many people think that there will be no problem with credit cards as long as they are not opened, but this is not the case. If you don't open a credit card, it will first involve an annual fee. Most credit cards don't have an annual fee if they are not activated, but there are also a few credit cards with special materials and high-level credit cards, and they still charge an annual fee if they are not opened.

once you have an annual fee and don't know it, it's easy to be overdue, and this annual fee will be charged with interest and liquidated damages, and then the interest will roll up. Overdue repayment will also affect your personal credit report. There are bad records in the credit report, so it may be limited to apply for mortgage and car loan.

secondly, it involves the risk of brush theft.

At present, credit card activation is very simple. Some banks only need ID cards to activate. For criminals, it is almost impossible to activate an inactive credit card. The risk of swiping an inactive credit card is greater because your card has been swiped, which is more difficult to detect than a credit card that has been used normally. It is very likely that it will be too late to know.

Thirdly, it affects the application for a new card.

as long as the credit card is processed, whether it is activated or not, it will be reflected in the personal credit information system. When the credit card is processed in the future, the bank will inquire about it. Too many inactive credit cards will affect the approval of new cards.

credit card usage

swiping the card by POS machine

swiping the card by POS machine is the most common way to use credit cards, and it is a way to swipe the card online. When swiping a card, the operator should first check the validity period of the credit card and the cardholder's last name.

then, according to the issuing bank and the currency to be paid, select the corresponding POS machine, swipe the magnetic stripe of the magnetic stripe credit card on the POS machine, or insert the chip credit card into the card slot, connect with the payment gateway such as the bank, and input the corresponding amount. After the remote payment gateway receives the information, the POS will print a receipt (at least two copies) for credit card payment, and the cardholder should sign the receipt after checking that the information on the payment receipt is correct. After checking the signature on the receipt and the signature on the back of the credit card (including the name completely matching and the handwriting basically matching), the operator will send a copy of the credit card and the credit card payment receipt to the cardholder. At this point, the credit card swiping program on the POS machine is completed.

RFID card tapping

It is a new type of credit card use mode and a networking mode to tap the card on the RFID machine. When taking a card, the operator should first check the validity period of the credit card and the cardholder's last name.

Then, according to the issuing bank and the type of currency to be paid, select the corresponding card punching machine, input the corresponding amount, and lay the credit card flat no more than 1cm above the sensor. After the RFID machine senses the credit card, it will send out a signal sound, and then continue to operate the program. After the remote payment gateway receives the information, the printer (if connected) will print a receipt for card payment, but unlike the previous method, the cardholder does not need to sign, which is faster and more convenient than the previous method. At this point, the card tapping induction program on the RFID machine is completed.

manual sheet pressing

manual sheet pressing is usually used when there is no POS machine or no internet connection. The pressing operation must have a pressure-sensitive duplicate "direct purchase order" (at least two copies) and a telephone. The inspection before pressing the order is the same as that of the POS machine. Then, the operator prints the card number, name, etc. raised on the credit card on the purchase order with the credit card pressing device, and writes the information such as the amount and date, then calls the authorization hotline of the acquiring bank, reports the card information to apply for authorization, and writes the obtained authorization code on the purchase order, and then the cardholder signs it after confirming that it is correct.

after checking the signature, the operator gives the cardholder a copy of the credit card and the purchase slip, and the manual slip pressing procedure is completed. Authorized calls are usually dialed immediately. In some areas with poor communication or good credit discipline, merchants will encounter the situation that they will deliver the goods to complete the transaction after signing the card. Authorization will be completed in the future, but merchants are at risk of credit card fraud (if customers use invalid cards to pay, they will not be able to find out immediately without applying for an authorization code immediately).

online payment

from the cardholder's point of view, online payment is considered to be one of the most risky payment methods of credit cards, because malicious people may use phishing, eavesdropping on network information, impersonating payment gateways and other means to steal user information.

when paying online, you need to enter the card number, the validity period of the credit card, the number of Visa CVV2/MasterCard CVC2/ UnionPay CVN2 next to the signature column on the back of the card, and the online transaction password. Sometimes, you need to enter the name, the verification code randomly generated by the webpage, and so on. After the input is completed, click Submit to complete the online payment. With the development of the Internet, the security of online payment and credit card payment has gradually improved, which has also blown up the trend of online consumption.

TV and telephone transactions

are similar to online payment, and require information such as card number, expiration date, Visa CVV2 code/MasterCard CVC2/ UnionPay CVN2, etc.

Pre-authorization

Pre-authorization is generally used to pay a deposit, that is, to freeze the available amount of a part of the credit card as a deposit. The process of pre-authorization is similar to manual bill pressing, but the content of the phone call is to ask for the corresponding amount of pre-authorization, not to ask for payment, nor to press the bill, just to issue a certificate of receipt of the deposit.

general pre-authorization will be cancelled by the merchant at checkout. If the merchant forgets to cancel, he can call the merchant to ask for cancellation, but he can't cancel by calling the authorized institution himself. Or, wait for the bank to automatically cancel the pre-authorization (usually ranging from 7 to 3 days).