1. Is the minimum credit card overdue?

The credit card that pays the minimum repayment amount is not overdue and will not appear in the credit record. Strictly speaking, as long as the repayment amount is not less than 10% of the total amount (minimum repayment amount), it is not overdue. This method is very useful for solving urgent needs, but it is not recommended for friends who are temporarily unable to repay.

Because the credit card has the lowest monthly repayment, the remaining unpaid part will be charged with cyclic interest. Daily interest is charged at 0.05% of the unpaid amount, and compound interest is calculated monthly. After a long time, interest will roll over. Many banks like to give users the minimum repayment amount, because they can charge interest, and consider full repayment if they can afford it.

Second, the consequences of the minimum repayment amount of credit cards

If you use it occasionally or make a temporary minimum repayment, there will be no obvious consequences if you have funds to repay it in full in a few days. Because the biggest disadvantage of the minimum repayment amount is the interest of five ten thousandths per day, after using the minimum repayment amount, all consumers can't enjoy the interest-free period. The longer the time, the more interest the bank charges.

If it can be repaid in just a few days, the minimum repayment amount will not generate much interest. On the contrary, if you use it frequently, you will get more compound interest over time. If the cardholder only pays the minimum repayment amount every month, it will affect the cash withdrawal by credit card, and the bank will doubt its repayment ability if it continues to use the minimum repayment amount.

3. Which is more cost-effective, the minimum repayment amount or installment repayment?

Both of them need to pay some extra fees, such as installment fee and minimum repayment interest. When the amount is large and can be repaid in a few months, it is more cost-effective to choose installment repayment, at least the installment fee is fixed, and there is no need to worry about interest. If the amount owed is small, it can be repaid in a short time, and it is best to choose the minimum repayment amount, which will neither affect the credit nor cause any additional expenses.

Installment repayment means that installment repayment is interest-free and requires a handling fee, and the handling fee rate of different banks varies greatly. Most banks charge by stages, and the longer the term is divided, the higher the charging standard is. The minimum repayment amount is 10% of the total consumption. Unlike installment repayment, the longer the time, the more interest.

If there are still unclear or new situations, it is suggested that you call directly for free consultation, so as to understand the communication cases and make detailed and targeted answers for you, so as to avoid incorrect answers due to incomplete information and poor communication. I wish the rights protection success.