Credit card cashing out affects your credit report. Banks will keep records of credit card cash-out behavior. Once the bank suspects that a user has cash-out behavior, the bank will reduce the limit or block the card. Users who often cash out will have a high debt ratio, which will affect their personal credit report when applying for other loans. Causing banks to refuse to lend.

Cash-out of credit cards may cause the cardholder’s credit card to be frozen, or even affect the credit report. In serious cases, criminal liability may be required.

1. The credit card is reduced or frozen

When the cardholder uses the credit card, the bank will monitor the credit card user's card usage in real time. If it is found that the user has cashed out If there is suspicion, then risk control measures will be immediately taken on the account, which may reduce the cardholder's credit card limit. For those who have cashed out frequently, the bank may directly freeze the account of the credit card user.

2. Impact on credit reporting

Credit cards are subject to credit reporting. If users engage in cash-out behavior when using credit, bad cash-out records will also appear on personal credit reports. It shows that once the user's personal credit report is tainted, it will have a negative impact on the subsequent credit business.

3. Possible criminal liability

If the amount of cash involved by a credit card user is too large and the repayment is not repaid on time, the bank may prosecute the credit card user, which will constitute credit card fraud. If this happens, you may be held criminally liable.

Banks will not completely allow users to cash out, but generally speaking, the supervision of cash out behavior is not strict. After all, the purpose of banks is to make profits. Now that there are ways to make money, they will naturally not risk their wealth.

However, it should be noted that although banks are not so strict in supervising cash withdrawals, if you frequently cash out large amounts, your card may still be suspended or have your credit limit reduced, and if your credit report fails If such a situation occurs, you will also encounter certain obstacles when applying for a loan. Especially if users frequently cash out and have multiple online loans at the same time, it will become more difficult to apply for loans such as housing loans.

Legal Basis

"Criminal Law of the People's Republic of China"

Article 225 Violates state regulations and commits the following illegal business activities 1. Whoever disrupts market order, if the circumstances are serious, shall be sentenced to fixed-term imprisonment of not more than five years or criminal detention, and shall also or shall be fined not less than one time but not more than five times the illegal gains; if the circumstances are particularly serious, he shall be sentenced to fixed-term imprisonment of not less than five years and shall also be fined not less than one time and not more than five times the illegal gains. A fine of not less than one time but not more than five times or confiscation of property may be imposed:

1. Operating special items or items for sale or other restricted items as prescribed by laws and administrative regulations without permission;

2. , buying and selling import and export licenses, import and export certificates of origin, and other business licenses or approval documents stipulated in laws and administrative regulations;

3. Illegal operations of securities, futures, Insurance business, or illegally engaging in fund payment and settlement business;

4. Other illegal business activities that seriously disrupt market order.