Credit card overdraft refers to using the money in the credit card to spend money in advance. For example, if you plan to buy a piece of clothing, which is worth 10,000 yuan, and you only have 5,000 yuan, then using the money in your credit card to buy the clothes is called a credit card overdraft.

Credit card overdrafts are very common. Office workers in big cities basically have several credit cards in their hands. Office workers are paid very little and have high expenses. When they cannot make ends meet, they can only use credit cards to overdraw. If your credit card overdraft limit is too large over time, it will become a huge debt. After all, the money in your credit card is not yours. Repayment is required after overdraft. Once you are overdrafted, it will be overdue sooner or later.

It is very important to overdraft your credit card reasonably. For example, if I want to buy a big one, it might cost 10,000 yuan. I have money in my hand, but I want to use the money in my credit card, so I have an overdraft of 10,000 yuan. On the final repayment date, I can use my own money to pay off the overdraft of 10,000 yuan. The purpose of this is to take advantage of the interest-free period of the credit card and use the credit card funds reasonably. For another example, I often go to a restaurant where I can get discounts with a credit card, so I applied for a credit card. Every time I finish a meal, I pay with a credit card, and I pay off my credit card debt right away. It is also a credit card overdraft, but it is a reasonable overdraft and enjoys discounted overdraft. Instead of using the money in your credit card to buy things you can't afford. Many card friends have a strong sense of vanity and love to compare. Obviously their income cannot afford this phone, so they can only use the money in their credit card to purchase it in installments. As a result, their wages are low, their repayment pressure is high, and the gains outweigh the losses.

Finally, to summarize: a credit card overdraft is to use bank money to buy the products you like. Then, on the repayment date, pay the money back to the credit card. But there are two types of credit card overdrafts, one is overdraft within a reasonable range, and the other is excessive overdraft. With a reasonable overdraft, you can enjoy the convenience and benefits brought by credit cards. Excessive overdraft will only leave you in debt. Related Q&A: How much can you pay back in 12 months if you spend 20,000 yuan on a credit card? If you spend 20,000 yuan on a credit card, apply for 12 installments. The handling fee rate for each period is 0.5, and monthly repayment: handling fee 20000X0.5 principal 20000/12=1766.67 yuan. Different banks decide according to different situations. Fees are inconsistent. Installment repayment - means there will be multiple repayments, and the principal and interest repaid are divided into each repayment. An installment payment sales contract refers to a sales contract in which the buyer will pay the total price payable to the seller in installments within a certain period of time. Installment payment is a special form of transaction that is often used in the transaction of houses and high-end durable consumer goods in my country. Advance delivery of the subject matter. An installment transaction is a "first delivery" transaction, that is, the seller usually delivers the subject matter to the buyer immediately when the buyer pays the price for the first time. The installment payment nature of the price. The buyer's price is paid in stages according to a certain period of time. That is, after the buyer takes possession of the subject matter, he must pay the price in more than two installments. Otherwise, it does not constitute an installment sales contract. An installment sales contract with retention of title is a type of installment sales contract, which refers to an installment sales contract combined with the security method of retention of title. Specifically, it means that both parties agree that although the buyer will first possess and use the subject matter, the seller will still retain ownership of the subject matter until the specific conditions agreed upon by both parties are fulfilled; after the conditions are fulfilled, the ownership will be transferred to the buyer. Purchaser's installment purchase and sale contract. However, it should be noted that the "conditions" here are different from the "conditions" in the civil law sense. The conditions here should be interpreted as "burdens", similar to legal provisions. See Article 93, Paragraph 2, of the "Contract Law" It stipulates: "The parties may agree on the conditions for one party to terminate the contract. When the conditions for rescission of the contract are fulfilled, the person with the right to terminate the contract may terminate the contract." Similar to this, there are also Article 160 of the Contract Law, Article 111 of the General Principles of the Civil Law, Article 64 of the "Mintong Opinions" and Article 35, Paragraph 1 (2) of the "Judicial Interpretation of the Supreme People's Court on Sales Contracts", etc., can also be testified.

Credit card consumption installment means that after the cardholder swipes the card for consumption, if the single consumption amount reaches the minimum consumption amount stipulated by the bank, the cardholder can apply to the bank to split the consumption into several repayments, and the bank will then repay the amount. Spending is divided into multiple credits to your credit card account. Application process: Apply by phone or go to a physical bank. Because the cardholder does not consume at the card issuer's cooperative merchants (in shopping malls or online), that is, the cardholder purchases goods that do not come from merchants designated by the card issuer, and the cardholder applies for the installment business after the purchase has been made. Do not confuse consumer installment with mail-order installment and merchant installment. Cardholders must apply for installment before the billing cycle (between the consumption date and the billing date) after consumption, otherwise the bank will deduct the credit card amount and it cannot be refunded. (The specific application date depends on the bank) You can apply within 10 days after successful consumption and before the due date of repayment after the bill date. The interest-free repayment period for general consumer installment business is 50 days, but Shanghai Bank has 56 days and China Minsheng Bank has 51 days. If the cardholder repays the loan outside the interest-free period (overdue repayment), he or she will have to pay a certain late payment fee (5% of the unpaid portion) and interest (0.05% of the unpaid portion, calculated based on compound interest). Banks will set minimum late payment fees. The cardholder's consumption amount cannot be converted into installments in full. Generally, banks stipulate that only 90% of the cardholder's consumption amount can be converted into installment payment. In other words, the cardholder needs to pay a down payment of 10%. Related Q&A: How to use credit card to make purchases?

How to select merchants for swiping credit cards, which merchants are better for increasing credit limit?\r

If you want to determine which merchant is easy to increase credit limit by selecting merchants, this approach is rather one-sided! \r

First of all, you must understand the basic information of the third party! There are also rules about the third-party payment platform of the POS machine you use,\r

For example:\r

1. Is it a region? (Jump to different cities)\r

2. Do you want to jump to a merchant? (The printed purchase order does not match the billing merchant)\r

3. Do you want to jump to the channel? (Are the large-amount and small-amount deduction channels online or offline?)\r

4. Is it subject to risk control by a certain bank? (A certain bank card cannot be used for third-party payment POS transactions or limit!)\r

Why do you need to know about third-party payment? \r

1. Fund security: \r

Whether the channel of the POS machine is formal and UnionPay authorized third-party payment license is cleared to ensure the safety of funds! \r

Remarks: All subsidiaries of certain payment companies are classified as second clearing, and only payment companies holding third-party payment licenses are legal. \r

Second clearing payment companies became popular in 2012. Any company can rent a channel from a company with a payment license to do secondary clearing (second clearing). As a result, many users were involved in the second clearing company account after entering it. Money runs away. \r

Nowadays, many "repayment apps" operate in a similar way to Erqing. They use the online payment authorization withholding agreement to deduct money from your card, and then transfer the money to the "repayment app" company account. , transfer it to your card, and repeat the operation to pay off the bill. \r

Note: Cardholders are reminded to be wary of Erqing (return app): 1. Channels with high risk scores; 2. Channels with low overall scores; \r

2. No code hopping: \r

Only POS machines that do not jump codes and do not jump areas can make the card relatively safe; on the contrary, it will cause the bank to carry out risk control on the card, which is for cashing out or fraud! \r

Note: Once you are risk-controlled by the bank, you need to maintain good card usage for at least one to three years before the limit will be increased.

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3. Comprehensive score: \r

Maintaining interaction with banks, choosing high-quality merchants and offline payment channels are all important! If your contribution to the bank is insufficient, your overall score will drop! \r

What is contribution value: In plain language, it means have you made money for the bank? \r

4. Payment channel: \r

The channel is divided into online and offline channels; (I don’t understand the channel, and the overall score is different)\r

What are offline payment channels:\r

Offline payment channels are for physical contracted merchants. Before the fee change, there are different rates: cap (16-88 yuan/transaction), fee rate (0.38-1.25) Special unit: 0 fee;\r

After fee change: 0.38 for preferential merchants, 0.6 for normal merchants, 0 fee for special units;\r

Remarks: All merchants have it An MCC code, the rate corresponding to each merchant category and the industry breakdown are very clear. \r

What are online payment channels:\r

Our common online payment methods such as Alipay, Tenpay (WeChat Pay), etc., the rate is 0.38;\r

Remarks: The overall score in banks is low and the contribution value is insufficient, so most banks will not give points for online shopping. \r

So it is right to choose a high-quality merchant, but you must have a certain understanding of payment to make the right choice! \r

How to use the card well! Summarize the following three points:\r

1. Choose the right payment tool;\r

2. Choose the right high-quality merchant;\r

3. Maintain the Good interaction with the bank;\r