What happened when the credit card suddenly stopped raising interest rates after it was overdue?
It is not a good thing that credit cards suddenly do not raise interest rates, indicating that the consequences of overdue credit cards have risen to a more serious level, either becoming bad debts or being written off.
1, become bad debts: Many banks will make bad debts for debts that exceed 180 days and the cardholders are really unable to repay them. Because bad debts are accounts receivable that may become bad debts, it is difficult to recover even the principal, let alone the interest. In order to recover the arrears as soon as possible, the bank will not rise again until the interest rolls to a certain extent, but it still has to repay the principal and the interest generated.
2. Bank write-off: Banks have a certain amount of bad debts every year. Usually, bad debts will be offset by bank profits. If the cardholder's credit card information cannot be found after the write-off, there will be no interest increase, but if you don't say it, you don't have to repay it. There is still one file in the bank, and it will continue to collect money from the outside world, and the principal and interest generated will be paid back.
In either case, the special transaction records of credit records will be marked in red, and loans and credit cards will not be processed without handling in advance, and the time for credit recovery will be extended indefinitely. It is a typical black account and will not be eliminated after five years of repayment. After repayment, you need to contact the bank to delete the special transaction records, and the credit can only be restored after five years overdue.