In order to reduce speculation in buying houses, the current real estate regulation and control policies are still strict. In this context, the inflow of funds in the real estate market is subject to regulatory control, which will mean that it is difficult for developers not only to obtain financing from banks or other channels, but also for buyers to obtain loans from banks. Recently, some banks have announced that it is forbidden for bank credit cards to carry out overdraft transactions among four types of real estate developers (including residential enterprises), which is equivalent to blocking the way to pay down payment or purchase money through credit cards.

However, things are far from simple. Under the above background, some banks have greatly reduced the credit card overdraft limit in real estate transactions. For example, some banks stipulate that overdraft transactions involving real estate transactions do not support installment repayment and must be paid in one lump sum. Why should banks restrict individuals from using credit card overdraft to buy a house?

1. Why should banks restrict individuals from overdrawing credit cards to buy houses?

First of all, we must comply with national policies or respond to policy requirements. Because the goal of the current national real estate regulation and control policy is to prevent speculation and maintain the stability of housing prices, the capital inflow in the real estate market is relatively strict. In the past few months, many banks have been punished for illegally flowing into the real estate market.

Therefore, it is necessary for banks to strengthen the control of credit card overdraft in real estate transactions, whether in order to comply with the regulations or in response to national policies.

Secondly, for banks, it is also likely that risk control needs to be strengthened. Because credit card overdraft is a short-term financing behavior, most people who buy houses with credit card overdraft are speculators. They only wait for the house price to rise rapidly, and then use the money earned from selling the house to pay back the bank's money. However, since the beginning of this year, the rate of house price increase has obviously slowed down.

In some areas, house prices even fell. If house prices do not rise or rise slowly, these speculators may have no money to repay, and the risk of default faced by banks will increase. Moreover, people who use credit card overdraft to buy a house are not speculators, but buyers, and the risk of default faced by banks is not necessarily small.

Because most of the just-needed funds are not so sufficient, if the down payment or house purchase is made up by credit card overdraft, its financial situation may be even worse. Once the source of income is insufficient or there are minor problems, banks will face the risk of default. Therefore, with the increasing risk of overdue credit cards, it is necessary for banks to strengthen the control of overdraft transactions involving housing credit cards.

Second, what is the impact on individuals?

In fact, it will not have much impact, that is to say, banks will strengthen credit card overdraft control for housing-related transactions, which will have little impact on people who use credit cards normally. What really matters is those who want to use or are using credit card overdraft to buy and sell houses. Moreover, not only credit card overdraft is affected, but also transactions such as real estate development, real estate management or leasing are also affected.