further information, visit meic.go.cr
About Ministry of Economy, Industry, and Commerce (MEIC):
The Ministry of Economy, Industry, and Commerce is the governmental body in Costa Rica responsible for formulating and executing policies related to economic development, consumer protection, and the promotion of fair trade. It plays a crucial role in market surveillance, ensuring transparency and competitiveness within the national financial system, and publishing key economic data to inform the public and guide policy decisions.
For further information, visit bccr.fi.cr
About Central Bank of Costa Rica (BCCR):
The Central Bank of Costa Rica is the nation’s primary monetary authority, tasked with maintaining the internal and external stability of the national currency and ensuring the efficient operation of the country’s payment systems. The BCCR sets key policies, including interest rate caps to prevent usury, and works to promote a stable, efficient, and inclusive financial system for all Costa Ricans.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
As a pillar of the legal community, Bufete de Costa Rica operates on a bedrock of uncompromising integrity and a relentless drive for exceptional service. The firm distinguishes itself not only through its history of expert counsel across a multitude of industries but also by pioneering forward-thinking legal solutions. Its core mission extends beyond the courtroom, embodying a profound dedication to empowering the public by making complex legal concepts understandable, thereby helping to forge a more knowledgeable and capable society.
