Why do credit cards have expiration dates?

As we all know, the validity period, CVV2 code, and mobile phone verification code are called the three security elements of a credit card. They play a decisive role in the use of credit cards and cannot be ignored. However, many cardholders don’t know what the validity period is for, how long it lasts, and what to do if the credit card expires, etc. Here I will introduce it to you one by one.

What is the use of credit card expiration date?

1. Ensure card security: Many cardholders know that when paying online with a credit card, you must enter the correct CVV2 code, card validity period, and verification code before payment can be made. This requirement is to protect the security of the card and prevent your credit card from being stolen and causing you to lose funds.

2. Ensure that the card can be used normally: Credit cards have built-in chips, and some have magnetic stripes. After one card, there will be problems such as degaussing and the chip cannot be used anymore, or the card cannot be used because of wear and tear, so it will be set An expiration date allows you to replace the card with a new one in time to ensure the normal use of the card.

So, how long is this validity period?

It is understood that the validity period of credit cards is 3 years, 5 years, 8 years, or even 10 years, etc. The validity period of each bank's credit card is different. However, it is usually marked on the credit card in a certain format. There are two common validity period formats:

1. "MM/YY": the first two digits are the month of expiration, and the last two digits are the year of expiration. This type directly tells you when. When it expires, you need to combine the card approval date to estimate the validity period;

2. VALIDFROMMM/YY, VALIDTHRUMM/YY: The first is the card approval date, and the second is the expiration date. This method directly subtracts the card verification date from the expiration date, which is the card validity period.

For example, if the validity period of your credit card is in MM/YY format, 09/22, it means that the validity period of this credit card is until September 2022. After September, this card cannot be used. Used.

What should I do if my credit card is expired?

Generally, the bank will send a text message about 2 months before the card expires to remind you that the card is about to expire. If you have not informed the bank to terminate the use of the card, the bank will notify you within one month after the card expires. Re-issue a new card. Once you receive the card, you can continue to use it after opening it. Generally, the new card is the same as the original card, but the validity period and the CVV2 code on the back will change.

There are several things you should pay attention to when replacing a card when it expires:

1. The new card will generally be sent to your original card collection address. If the address changes, you should contact the card issuer in time. Credit card center changes;

2. The old card cannot be used after it expires. It must be reactivated after receiving the new card, and the query password and transaction password can be set before use.

One final reminder: after you get the credit card, you must activate it within the specified time. Generally, it must be activated within 3 months after the card is approved. Otherwise, if it is not activated upon expiration, the card will be canceled by the bank even if it is still within the validity period.

Why do credit cards (credit cards) set expiration dates?

Credit cards (debit cards) have a validity period. After expiration, the bank will issue a new card to the cardholder, and the old card cannot be used. Perhaps many people have a question, why do debit cards have no expiration date, but credit cards (debit cards) do? What is the purpose of this setting? This problem is explained below.

How to check the validity period of a credit card (credit card)?

Card holders all know that credit cards (debit cards) have validity periods, the shortest is 3 years, the longest is 10 years, and there are also 5 and 8 years. The validity period of a credit card (credit card) will be marked on the front of the credit card (credit card) below the card number. Some bank credit cards (credit cards) will be marked with the validity period, such as "10/1809/23", indicating that the credit card (credit card) Debit card) was issued in October 2018 and will expire in September 2023, with a validity period of 5 years. Most bank credit cards (credit cards) will only be marked with the month and year of validity, such as "05/19", indicating that the credit card (credit card) is valid until May 2019.

Why do credit cards (credit cards) need to set an expiration date?

There are three basic reasons why banks set validity periods for credit cards (credit cards):

1. The validity period of credit cards (credit cards) constitutes a credit card (credit card) part of the complete message. The information on the surface of a credit card (credit card) includes the card number, expiration date, name, and security code on the back. We need to use this information to activate a credit card (credit card) through the Internet or pay through the Internet. Then the credit card (credit card) validity period, as part of this information, can play a role in verification. Without the validity period, these operations cannot be completed.

2. Credit cards (credit cards) as entities have a service life. As a payment tool, credit cards (debit cards) will be subject to wear and tear during use. For example, the card number is unclear, the magnetic strip is worn and difficult to detect, etc. In order to ensure that credit cards (debit cards) can be used smoothly, banks need to New cards are regularly replaced. At the same time, for the convenience of management, a validity period is specified, and new cards are replaced when the time is up to avoid problems that cannot be used.

3. The validity period of a credit card (debit card) is a means of periodically assessing the cardholder’s use of the card. The bank does not just ignore the credit card after issuing it. During the process of the cardholder using the credit card (credit card), the bank will pay attention to the cardholder's use of the card. Depending on the situation, the bank will increase the limit, reduce the limit, or block the credit card. Card and other controls. The purpose of setting the validity period is to make it easier to decide whether the cardholder can continue to use the card in the future. For example, some people are often overdue. After the credit card (debit card) expires, the bank will probably not replace the cardholder with a new card. In addition, cardholders will also grow older. It is impossible for banks to allow cardholders to use credit cards (debit cards) until they are old. They may not allow them to use them after they turn 60. For example, if the cardholder is 57 years old now, and the credit card (debit card) expires in 3 years, the cardholder will be 60 years old by then, and the bank may no longer replace the cardholder with a new card. This is also a risk control issue. a means.

As part of the credit card (credit card) information, the validity period of the credit card (credit card) plays an important role in verification. It is mainly used in network operations, especially in online payments. , so cardholders must protect their credit card (debit card) information and not leak it easily to avoid risks. What is relatively difficult is the China Construction Bank credit card (debit card). Some people even say that China Construction Bank does not have an automatic limit increase system at all and relies entirely on manual review. Therefore, it is relatively slow to increase the credit limit without proof of flow and property.

Why do credit cards need to have an expiration date?

The core issue of why credit cards need to have a validity period is that the essence of a credit card is a credit limit determined by the bank based on the cardholder’s financial resources and credit situation at the time. The credit limit is Equivalent to the loan amount. Within this limit, cardholders can swipe their cards for consumption, overdraft, withdraw cash or transfer funds.

The validity period of a credit card is generally 3 to 5 years, with the shortest being one year. After expiration, whether to renew the card or re-evaluate the credit limit and validity period shall be based on the cardholder's credit status after expiration.

Cards will wear out and even be damaged after being used for a certain period of time. This is also a factor in setting the validity period of credit cards, but it is not particularly core. After all, in the era of magnetic stripe cards, debit cards have no validity period regulations. (In the era of chip cards, debit cards also have expiration dates).

As long as the card is damaged or lost, it can be replaced at any time. Usually, there is an annual fee for re-applying a credit card or debit card, but there is no annual fee for renewing a credit card when it expires.

As for the billing date, due repayment date, etc. after the credit card is renewed, if there are no special regulations, they will be the same as the old card.

The validity period of a credit card is actually the period during which the credit card can be used. The expiration date of the credit card is clearly indicated on the card surface, usually at the bottom of the credit card. Once it expires, it needs to be replaced with a new one. The card can continue to be used only if the card is damaged. If the validity period cannot be seen after the card is damaged, you can call customer service to check.

For example, the validity period on the card is 03/23, which means that the bank card is valid until March 2023. The bank card will become invalid in March 2023. Generally, the bank will Replace the cardholder with a new bank card before expiration

Under normal circumstances, credit cards are marked with a card validity period. The validity period of a credit card is generally 3-5 years, and some friendly cards have a validity period of 8 years, such as Industrial and Commercial Bank of China. . It is recommended that you consult the relevant staff about the validity period when applying for a credit card.

In order to ensure the continued use of credit cards, bank cards, as physical cards, are subject to grinding and damage. If they are not updated, when your card is damaged and cannot be used anymore, you will have to replace it. You have to wait for a while to get a new card. If you happen to need money at this time, it will be very inconvenient when using a credit card.

Over a period of time, a person’s credit record is There are changes. During this change process, banks need to prevent risks.

Why do credit cards need to have an expiration date?

Every credit card we are using has an expiration date on the front of the credit card. So what is the effect of the expiration date set on the credit card?

01. Security risks:

What I remember most clearly is that every time I bind a credit card to a quick payment on a third-party platform, there is a field to enter the validity period of the credit card. , if the entered date does not correspond to the credit card account, the binding will not be successful. If the entered date is consistent with the validity period set on the credit card account, then the binding will be successful. In addition to the regular SMS verification code verification, the credit card validity period is also the same. A relatively common verification method, verifying whether the credit card is operated by the person himself, provides an additional layer of security verification to eliminate existing security risks.

02. Card expiration date:

In order to prevent the credit card chip from being damaged or out-of-date, resulting in abnormal card swiping, or forgetting the expiration date of the credit card, causing the card to expire and not be used regularly, the bank will therefore The validity period of the credit card is set to 5 years. When the card expires, you can bring your ID card and card to the local bank branch to replace it.

03. Re-evaluation of the card limit:

When the credit card is expired, when replacing a new card, the bank will make a comprehensive evaluation based on your card usage in the past few years. Increase or lower your limit, or recommend other levels of cards.

04. The validity period has expired, and there is an overdue balance on the credit card:

The credit card was used within the validity period and accidentally expired, but it was never paid back. Finally, the card expired. If you later If you have paid off the overdue balance and want to continue using the credit card, if the credit card has not expired but is just frozen, you still have the opportunity to activate it. However, if the validity period has passed, you cannot continue to use the credit card and you can only resubmit the application.

Generally speaking, the validity period set by banks for credit cards is not just the verification date, but also comprehensive conditions such as security.

Xuetong Finance:

2019.05.31

The date is just a deadline, and you can just change the card.

The general limit will not change, but it is not excluded.

With such a large number of credit cards being issued, many people don’t understand the significance of the numbers on their credit cards. In particular, some people may wonder why credit cards need to have an expiration date?

There are several aspects to consider when setting the validity period of a credit card.

1. Identity verification is required

When making online transactions or making credit card purchases over the phone, you generally need to provide your name, expiration date, and security code. The security code is the three characters behind the credit card. digits. Multi-verification can effectively protect credit card security, and one more procedure means one more level of security. Even if others see the front of your credit card or anything else, they cannot make purchases.

2. Adjust the limit usage

Generally, after the validity period has expired, a new credit card will be issued to you in the future. When issuing a new credit card to you, your information must be re-examined. As long as there are no major problems with your credit card consumption, we will create a new card for you and adjust the limit for you.

3. Replace worn-out old credit cards

Generally, credit cards have been used for several years and are frequently swiped. Over time, they will inevitably become worn and may even fail. After setting the validity period, you can proactively issue new cards to customers when they expire. By the way, you can check your consumption and let you know that you still have a credit card. And the new card feels different in your hand.

When using a credit card, be sure to protect the information on the credit card. If possible, it is best to remember the three-digit security code on the back of the credit card and scratch off the three digits with a small blade.

The reasons for setting an expiration date on credit cards are as follows:

First: One more step of identity verification. When making phone purchases or online purchases with a credit card, in addition to the credit card number, security code, and name, some also need to enter the credit card expiration date, which is an additional security verification.

Second: Replace the card. Credit cards are only used within a certain period of validity, because the credit card may wear out after being used for a long time, and the magnetic strip may become demagnetized after being used for a long time. Therefore, when a credit card is about to expire, banks will actively invite cardholders to change their cards to make better use of their credit cards.

Third: Replace with new, more fashionable and beautiful cards. Credit cards are constantly updated, and the card surface designs are also rich and colorful. Set an expiration date on your credit card, and when it expires, you can replace it with the latest fashionable and beautiful card.

Fourth: Consumption. Setting an expiration date can remind customers that they have a credit card that can be used within a certain period and should use it more for consumption.

In short, setting the validity period of your credit card can provide you with extra security, timely replacement of new cards, consumption, etc.

After reading the previous answers about the validity period of credit cards, most of them are correct. I only disagree with one thing, which I will explain in the last one.

1 For safety reasons, because you often use your credit card, it is inevitable that the magnetic stripe information will be exposed or the three-digit code on the back of the card will be exposed, so the card will usually be replaced every three years.

2 For card upgrades, because banks are now considering security. With the advancement of technology, most new security technologies are applied to bank cards. Card replacement is also to update the new card technology.

3 Some people say that in order to re-evaluate your credit, this is not true. Because as long as you have a credit card, most banks will check your credit report every quarter. This is why there is a post-loan management inquiry in your printed credit report. Many people don’t understand what this means. This is the re-examination of you by the bank’s credit card center every quarter. The reason why some credit cards are reduced or suspended is because this happens when you have too much debt.

The validity period of a general credit card is 3-5 years, which can be calculated by subtracting the year of application from the last two digits on the card. For example, if you apply for a credit card in July 2017, the number on the card is 07/22, then the validity period is 2022-2017=5, which is five years.

Why do we need to set a validity period?

1. Ensure card security

When performing off-site operations such as online payment, the validity period is in addition to the name, name, and security code (the three digits after the signature field on the back of the credit card). Another verification method, more verification information increases the difficulty of fraud.

In addition, the security code is calculated by the bank through a series of complex algorithms after extracting the card account number, validity period, and service code. In order to ensure the safety of using the card, the security code will also be changed when the card expires and a new card is replaced.

2. Assessment of cardholders

In order to ensure the safety of their own funds, banks will conduct risk assessments on cardholders' credit status from time to time. When a credit card expires, the bank will also conduct a new credit assessment on the cardholder. If the risk is reduced or the financial resources are richer, the bank may upgrade you to a high-end customer, increase the limit, etc.; if the risk is found to have increased, the bank may lower the level and limit, etc.

3. Card technology updates

With the continuous development of technology, credit card security protection technology is also constantly upgraded. When banks create new cards for cardholders, they are also in the process of technological updates. For example, chip cards have higher security performance than magnetic stripe cards.

4. Cards have limited service life

As a payment medium in daily life, credit cards are used frequently. After long-term use, varying degrees of wear may occur. To ensure the quality of the card, the card needs to be replaced regularly.

What should I do if my credit card expires?

1. Make sure the correspondence address is accurate

Most banks will send new cards to customers before the card expires. If the cardholder's correspondence address changes, they can call in advance. Please call the customer service number of the credit card center to change your address. In addition, you should also pay attention to the mailing status of the card. If you do not receive the new card, you should contact the card-issuing bank in time to avoid risks such as fraudulent collection.

2. You need to cancel the card if you do not want to continue using it

If the cardholder does not want to continue using it for some reason, regardless of whether the card has expired, it is best to call and consult with the credit card Customer service to avoid bad credit records due to arrears due to annual fees, etc.

Let’s stop here to explain why credit cards have expiration dates.