Will using a credit card affect your credit report?

No. When using a credit card, there are three situations that will affect your credit information:

1. Apply for a credit card but do not use it. Since the records of credit card processing are synchronized with the user's personal credit information, it is difficult to apply for a new card after applying for a credit card but not using it or not using it for a long time after processing. Most banks will regard this behavior as malicious card application and will show that the card application has not been activated in the credit information.

2. Credit card repayment is overdue. If a user does not repay his or her credit card for a long time, it will have a great impact on personal credit information. Overdue bad records will be recorded in personal credit information records. If you fail to pay it back, you will be blacklisted and your personal credit information will be affected. According to regulations of the People's Bank of China, all card-issuing banks are required to regularly upload customers' consumption and repayment records without tampering. If the credit card is overdue for more than three months or more than three times, the bank will freeze the credit card and list it as a prohibited customer (blacklist). At the same time, the bank will enforce the credit card and malicious overdraft.

3. Too many credit cards. If the number of credit cards is too large, it will be considered that the cardholder has engaged in cash-out behavior, which will affect personal credit information. The total credit limit of cardholders is basically stable. Each time a credit card is issued, it is equivalent to using part of the total credit limit. If you have too many cards, it will be difficult to apply for new ones. Even if you can do that, your credit limit will be relatively low.

: Will frequent credit card use affect your credit report?

1. Frequent use of credit cards, timely repayments, no overdue payments, little impact on the cardholder’s credit information, and good repayment records. On the contrary, it can prove the cardholder’s repayment ability to a certain extent. Strong and willing to repay.

2. However, if there are many credit cards in the name, the total credit limit is too high, and the credit limit is used more, the cardholder's debt ratio will be higher, and the debt ratio is also determined by other lending institutions or banks when reviewing applications. Factors that people pay great attention to.

3. If the credit card is used frequently and maxed out frequently, it will be more difficult to increase the credit limit, because when checking the credit information of the cardholder, it is found that the debt ratio of the cardholder is very high, and the bank will think that the credit card holder has a high debt ratio. Cardholders are short of money, worried about their ability to repay, and are unwilling to increase their credit limit. They have maxed out their credit card multiple times, and may even reduce it.

4. When using a credit card, be sure to remember to repay it on time. Many banks will have a grace period of 2-3 days for repayment. If you fail to repay in time on the repayment date, you should try to repay within the repayment grace period. The repayment grace period is not considered overdue. Once it is overdue, overdue records will be checked and a certain amount of penalty interest or late fees will be paid, increasing the pressure of repayment. Multiple late payments may even lead to an immediate freeze on your credit card.

2. Benefits of credit cards

1. Applying for a credit card can effectively solve the problem of insufficient funds for users. Applying for a credit card does not require a loan or borrowing money from others;

2. There is an interest-free period when using a credit card, so users can invest money and then repay the money within the repayment period, which effectively improves the utilization rate of funds;

3. Credit card issuing banks will cooperate with merchants , users can enjoy discounts;

4. Repaying credit cards on time can increase a good credit record.

3. Disadvantages of credit cards

1. Service staff may oversell the card holder during the consumption period, or steal the credit card for other business consumption. This may happen in In physical or online virtual businesses;

2. The credit reporting system is still imperfect, and there are still lax reviews in terms of bank credit, insufficient protection of citizens’ own information security, and serious credit card crimes;

3. Users’ blind credit card consumption may lead to excessive consumption and irrational consumption.

4. There is no interest-free period for cashing out credit cards, and users need to be charged a handling fee.

Do credit cards have an impact on credit reporting?

1. The process of applying for a credit card does not have much impact on credit reporting. However, if an individual frequently purchases credit cards in various places in a short period of time, Applying for a credit card from a major bank, or repeatedly applying for a credit card but not applying for it will affect your personal credit report.

2. If there is an overdue behavior when using a credit card, it will affect the credit report. Generally speaking, the overdue credit card record will be retained on the personal credit report for 5 years. If the overdue amount has not been paid off, the record will be Save forever. 3. Using credit cards for illegal operations will also have an impact on your credit report. For example, if you use a credit card to cash out, if the bank discovers it, it will leave a bad record on your credit report.

Will applying for too many credit cards affect your credit score, and what other impacts will it have?

It will have a certain impact

Applying for multiple credit cards: your credit report may be affected

1. Impact on personal credit

First, after applying for multiple credit cards, it is inevitable that you will forget to repay due to too many credit cards. If you forget to repay more often, long-term delay in repayment will lead to a reduction in your credit limit.

Second, applying for multiple credit cards will increase the burden of credit reporting. As long as you apply for one credit card, your credit reporting will have clear records regardless of whether the card is approved or not. Once you apply for a credit card, there will be corresponding records on your credit record. The more applications you apply for, the greater the burden on your credit record will be.

Third, it affects the credit card application rate in the later period. If the applicant has applied for multiple credit cards for various reasons, and has applied for the card, but has not opened the card for use, under such circumstances, he or she wants to apply For other credit cards, the approval rate will drop.

Fourth, it is best to cancel the card directly without opening the card after application. If you have applied for many credit cards, some of which have very low credit limits and are inconvenient to use, it is best to choose to cancel the card. The record of card cancellation may also be It will be recorded on the credit report.

2. Too many applications - not activated

Nowadays, it is very convenient to apply for credit cards on many platforms. It is inevitable that sometimes you apply for too many credit cards in a hurry. When I calmed down, I regretted it, so I just shelved the card, mistakenly thinking that as long as I didn't activate it, everything would be fine, but the fact was just the opposite. Not activating the application would also have adverse effects.

First, if it is not activated, an annual fee may be charged. The China Banking Regulatory Commission stipulates: "Banking financial institutions shall not deduct any fees before the cardholder activates the credit card, unless the cardholder authorizes the banking financial institution to deduct fees in a written customer service center phone recording or electronic signature."

Under normal circumstances, banks do not charge annual fees for ordinary gold cards that are not activated, but for platinum cards, the annual credit card fees will still be charged regardless of whether the credit card is activated or not.

The fees incurred when the credit card is not activated will be charged to the cardholder's account in the form of credit card debt. If the repayment is not made on time, high interest and liquidated damages will be incurred, and the credit card will be charged to the cardholder. Personal credit reporting is affected.

Secondly, the potential for theft of unactivated credit cards cannot be ignored, because some credit cards are very simple to activate, and some can be activated by just verifying the ID number, so there is a risk of credit card theft after being activated by others. Risk of brushing. At the same time, if you apply for multiple credit cards, they will inevitably be improperly stored. Once the magnetic stripe information of the credit card is lost, it will be stolen by criminals. In addition to theft, personal information will also be leaked.

Third, unactivated credit cards will also appear on your credit record. If you do not activate the card for a long time, some banks will doubt your spending ability, so they will automatically cancel it after a period of time, making it unusable later.

In addition, if the cardholder wants to apply for a new credit card or loan in the future, it may be affected because the card he has purchased before has not been activated. Because the bank will think that the cardholder has integrity issues or does not have such needs, it will reduce the credit card loan limit and even affect the success rate of credit card and loan approval.

If you apply for multiple credit cards and no longer want to use them, don’t forget to cancel the cards and accounts in a timely manner to avoid worries about affecting your personal credit.

Author: Qimei Produced by: Understanding the Financial Emperor

Applying a large number of credit cards in a short period of time will have an impact on the credit report. Some people are in urgent need of money and cannot take care of it too much. It often happens that you apply for more than 5 credit cards at once. At this time, it is actually difficult to get approved for the cards you apply for later. Even if you are lucky enough to be approved, the credit limit will not be very satisfactory.

Under normal circumstances, it is best to apply for a credit card no more than twice within a month. Regardless of whether it is approved or not, do not apply for another credit card in the short term. A big role of a credit card is as a reserve account, so try to apply for it when you don’t need it in case you need it. It’s already too late to think about applying for an emergency credit card until the end of the day. After all, the credit card money is not your own. It is borrowed from the bank for short-term consumption or emergency use. If you need money urgently, it is better to apply for a loan from the bank.

If you apply for a large number of credit cards in a short period of time, there will be a lot of credit inquiry records. In this way, even if you want a loan, the bank will not approve it after seeing so many inquiry records. Therefore, Applying for too many credit cards will definitely affect your credit report, so try not to do this.

Hello, I am Li Suyao. I am honored to answer your questions.

Applying for credit cards multiple times in a short period of time will definitely affect your credit score.

Every time you apply for a credit card, your credit report will be checked, and a query record will be left on your credit report. Under normal circumstances, the number of credit inquiries should not exceed 3 times a month and no more than 4 times in two consecutive months. If the number of credit inquiries exceeds the limit, either a loan or a credit card will be rejected.

So it is recommended not to apply for more than 3 credit cards in a month, and not to apply for more than 4 credit cards in two consecutive months.

In the long run, holding multiple credit cards will have basically no impact on your credit score as long as they are not overdue.

But one thing to note is that the credit card usage limit will be reflected in the credit report. The used credit limit on your credit card will be counted as your liability.

If the credit card usage limit is large, the debt reflected in the credit report will be relatively high. High debt will have a certain negative impact on subsequent credit card and loan applications.

If you have a financial mindset and can hide your credit card debt, it will basically have no impact.

How many credit cards an individual applies for depends on his or her needs, and there is no clear limit.

I hope my answer can inspire you, thank you all for reading.

Chief Investment Officer commentator Xi Li believes that applying for multiple credit cards will not affect your personal credit score, but you need to repay them on time. I don’t have multiple credit cards, so I asked friends around me who have multiple credit cards. Their unified message is that you just need to repay the money on time.

When you apply for a new credit card, the bank will investigate your personal credit report. If possible, you can apply for a new credit card. After the inquiry, it will show that the credit card has been approved, and it will not display whether it is approved or rejected. text.

Even if your credit card application fails, it will not affect your credit report. The information standards reviewed by each bank are different. We will open a card for you based on your criteria.

If you are repeatedly rejected by multiple financial institutions, it will be a stumbling block for your future applications for credit cards and loans.

In summary, if more than half of the cards are repaid on time, it will not affect personal credit.

Thank you for the invitation. I have worked in a bank for many years. Let me briefly answer this question!

It is certain that too many credit card applications will affect personal credit reporting, mainly in the following aspects:

First, check the records, contact and apply for 7 banks like you , 7 query records will be left. For bank loans, if the credit report is correct more than 6 times within six months, the loan may be rejected.

The second is the debt situation. Too many credit cards can be seen on the credit report, which may cause your debt to be too high, or your potential contingent liabilities to be high. When the bank loan is approved, you will find that If there are too many bank cards, you will be more cautious in approving them.

Third, if you activate and use them all, the credit card repayment dates of each bank are different, which can easily lead to overdue interest, which will have a greater impact on your credit report.

Above!

The credit card business of major banks has been developing rapidly in recent years. In order to increase the number of credit card users, many banks have lowered the review threshold. Therefore, there have been many users applying for credit cards in recent years, and some users have even applied for many credit cards by themselves. A credit card.

For example, according to the "Overall Operation of the Payment System in 2020" data released by the Central Bank, as of the end of 2020, the number of credit cards and debit and credit cards used in my country totaled 778 million, and the per capita number of credit cards reached 0.55 open.

But among so many credit card usages, many users actually have credit cards from multiple banks. For example, it is normal for some users to have seven or eight credit cards alone.

For these users who have multiple credit cards, many people are actually relatively blind when applying for credit cards. Sometimes it is to help friends complete tasks, and sometimes they just see the bank doing activities. I can apply casually, and sometimes I see some application portals online and my hands itch and I apply again.

But when applying for a credit card, many people do not consider the possible impact of having too many credit cards, such as the impact on personal credit reports.

Will applying for credit cards from many banks affect the credit report? In response to this problem, we need to analyze the specific issues in detail, specifically from several aspects.

1. Is the credit card overdue?

The most important part of judging the quality of your credit report is to see whether it is overdue. If you apply for these credit cards and fail to repay them in time on the repayment date, causing the credit card to become overdue, it will definitely be a problem for the credit card. Letters have an impact.

Especially for those credit card bills that have not been paid for more than three consecutive months, this is basically a blacklist. This impact is very large. Basically, you cannot get a loan or credit card from the bank. pass.

Of course, if you are able to repay your credit cards on time and do not have overdue payments, then even if you have seven or eight credit cards, the overall impact will not be too great.

2. What is the credit card overdraft balance?

When banks review credit reports, in addition to looking at whether there is overdue credit, they will also look at an important indicator, which is the debt ratio.

Generally, banks require users’ overall debt ratio to be controlled within 70, and during review, they generally require users’ debt ratio to be controlled within 50. If you apply for many credit cards, the amount of each credit card will be Credit card overdraft limits are very large. For example, the total credit card limit is 200,000, and you have an overdraft of 190,000. This will definitely have a certain impact on your credit report.

In the bank's view, if the credit card overdraft limit is very high, it means that the user is very short of money and will overdraw all the credit cards. The potential risk of lending money to such a user is relatively high.

Of course, whether you are likely to be affected in the end depends on your income level. If your income level is very high, even if all seven or eight of your credit cards are overdrafted, it may not have much impact. For example, if a person's monthly income reaches 200,000 yuan, but his credit card overdraft is only 100,000 yuan, it will not have much impact.

On the contrary, if a person's income is relatively low, for example, only 5,000 yuan a month, even if his credit card is only overdrafted by 20,000 yuan, it may have a certain impact.

3. Have you applied for many credit cards in a short period of time?

When financial institutions review credit reports, they will also look at an inquiry record, especially the approval inquiry record. If you have applied for several credit cards in the past six months or one year, this will It's a relatively taboo thing.

Under normal circumstances, when banks approve credit card inquiry records, they will require that there should be no more than 6 approval inquiry records within half a year. Some banks have stricter requirements and even require that there should be no more than three approval inquiry records in the past six months. Query records.

If there are too many approval inquiry records in the past six months, the bank will also think that everyone is very short of money, or has some special purpose for applying for a large number of credit cards, so they borrow money everywhere or apply for credit cards and borrow money The potential risks for such users are very high, so banks will consider it carefully.

Of course, in addition to the situations we mentioned above, if you are applying for a mortgage, the bank will be more strict in reviewing the credit report and the approval will be very strict.

In the past two years, my country's regulatory authorities have been very strict in reviewing bank credit violations when entering the property market. In reality, many users may be suspected of overdrafting their credit cards as down payments.

So in order to prevent users from using credit card overdrafts as down payments to enter the property market, when major banks review credit reports, if they find that your credit card overdraft balance is very large, no matter how much your income is, generally Banks will require you to pay off most of your bills before they will give you credit. If you are unable to pay off these credit card bills, your application for a mortgage may be rejected.

In short, having more credit cards does not necessarily mean that your credit score is bad. The key depends on how you use your credit cards, especially the credit card overdraft balance and overdue status. If there is no overdue overdraft balance and the overdue balance is relatively small, then Even if you have many credit cards, the overall impact will not be too great, but if you have overdue credit cards or a very large overdraft balance, it will definitely have a certain impact on your credit report.

The customer applies for a credit card, and the bank approves it and is willing to issue it for credit. This is a purely commercial behavior, and it is also a matter of mutual consent. As long as you use it normally, make normal repayments, do not cause so-called overdue payments, and use various credit card installment products, it will actually have no impact on your credit report, and your credit report record will still be good.

However, having a good credit record does not mean that handling other financial services in the future will remain the same as in the past. In the future, when financial institutions receive a loan application and open the applicant's personal credit account, they may have doubts and worries. They will ask the applicant more questions and conduct a stricter division of labor review. The reason is why do borrowers have multiple credit cards? This behavior is actually contrary to common sense and is not a normal personal consumption behavior.

Indeed, if an ordinary person goes to work or does business, why does he need 7 credit cards? Although the welfare measures of credit cards issued by various banks are different, the core of the credit card is to consume overdraft and then repay before the due date. How can an ordinary normal person need to use 7 credit cards a month for consumption overdraft? Therefore, this behavior is abnormal and will naturally be subject to more doubts and risk control reviews.

In fact, for applicants, it is not necessary to apply for 7 credit cards, and there is actually no benefit. The reason is also very simple. Since the country carried out leverage reduction for personal debts in 2009, the management requirements for bank credit cards have also been gradually strengthened. When granting credit card credit, the total risk credit limit of the borrower must be taken into consideration, and excessive credit cannot be granted. Therefore, it is possible that no matter how many credit cards an applicant applies for, their total credit limit will not increase overall. There is no point in applying for multiple credit cards.

For example: For an office worker with a monthly salary of 5,000 yuan, the total credit limit of his credit card may be assessed as 30,000 yuan by multiple banks. Then the first bank may grant a credit line of 15,000 yuan, the second bank may grant a credit limit of 10,000 yuan, and the third bank may grant a credit limit of 5,000 yuan. Then when they met the next few banks, they found that the total credit limit of the applicant was already very sufficient. But having one more customer is always a good thing, so it is possible that they will agree to issue a credit card, but only grant a credit limit of 1,000 to 2,000 yuan. Does this mean anything to customers?

When a credit card holder applies for other financial services, such as applying for a mortgage loan to buy a house, the applying bank may carefully inquire about these multiple credit cards and calculate the limit. If it is believed that the borrower is using the credit card unreasonably, it will require additional guarantees or mortgage measures, or require more proof of income, and sometimes increase loan interest, which can effectively reduce loan risks.

In summary, it is enough for a person to have 2 to 3 credit cards. The more you have, the more trouble you may cause yourself in the future and the greater the adverse impact. .

Whether applying for too many credit cards will affect your credit record needs to be considered at several levels:

In general, some people’s credit status is: Okay, he has a strong repayment ability, and he doesn’t have any overdue or bad credit records, and several card issuers have also issued credit cards to him, so he has many credit cards, and there is no problem. Instead, the bank that issued the new card The opinion on whether the application is approved or not should be based on the approval results given by the previous bank.

If some people do not have that strong repayment ability, and fail to repay on time, forming a certain pre-overdue record, then having too many credit cards is definitely not a good thing, and it will definitely affect them. The credit record will also serve as a demonstration and warning to the bank that issued the card later. Then the bank that issued the card later may no longer approve the applicant's application and make an approval or rejection decision.

Therefore, whether you have more or fewer credit cards is determined based on your actual needs and your own credit situation. You cannot simply conclude that a large number of credit cards will affect your credit score.

The credit card application will be recorded on the credit report, and you will obviously find that you will have a credit card approval mark.

And if you apply for credit cards from multiple banks multiple times in a short period of time, it is easy for the bank to determine that you are short of money and have high debt, and it will be troublesome to go to the bank to apply for a loan later!

In addition, as long as your credit card is activated, even if you don’t use it, there will be a post-loan management mark. Even if you don’t use it, it means that the bank will lend you the money and help you manage it. Some cards will be repaid after activation. There will be an annual fee. When you don't use it or the annual fee reduction does not meet the standard for the next year, the annual fee will be deducted. If you don't pay it back in time, it will be overdue, which will be very troublesome!

It is recommended that you apply for no more than 6 credit cards and use them rationally. Remember that excessive debt will result in empty cards!

Applying too many credit cards will indeed affect your credit report. Well, where is he influencing? Because you have applied for many credit cards, some credit cards have been approved, and some have not been approved. Regardless of whether they are approved or not, she will always check your credit report. Once the number of inquiries on your credit report increases, the bank will think that you may not have enough money, so you will need to borrow money more frequently or something like that. It won't have a good personal impact on you. Basically, applying for a credit card more times will have this impact.

Of course, this influence is not a malicious influence. In fact, it means that the bank suspects that your personal credit performance ability is not that high, so you have to continue to borrow money to complete your loan. repayment. In fact, these multiple inquiries on your credit report have not caused any stain on your credit. Therefore, you don’t have to worry about how it will affect your future borrowings or credit card applications. Anyway, the impact is indeed such an impact.

What I tell you is relatively certain, because I have applied for about 15 credit cards myself. My credit report has been queried more than 200 times. Then I also asked the person at the center of the credit reporting agency, and he said that this impact is basically no other impact.

However, I would like to advise the poster in the end. Generally, don’t apply for too many credit cards. About four or five are enough. Because if you apply for too many credit cards, you will not be able to open them on the billing day. On billing day, your credit card management will be very confusing, and you won't know which credit card should be paid off on which day. So I suggest that the poster don’t do too many, just have about four or five, thank you.

Does having too many credit cards affect your credit report? Only these situations will have an impact

Because credit cards have interest-free periods, many people will choose to use credit cards when they are financially stressed. Having more credit cards can maintain smooth data operation within a certain period of time, and also No interest required, very convenient. However, some people are worried about whether having too many credit cards will affect their credit report. This depends on the specific situation. Let’s find out together.

Does having too many credit cards affect your credit report?

When applying for a credit card, the bank will check the applicant's credit report. If there are many inquiry records for credit card approval, such as five or six inquiry records in a month, it is easy for the bank or lending institution to think that the applicant is a bad person. Urgent need for funds and poor financial situation will have a certain negative impact on the applicant's credit score.

If you apply for credit cards intermittently, for example, if you apply for 6 credit cards every month in a year and do not apply for them in a centralized manner, this situation will not have any negative impact on your credit report.

If there are many credit cards, each credit card has a high overdraft, the debt ratio is high, the cardholder has a low income, and you want to apply for other loans, considering that the applicant’s repayment ability will be compromised, it may The loan amount obtained is lower, or the loan may be rejected by the lending institution. Of course, this is only a reference information point for lending institutions, and it does not necessarily have an impact.

If you have many credit cards and the repayments are overdue, for example, the number of overdue payments is more than 6 times in half a year, it will have a great negative impact on your credit report. If you want to apply for a loan, you will basically be rejected instantly.

Under normal circumstances, if you hold many credit cards and repay them on time, the credit card borrowing and repayment record on the credit report proves that the cardholder has a good overall repayment ability and a good repayment record, and he is creditworthy. People who want to apply for a loan are more likely to succeed.

Whether having too many credit cards will have an impact on your credit score depends on how the cardholder uses the credit cards in their hands. Many banks have credit card discounts. You can save a lot of money by using more credit cards. Repayment and reasonable consumption are good for your credit report.

This is the end of the introduction about how credit cards affect credit and whether using credit cards affects credit. Have you found the information you need?