Why should I apply for a credit card? What are the benefits?

Many cardholders have always stayed away from credit cards, especially when they saw those "XXX overdrawn their credit card and was unable to repay it and was sentenced to prison" "," and "someone came to apply for a credit card and the credit card was stolen" and other negative news, which makes people feel that they should not apply for a credit card.

In fact, credit cards are not a scourge. A large part of the reason for these negative news is due to problems with cardholders. It has nothing to do with the credit card itself. There is no need to reject credit cards.

You know, for many people, the advantages of holding a credit card outweigh the disadvantages. Let’s introduce to you why you should use a credit card and how to choose the right credit card.

Analysis of the three major benefits of credit cards:

1. Accumulated credit: People who have never dealt with a bank will have a blank record in the central bank’s credit reporting system. If you want to change this situation, start by using a credit card. As long as you apply for a credit card, swipe the card frequently and repay it on time, you can establish good personal credit, which will be very beneficial for handling bank-related business in the future.

2. Save money: Credit cards can be used for overdraft consumption, but don’t be blind when swiping your card. It is best to understand clearly what discounts you can enjoy with your credit card, so that you can save money by swiping your card. For example, if you apply for a Bank of Communications credit card, you can participate in the "Redtest Friday" event and get a refund of the credit card by swiping your card at the supermarket.

3. Temporary emergency: For example, if your laptop is lost, you must buy a computer immediately because of work needs, but you have no savings. If you want to buy a computer, you can only borrow money from someone. And if you have a credit card, you can swipe the card to buy a computer immediately, and you can also choose to repay in installments to relieve stress. All in all, having a credit card with a certain limit can make you more prepared when facing emergencies.

The benefits of credit cards are not limited to the above three points, so I will not introduce them one by one. You can experience them yourself during the process of using the card.

Why should you apply for a credit card? These points are key!

Although many people like to spend in advance, there are still many people who maintain a good habit of spending within their own ability. So for these people, credit cards are no longer needed. Woolen cloth? Today, let’s briefly talk about the reasons why you should apply for a credit card. If you are interested, you can learn about it.

1. Why should you apply for a credit card?

1. Unexpected needs: It is difficult to guarantee that there will be no unforeseen circumstances, so it is more convenient if you have a credit card in hand. You can swipe the card for daily necessities, food, housing, transportation and entertainment, and you can also enjoy various discounts. Furthermore, as long as you use it reasonably, you can not only get an interest-free period of about 50 to 60 days, but there is also no fee for normal repayment, and there is no loss to the user. And many banks have a policy of waiving annual fees for the first year, and waiving annual fees for the following year if you make XX card transactions.

2. Credit issues: It doesn’t mean that you are a high-quality customer if you don’t do any credit business. This kind of people are called “white households”. After white households, you want to apply for a car loan or a house loan. More difficult. After all, banks and financial institutions don’t know your repayment ability or your personal credit, so the hidden risks you need to bear are huge and they are likely to refuse to approve the loan. For ordinary people, buying a house or a car is usually through a mortgage. If it cannot be approved because of your white household status, it will be troublesome.

The above is the answer to "Why should I apply for a credit card?" I hope it will be helpful to everyone. In general, credit cards still play a very important role in our daily consumption and financial lives. Therefore, you can try to get one if you ensure that you have the ability to repay.

What is the purpose and significance of issuing credit cards?

Under the conditions of market economy, if there is demand and market, corresponding products will inevitably be produced, and only then can enterprises find new profit growth points. With the diversification of people's financial needs, traditional bank loans will inevitably choose to adapt to market needs, and credit cards have become derivatives of traditional bank credit. It is difficult for one company to dominate traditional bank credit. Since the reform and opening up, my country's economy has developed rapidly in terms of both quantity and quality. The per capita income of residents has increased significantly, which directly reflects the continued strong consumer demand, including a large number of low- and middle-income people.

As consumption concepts change, more people want to obtain short-term, small-amount consumer credit, and have higher demands for guarantees and efficiency. On the other hand, traditional loans have harsh conditions and high thresholds for credit loans that shut out many people; mortgage-guaranteed loans are also affected by many factors such as the property rights transaction system, the applicant's property status, as well as numerous procedures and low efficiency, making it difficult to meet the requirements. The needs of small and medium-sized individual consumers. Credit cards happen to be endowed with credit, small amounts and high efficiency. Therefore, when banks issue credit cards, they find an entry point to adapt to consumption and the market.

The upgrading of products is also an attempt by enterprises to seek new profit growth points to maintain their survival and development, and the banking industry is no exception. Banks are also enterprises. Pursuing profits and enhancing core competitiveness are related to the survival of the enterprise. By issuing a credit card, banks can obtain the following practical benefits: 1. Interest and penalty interest 2. Various handling fees or commission income 3. Service fees such as annual fees, loss reports, and text messages

In terms of invisible benefits, it can be achieved The purpose is to attract new customers, consolidate old customers, gather popularity, and reduce the loss of resources. From a macro perspective, in accordance with the implementation of the financial inclusion project deployment proposed by the Central Economic Work Conference, major banks have vigorously issued credit cards, which is also a great and useful supplement to solve the financing difficulties of low- and middle-income people. At the same time, it also stimulates domestic demand and activates the economy. market.

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Why do banks issue credit cards?

Banks issue credit cards just to make money, to be precise, to make money without risk.

When a bank issues a credit card, it actually lends money. Lending is not as simple as storing money. Banks must consider the issue of capital risk. In order to control capital risks, banks have established a credit system as an important basis for corporate and personal loans. There is a credit mechanism, but it doesn't work without the customer's credit record. The bank still has no way to judge the quality of the customer. In order to establish a complete credit system, banks must introduce simple and easy borrowing methods for all customers, so credit cards appeared.

Because credit cards have the following characteristics:

1. Credit card review, card production, and issuance are all process-based, and the issuance cost is very low compared to other loans.

2. Credit card has the widest coverage among all bank loan methods.

3. Credit card bills are issued once a month, and customers must repay them every month. This is the fastest way to return funds.

4. Credit cards are the most profitable of all bank loans.

5. Credit card is the lowest risk way of lending.

Why do banks issue credit cards to customers?

The question and answer is very general. I am an entrepreneur, so I choose to answer

Should I apply for a credit card?

The answer is yes, we must do it.

1. Why do you need a credit card?

Credit cards can bring extra points to your personal credit score, but if used incorrectly, it can be a disaster.

Credit cards can bring you benefits, points can give you gifts, you can get cash back when eating, you can watch movies for free, etc.

Credit cards can give you interest-free use.

Second, how to use it?

Credit cards have so many benefits, so you need to control them yourself. If you really can’t control them, just talk to the bank directly. The monthly limit is 1,000 yuan. If you use too much, they won’t be recognized. Let the bank lock the limit given to you. Don't swipe your card randomly, don't spend in advance, and don't take advantage of small things.

Third, banking institutions

As banking institutions, the issuance of credit cards has strict review requirements. In order to improve performance, salesmen will use all means to create false information for customers, resulting in a lot of problems. Some people who are not qualified to use credit cards also use credit cards, and the consequences can be imagined. Of course, there are also reasons of their own, and banks have greater responsibilities.

4. Credit card market

China’s consumer group is so large. Credit cards are also a means for banks and merchants to make profits. If there are no credit cards from banking institutions, there will be similar products in the same market. output.

For example, with the massive emergence of Alipay’s Huabei, Jiebei, Weilidai, and P2P, everyone wants to get a piece of the bank’s cake!

In short, if you don’t apply for a credit card, there will be other products similar to credit cards for you to use. The key is self-discipline! Control your limit and don’t spend it casually! It will be a disaster when the card is maxed out and there is still no repayment!

A credit card is a killing knife and a living sword.

Of course you need to apply for a credit card. I have been working in finance for so many years and have always explained the following concepts to people:

1. We must establish a correct outlook on financial management and finance. Everything has its two sides. The correct view of financial management is not to return to the conservative concept of spending as much as you earn, but to learn to dance with the wolf, make good use of various new financial management tools, and keep pace with the times. Let the tools serve us and plan our personal spending and investment, especially cash flow management.

2. We have to see that credit cards have benefits. The interest-free usage limit of up to 42 days can actually allow us to have an extra amount of liquidity. Large installments are equivalent to saving us the trouble and waiting time of applying for a loan. Not to mention there is a points system and some supporting small benefits. As long as the concept of consumption is correct, credit cards are not an excuse for us to spend indiscriminately. Just like an ax is just a tool, it can be given to a woodcutter to make money, but given to a murderer, he can use it to hurt people.

3. Credit cards can cultivate our credit history and prevent us from becoming a credit failure. For example, there is a misunderstanding. People think that it is a good thing that financial institutions do not have any records, but it is actually a bad thing. Without any records, it will be difficult for banks to quickly approve your home loan and car loan application. And having a credit card makes the bank think that you are a potentially profitable customer and are more willing to serve you.

So, having a credit card is a good thing. As long as you make good use of it, it will help your future family and life.

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As for using it, it is not necessary to apply for a credit card. Today, there are endless Internet personal credit products. The most famous ones are Ant Huabei, Ant Jiebei and Jingdong Baitiao. Ant Huabei’s interest-free period and credit card Very similar; the interest rates for some users on Ant Borrowing are even much lower than the interest rates for credit card cash withdrawals.

More and more young people are unwilling to apply for a credit card, and some of the reasons are quite strange. Why don’t they apply for a credit card? He replied that he couldn't control it because he was afraid that if he spent too much on impulse, he would not have the money to pay back next month. However, when he got his salary every month, he had to pay back Huabei and IOUs immediately, which were quite a lot.

As for credit, if you have the habit of using Huabei or borrowing money, it is recommended to apply for a credit card. Because the interest-free period of credit cards is long, the longest interest-free period for general credit cards is 45-50 days, and the longest interest-free period for Huabei is 41 days. These extra days are of no use at ordinary times. At critical times, such as forgetting to repay the loan. , a longer interest-free period is good, and credit cards have a 1-3 day repayment grace period. I only used the grace period once and almost expired. I remembered it on the last day of the grace period and I had really forgotten it. Is there anyone else like me?

Having a good credit card record is a plus for personal credit. The credit limit of a credit card is equivalent to a short-term interest-free loan. This cannot be compared with Huabei or Jiebei. The credit limit of Huabei and Jiebei can How high? The highest I've seen is tens of thousands of dollars. You can apply for many credit cards, and the cumulative limit is high.

If you can’t control your desire to spend money, it is recommended not to apply for a credit card, nor to open Huabei and Borebei. Only by living within your means can you feel comfortable.

Although various advanced consumption methods are emerging online, such as Alipay's Huabei and JD.com's Baitiao, these are similar to credit card advanced consumption models, and they do bring a lot of convenience. But credit cards also have their advantages.

1. Credit cards have interest-free repayment periods. Every bank credit card has an interest-free period, and you can enjoy an interest-free repayment period of up to 55 days depending on how long you use the card. People who know how to use credit cards use credit card money to meet their own needs, and use their money for financial management during the interest-free period to gain income.

2. Many preferential rights attached to credit cards. Credit card issuers will provide many additional benefits and benefits to cardholders, such as supermarket co-branded cards, which enjoy shopping discounts and double points; car owners’ credit cards enjoy gas rebate discounts; airline co-branded credit cards can be redeemed with points Mileage etc.

3. Credit cards accumulate personal credit.

People who have no loans or credit cards now are called white households, which will have an impact on applying for mortgage loans in the future. Therefore, applying for one credit card and using it for a few years is very helpful to accumulate your own credit.

So it is recommended to apply for a credit card, no more than one.

If you know how to use a credit card, you can make a comeback. If you don't know how to use it, you will be in debt and may also be imprisoned.

Credit cards are not suitable for everyone. Some people cannot use them. If you are one of the following types of people, it is recommended not to apply for a credit card.

1 People who don’t like to learn

After applying for a credit card, you need to learn its usage rules. It does not mean that you just swipe and swipe after applying for the card. Be careful to step on the bank’s risk control in one step. , it can range from a reduction in the limit to a serious card closure. If you can't pay it back, you won't be able to pay it back, and it's very easy for your credit to go bankrupt.

2 Blind consumption comparison

After applying for a credit card, it is very difficult to think about showing off yourself or buying high-end luxury electronic products that you did not dare to buy before, and cannot control your consumption. It’s easy to fall into a trap. After all, the money you spend has to be paid back.

3 Gambling people

Gambling people have a bad habit. They naively think that they can win money. In the end, they get deeper and deeper into trouble. As long as they have a little money, they will suffer. Not to mention the credit card, just use it! The card will be empty after you wake up.

4 People with old-fashioned ideas

Credit cards do not charge interest, the key is to know how to use them. Some people always think that credit cards charge interest.

It is better for the above types of people to stay away from credit cards, it is not suitable for them! When you say whether you want to apply for a card, the key depends on whether you are among these types of people?

Hello friends! Credit cards are like a double-edged sword. They have one side for emergencies and reasonable planning of credit consumption, and another side, which is: once used carelessly, it may bear heavy financial and mental burdens, and even bear legal liability. Families suffer long term effects!

To be clear: Credit cards are convenient for daily economic life, but they are not necessary. Whether to apply for one or not depends on many factors:

First, the situation of not applying for a credit card!

1. If you don’t have a stable income, it’s best not to do it, otherwise you won’t be able to catch up, and you’ll be left with overdue private messages, and you’ll be burdened with a heavy burden that’s hard to solve!

2. If you are not good at planning and managing money, it is best to stay away from spending money lavishly, otherwise you will be happy in the moment and suffer in the long term!

3. It is best not for the elderly to use credit cards! One is the possibility that the credit card will be stolen again, and the other is that various dates need to be calculated clearly. Once forgotten, the consequences will be serious!

4. It is best not to invest, make money, trade in stocks, etc.! Credit cards have rigid repayment and strict deadlines. Once overdue, the fees will be high and the consequences will be serious. And any investment has risks, and the gain is not worth the loss!

Second, situations where you need to apply for a credit card!

1. If your income is stable and all types of income and expenses are planned, you can consider applying for a credit card and give full play to the interest-free advantage!

2. Very familiar with credit card knowledge, rules, and high self-control ability. Can apply for credit cards, provide convenience for life, and effectively control risks!

3. Temporary emergency, short-term turnover, very suitable for credit cards!

To sum up: a credit card is a multi-functional credit financial instrument with strict rules, so its advantages also lie in short-term, turnover, consumption and emergency! Once used as other means, its other side will appear. The cost is high, there is little room for negotiation, and the laws and regulations are strict. Once it is on the credit blacklist, it will take 5 years to clear it after paying off. Therefore, use credit cards reasonably. Having a certain stable income and financial strength is the basis for applying for a credit card!

There is a small card called a credit card. It can make us feel comfortable and make us feel troubled. The good thing is that it can help us solve money problems and make us troubled in life. When we repay the loan, we find that we have no money in our pockets, so people who support credit cards appear on the Internet, and there are also people who are opposed to using credit cards. Sometimes we find that there are far more voices of opposition than support. sound, but the credit card still exists in our wallets, which shows that its existence has its value.

Personally, I still need to apply for a credit card. In addition to being convenient for our daily consumption, we can also earn points and redeem some small gifts. More importantly, we can use them when we need them in the future. When you need a large sum of money, you can use the credit accumulated by credit cards to obtain loan funds from banks to solve your urgent needs.

The same card has led to two different lives. In the final analysis, a credit card is a financial payment tool. The key lies in the person who uses it. If you have super control and can do something for yourself, Plan your life and use your money reasonably where it should be used. Credit cards can help you when you need money most crucially.

On the contrary, if you use your credit card strictly for shopping and consumption, then it will be a bottomless pit and will lead you step by step into an infinite cycle of debt, so that you will never be able to save money, or even go into debt. haunted.

You must apply for a credit card. There are many benefits of a credit card. I summarize the following points:

First establish your credit record. With a good credit record, you can get approval quickly. Loan matters you need.

2. Prepare for rainy days and prepare for emergencies. There is no need to ask for help at critical moments, just swipe your card to pay.

3. Payment is convenient, online and offline transactions are convenient, and installment payment can alleviate economic pressure.

4. Credit cards have a certain period of interest-free period. The interest-free period of each bank is different. The short period is 25 days, and the long period is 56 days.

Credit cards have many benefits, but you must use them correctly, do not cash out, spend rationally, remember to repay on time, and must not be overdue. Overdue will not only incur liquidated damages, but also Have a bad credit record!

That’s it for the introduction of why credit cards should be opened.