1. The difference between loans and credit cards. Simply put, although both are credit products, there are essential differences. There are many loan products, which are highly targeted. The purpose is to solve the borrower's financial problems. There are various express regulations and procedures, and the application process is relatively complicated. Credit cards are products that banks use to promote users' consumption. Users can enjoy a certain period of interest-free period, obtain various points discounts, and obtain installment loans when necessary. The process is simple and the approval rate is high.
2. Can credit cards be used as loan guarantees? Can. Many lending institutions can authorize credit cards. A credit card with a high limit and good credit can help users obtain a loan. The reasons why credit cards can be used as guarantees are as follows: 1. Credit card review is very strict, which can eliminate the need for a second review by the lending institution and improve certain efficiency. 2. The usage and credit status of credit cards are the best reference materials, which directly reflect the borrower's spending power, repayment ability and integrity. 3. Credit cards have cash withdrawal and overdraft functions, which can provide a buffer period for loans at critical times and optimize the bank's credit asset quality. 4. During the validity period of the credit card, the loan can be guaranteed. If the borrower's finances deteriorate and the credit card is overdue, the loan can be stopped in time.