Do I need to set a password for my credit card? There are no hard and fast rules for this, it mainly depends on personal habits. If you want to set a password, you can set a password for your credit card. When you swipe your card to make a purchase, you must enter the correct password to make the transaction successful. If you don't want to set a password, you can use your signature to make a purchase. When you swipe your card to make a purchase, just sign the UnionPay slip.
Is it safe to use a credit card without a password? In the eyes of most Chinese people, credit cards must have a password. They believe that setting a password can prevent others from stealing the credit card. After all, even if someone takes your card, they will not be able to spend money without knowing the password. A few people think that it is safe not to set a password, because the relevant laws of banks and credit cards have such regulations. If a credit card does not have a password, it will be protected against card loss if it is stolen, and you do not have to bear the loss yourself.
However, I believe that credit cards without passwords are not necessarily safe. First, credit cards do not have passwords. Although a signature is required for consumption, few cashiers in China will carefully check whether the signatures match. This means that no one can guarantee that the person signing is the cardholder. No matter who gets the credit card, they can make purchases. , undoubtedly increases the probability of credit card fraud. Second, even if your credit card does not have a password and is stolen, you can enjoy lost card protection services, but this lost card protection is also conditional. Historically, the success rate of recovering losses through lost card protection is less than 70%.
So, why is it so difficult to recover losses under lost card protection? 1. The coverage of lost card protection is limited and only covers losses within 48 or 72 hours before reporting the loss. That is to say, if you do not report the loss to the bank in time after the credit card is stolen, you will still have to bear the loss. 2. The process of recovering losses under lost card protection is cumbersome and long. First, you must report the loss immediately after reporting the loss and provide the bank with relevant proof of card swiping by someone other than yourself, and then wait another 2 to 3 months before the loss can be recovered. During this period, the credit card bill will still be issued, and you must first advance the stolen money yourself, otherwise your personal credit will be affected by the overdue payment.