After the consumer overdraws in full, he fails to repay on time, which will lead to overdraft interest and other expenses, resulting in the amount of arrears exceeding the limit, because the overrun is caused by the cost of the credit card itself.
The longest overdraft period of a credit card is 60 days. If ICBC owes more than the credit card limit, it will charge an overrun fee of 5%, but only once in an overrun period, and CITIC Bank said that the overrun fee will be calculated at compound interest every month.
Credit card overdraft interest shall be charged at the rate of five ten thousandths of daily interest from the date of signing the contract or the date of bank entry (inclusive) 15 days, and at the rate of five ten thousandths of daily interest after 15 days. If the overdraft amount exceeds the prescribed limit for more than 30 days, it shall be charged at the rate of fifteen thousandths of daily interest. The overdraft interest is not divided into sections, and the interest is calculated according to the highest interest rate grade or the highest overdraft amount.
Extended data
China Industrial and Commercial Bank Peony Credit Card (excluding quasi-credit card) bears interest as follows:
1. For the transaction of withdrawing cash and transferring money by credit line, the overdraft interest shall be paid at the rate of 0.05% per day from the bank bookkeeping date to the repayment date;
2. Except for overdraft transactions such as cash withdrawal and transfer, other overdraft transactions such as consumption can enjoy an interest-free repayment period of 25-56 days, and there is no need to pay overdraft interest for full repayment before the due repayment date;
3. For transactions that do not meet the interest-free conditions, the overdraft interest is calculated from the bank bookkeeping date, and the overdraft interest rate is 0.05% per day, with monthly compound interest;
4. The deposit in the account does not pay interest.
Tips: Please refer to peony credit card collection contract (personal card) and actual bill for specific interest calculation.
Baidu encyclopedia-credit card overdraft
China Industrial and Commercial Bank China Website-Introduction of Credit Card Interest Calculation