Credit card interest is generally determined by how you use it. Currently, there are three main types of interest collection for China Merchants Credit Cards:

1. Cash withdrawal interest: The interest for cash withdrawal is a daily interest rate of 0.05. For example, if you If you withdraw 3,000 yuan in cash, interest will be calculated from the date of withdrawal, so the daily interest is 3,000 × 0.05 = 1.5 yuan.

2. Minimum repayment interest: According to national regulations, the minimum daily repayment interest is 0.05. For example, if you spend 3,000 yuan, the minimum repayment is generally 10, and your minimum repayment is 3,000×10=300 yuan. , the minimum repayment is 300 yuan, and the daily interest is (3000-300) × 0.05 = 0.85 yuan.

3. Interest on credit card consumption: No interest will be charged for normal repayment, but if you repay overdue, interest will be calculated from the time the consumption is recorded, and late payment fees will also be incurred, so you must pay off your credit card in time. Avoid personal financial stress.

Credit cards, also called credit cards, are credit certificates issued by commercial banks or credit card companies to consumers with qualified credit. It takes the form of a card with the name of the issuing bank, validity period, number, cardholder name and other contents printed on the front, and a magnetic stripe and signature strip on the back. Consumers holding credit cards can shop or consume at specially appointed commercial service departments, and then the bank will make settlements with merchants and cardholders. Cardholders can overdraft within the prescribed limit.

Main features

1. Credit card is one of the fastest growing financial services today. It is an electronic currency that can replace traditional cash circulation within a certain range;

2. Credit cards have both payment and credit functions. Cardholders can use it to purchase goods or enjoy services, and can also obtain certain loans from card issuers by using credit cards;

3. Credit cards are high-tech products that integrate financial services and computer technology.

4. Credit cards can reduce the use of cash;

5. Credit cards can provide settlement services, facilitate shopping and consumption, and enhance a sense of security;

6. Credit cards It can simplify payment procedures and save social labor;

7. Credit cards can promote product sales and stimulate social demand.

Financial Management Strategy

1. Control the number of credit cards and only have enough.

Once there are too many credit cards, it is easy to make mistakes or forget the repayment date of the card. Issues such as the credit limit of that card are difficult to manage and can easily lead to late repayments and leave a bad record. Moreover, if you swipe multiple cards to earn points, the points will be too scattered and it is not conducive to redeeming gifts. Therefore, it is recommended that only 1 to 2 credit cards are enough.

2. Keep the credit card receipts

Most credit card holders do not care about the receipts and will not keep them. Most of them throw them away. This is a very bad habit. In fact, retaining credit card vouchers not only facilitates the monthly summary of consumption records to analyze and optimize consumption habits, but also helps improve the rationality and transparency of credit card consumption, so that the card can be swiped clearly. And many people do not set passwords on their credit cards. Discarding the credit card credentials at will may lead to theft of the credit card.

For security reasons, it is best to keep the credit card receipt after swiping the card to make yourself aware of it and develop good credit card financial management habits.

3. Reduce cash withdrawals

Credit cards have two functions: overdraft and cash withdrawal, but cash withdrawals require a certain percentage of handling fees, and even if you deposit your own money into it, you will be charged. Therefore, it is not cost-effective to use a credit card to withdraw cash or use it as a passbook.

4. Choose the right credit card

The choice of credit card is very important. Nowadays, many commercial institutions have bundled cooperation with banks. For example, you can apply for a joint credit card between a department store and the corresponding bank. With a credit card, you can spend points here as a member and get discounts; or some cards can provide discounts at designated merchants, including dining, movies, towing services, etc. There are various categories, and you can choose freely according to your own needs. Credit cards should be used wisely and chosen wisely.