What impact will using too many credit cards have on buying a house? These situations will have a negative impact

Credit cards are very convenient to use because of their long interest-free period. Many people have several credit cards. However, when thinking about buying a house, some people begin to worry about whether the use of credit cards will affect the application. Taking out a loan to buy a house has negative consequences. So what impact does using too many credit cards have on buying a house? Under what circumstances will there be negative effects? Let’s find out together.

What impact will using too many credit cards have on buying a house?

The impact of using a credit card on buying a house needs to be judged based on the situation of buying a house and the use of the credit card.

1. Buying a house with full payment will have no impact

If the cardholder buys the house with full payment, there is no need to apply for a loan. No matter how much the credit card is used, it will not affect the purchase of the house. There is no need to worry. .

2. Loans to buy a house, these situations will have negative effects

1. Overdue credit card repayments

If you want to get a loan to buy a house, the bank will definitely check the loan applicant According to the credit report, if the credit card is used frequently and has been overdue more than 6 times in the past two years, or has been overdue three times in a row, and the overdue time exceeds 90 days, the application for a mortgage loan will be rejected instantly.

2. Excessive credit card debt

If you use a lot of credit cards and have multiple credit cards in your name, and the credit limit of each credit card is more than 70, the bank will consider that the credit limit of each credit card is more than 70%. If a person's debt ratio is too high and the risk of overdue is high, it will be more difficult to apply for a mortgage loan, or the loan amount will be reduced.

If you only have one or two credit cards and always repay them on time without overdue payments, it will help the cardholder accumulate a good credit record. When applying for a loan, the credit limit occupied by the credit card is not high. If the credit card is used a lot, the bank can update it. Quickly knowing the credit status, debt ratio, and borrowing habits of the cardholder will be beneficial to applying for a mortgage loan.

What impact will excessive use of credit cards have on buying a house needs to be treated dialectically based on the actual situation. Normal use of credit cards will have no negative impact on buying a house.

Can I buy a house with a credit card loan?

It depends on the local house purchase policy requirements. In first-tier cities, you need to check the source of payment, such as consumer loans, business loans, borrowings, borrowings, bridge advances, etc. Anyone who borrows someone else's name is strictly prohibited from buying a house. For other parties, please consult local home purchase policies.

Coordinates are Guangzhou! Bank’s review standards for house purchase down payment

The down payment for house purchase must be the family’s own funds, that is, for the down payment of house purchase, the bank’s requirements are: self-financing in full, and large transfers from others are acceptable, but only within a limited period. to immediate family members.

Bank regulations on down payment sources

1. Provide down payment statements

a. Before review, the borrower's family must provide down payment sources for the past six months. ; It can be current deposits, financial redemption, insurance balance, Alipay balance, stock balance and other funds.

b. For those who have held 80% of the down payment funds six months ago, they can be regarded as qualified and directly enter the formal review stage; for those who have part of the down payment transferred in the past six months, it needs to be verified as reasonable income. income.

c. For direct relatives transferring in, the immediate family members must provide their bank statements for the past six months. If the relatives have held it half a year ago, it can be recognized. If they have deposited intermittently, they also need to be verified as reasonable income.

2. Access is strictly prohibited

Access is strictly prohibited for those whose down payment sources are verified to be loans, borrowings, bridge advances, or borrowing names from others.

3. Credit report in the past six months

a. For consumer loans and credit card installments (except car installments, proof of car purchase loan contract must be provided), proof of reasonable consumption use and payment must be provided Voucher, otherwise it is necessary to settle and provide settlement certificate and settlement flow;

b. For business loans, business background materials (business license, loan contract and payment voucher, invoice, etc.) need to be provided as The evidence is used for production and operation;

Sources of down payment not recognized by banks

a. Sensitive words such as "loan" appear in the down payment or income statement, or it comes from a small loan company Advance capital transfer;

b. Note "borrow money", "borrow money to buy a house", etc.;

c. Transfer of large amounts of funds from non-immediate relatives.

Down payment sources approved by the bank

a. Deposits held by the family for more than half a year

b. From residences and shops sold locally or overseas, etc.

c. Operating income from company payments, dividends and other operating income

d. The above a, b, c. situations of immediate family members;

e. From The division of marital property after divorce must match the property division provisions in the divorce agreement;

f. From scattered small cash deposits.

Can a credit card be used to buy a house?

Generally, credit cards cannot be used to buy a house.

According to the Beijing Youth Daily, since August 2019, under regulatory requirements, many bank credit card centers have issued announcements to strengthen the control of real estate merchant transactions. Generally speaking, overdraft credit cards are banned when buying houses from developers or intermediaries, and payment of property fees and time-share housing (rental housing) are mostly subject to transaction limits, with a single transaction not exceeding 15,000 or 30,000 yuan. In fact, regulatory authorities have always strictly prohibited consumer loans, personal business loans, credit card overdrafts and other funds from being used for home purchases and stock speculation.

Strictly controlling the purchase of houses with credit cards has sent us the most direct signal. The policy of "houses for living, not for speculation" is still very clear, and it is difficult to make substantial changes in a short period of time. At the same time, the regulatory actions on the domestic real estate market may have a longer duration, which may further prolong the stable fluctuations of the domestic real estate market. However, the differentiation of the real estate market may still be further intensified.

It should be noted that for the measures to strictly control credit card house purchases, stabilizing housing prices is one aspect. On the other hand, it may be due to factors such as the need to improve credit card risk control capabilities in recent years. It can be seen that the measures to strictly control credit card house purchases will help standardize the behavior of arbitrary consumption and arbitrage speculation by credit cards. It will also help enhance the risk control capabilities of credit cards in the future and reduce the probability of systemic risks. Thinking from the perspective of investors who purchase houses with credit cards, if they strictly control the behavior of purchasing houses with credit cards, they will still be affected by more or less impacts. However, for intermediaries, there may still be some disguised ways to purchase houses. After all, it is still difficult to completely crack down on the phenomenon of credit card house purchases, and the phenomenon of market speculation and arbitrage may still exist partially.

However, there are still certain risks involved in purchasing a house with a credit card. For example, whether the investor can repay in time, whether the investor's personal credit is affected, etc. At a time when the demand for credit is increasing, people's emphasis on credit is also continuing to increase. Perhaps, from a long-term perspective, standardizing credit card usage habits and rationally guiding credit card consumption behavior will help enhance the risk control capabilities of credit cards, avoid unnecessary systemic risks, and further strengthen the principle of "living in housing, not speculating". "The policy sets the tone and attitude.

Do credit cards affect home loans?

Yes. Being delinquent on your credit card will cause problems with your credit report, and problems with your credit report will affect your ability to get a loan. If you want to use a credit card, you must first understand the rules of use. If you can accept it, then apply. If you cannot accept it, it is best not to apply. After all, credit cards are overdraft cards and not everyone can use them casually. Many staff who recommend you apply for a credit card only care about their own performance, regardless of your ability to pay the overdraft limit.

Everyone wants you to get a credit card.

1. What is a credit card?

A credit card, also known as a credit card, is a bank card that allows overdraft. Every bank can handle it, and the amount ranges from a few thousand to hundreds of thousands. Some will match the overdraft limit based on your income, and some will match customers based on your needs regardless of your income. When applying for a credit card, you must first ask yourself why you want to apply for a credit card, what is the purpose of applying for a credit card, whether you have a regular income, and whether you have enough money to cover the overdraft when the credit card repayment date arrives. Find out all these issues before deciding whether to apply for a credit card. After all, an overdue credit card will affect your credit score. Looking for bank loans to buy a house or a car in the future will be affected.

Two. Advantages and Disadvantages of Credit Cards

Credit cards are very convenient to use and can alleviate the problem of insufficient funds for cardholders. You can also use your credit card points to redeem great gifts and special privileges. The disadvantages of credit cards are also very obvious. Charging higher interest rates may lead to excessive consumption or blind consumption. Once serious overdue records occur, it will affect personal credit. Credit cards are mainly used for the cardholder’s daily consumption and provide the cardholder with a certain limit.

Three. Credit card repayment date

Take CCB’s credit card as an example, the repayment date is the 25th of each month. The bill generation date is the 5th of each month, and the billing cycle is from the 5th of the previous month to the 5th of this month. There is a 20-day buffer period. After the bill is generated on the billing date, the outstanding balance must be paid before the 25th, otherwise it will affect the application.

Is it feasible to buy a house with a credit card? What should I pay attention to?

First of all, thank you very much for answering this question for you here. Let me lead you into this problem. Now let us discuss it together.

When using a credit card to buy a house, the first thing you need to face is whether the city and bank allow it. At present, control measures have been issued in cities such as Suzhou and other popular real estate cities, which do not allow credit cards to be used for down payments.

In fact, not allowing credit card overdrafts to buy houses is not only a need for government real estate regulation, but also a risk control measure for banks.

For example, buying a house requires a loan. If you also use a credit card as a down payment, it is equivalent to adding another layer of leverage. Banks may not allow this due to risk considerations.

And when buying a house with a large amount of credit card, most real estate developers will use a capped POS machine. The handling rate of capped POS machines is lower, which can save merchants a lot of handling fees for large transactions. However, using a capped POS machine to "swipe a card" for large purchases can easily be judged by the bank as a risky transaction, and it will be difficult to successfully apply for a credit card limit increase in the future.

After September 6, 2016, the debit and credit separation policy will be implemented in credit card rates. The new version of the credit card processing fee no longer implements a cap on credit card processing fees for the real estate, automobile, and wholesale industries, which means that there will no longer be a cap on the processing fee for credit card consumption in the future. The introduction of similar new policies may become another obstacle to buying a house with a credit card.

Using a credit card to buy a house to pay the down payment is a disguised "loan" and liability for the home buyer, but if you want to use the provident fund to repay this money, there may be a relatively large sum. It’s difficult because it’s not easy to prove to the provident fund management center that the amount swiped through the POS machine was actually used to buy a house.

Therefore, when applying for repayment using provident funds, it is easy to be rejected.

There are still quite a lot of "risks" in using a credit card as a down payment to buy a house. Whether it is cost-effective or not, you still need to carefully consider. If using a credit card to buy a house gives you a month's interest-free period, and it helps you, that's still good. But if you have financial difficulties and you don’t hesitate to buy a house at high interest rates, this is not worth advocating.

The answers to this question shared above are all personal opinions and suggestions. I hope the answer to this question I shared can help everyone.

I also hope that everyone will like my sharing. If you have a better answer to this question, please share it and leave a comment to discuss this topic together.

I am here at the end. I wish you all to work happily and live happily every day, live healthily every day, have a happy family and everything, make a fortune every year, and have a prosperous business. Thank you!

As bank housing loans continue to tighten, many people are focusing on credit cards and want to pay for their houses through the "curve" of credit cards. Purchasing a house with a credit card is the same as ordinary consumption in the same form and method. There is no need to make an appointment in advance or activate related services. As long as the user's credit limit is sufficient, no matter whether the down payment or the full amount is used, it is acceptable. Compared with credit card overdraft, credit card installment payment is more cost-effective. Credit card overdrafts not only require a handling fee ranging from 1 to 2, but also require an interest of 0.05%. In comparison, installment payment is more economical. Credit card house purchase does provide convenience for users who cannot apply for a loan, but it still has many shortcomings compared with loans in some aspects.

1. Low limit

Compared with loans, the biggest drawback of credit card house purchase is that the limit is not strong. The maximum credit limit for gold and ordinary cards is generally within 50,000 yuan, but not every cardholder can obtain such a high limit as 50,000 yuan. Generally, the credit limit for ordinary users is around 10,000 to 30,000 yuan. House prices are generally calculated in “millions”, and even just paying the down payment requires dozens of credit cards.

2. High fees

Although credit card installment does not have the trouble of interest, the cardholder needs to pay a handling fee to the bank. Compared with the loan interest rate, the proportion of the installment handling fee The higher it is, the greater the repayment pressure that cardholders will have to bear. Therefore, it is best for home buyers who are qualified to apply for a loan to avoid choosing a credit card to buy a house. In addition, although the credit card installment business solves an urgent need for "housing slaves", the interest rate is much higher than that of ordinary bank loans. Calculated based on the installment payment of 150,000 yuan, divided into 12 installments, the total handling fee in one year is 10,500 yuan, which is equivalent to an annual interest rate of about 7. The current benchmark interest rate for a one-year loan is about 4.9. In this way, the cost of purchasing a house will be It is much higher, so not everyone is suitable to buy a house with a credit card.

3. No points

Although some banks support credit card installment purchases, almost all banks stipulate that there are no points for the purchase when users use credit cards to purchase houses. Even though the depreciation of points has become a mainstream trend in the market, for those who use credit cards to buy houses, hundreds of thousands of points are not low in value.

Special reminder:

We suggest that if there is a shortage of funds for home purchase, it is not a good idea to use credit cards to make up for it. The first choice is to ask relatives and friends for help. If that doesn't work, It is best to get a loan from a bank. "Buying a house with a credit card" is a last resort.

In the context of continued real estate control, if home buyers use credit cards to purchase houses, some commercial banks no longer accept the installment payment business for this type of consumption. The credit card customer service of banks such as Industrial and Commercial Bank of China, China Construction Bank, China CITIC Bank, and Hua Xia Bank clearly stated that as long as the POS consumption terminal displays the purchase of a house or a parking space, payment by credit card in the field of bulk commodity wholesale cannot be applied for installment payment. At the same time, the China Banking Regulatory Commission also requires strengthening the control of real estate loan risks, conscientiously implementing real estate control policies, implementing differentiated mortgage requirements, and strengthening list-based management and stress testing. If a user uses a credit card to "purchase a house" to pay the down payment, the consumer credit function of the credit card will undoubtedly be transformed into an inflow of funds into the real estate field, with immeasurable risks, and the current regulatory authorities are strictly controlling various risks in the real estate field.

It is basically not feasible to buy a house with a credit card. After the bank system recognizes that the merchant you are swiping your card from is a real estate merchant, it will not allow you to swipe your card successfully. Unless you cash out on other POS machines, the cost will increase a lot. The longest interest-free period for a credit card is 50 days. For a house worth 1 million, you need to pay a down payment of 300,000. If your credit card limit is less than 1 million, it is best not to spend the 300,000, otherwise the repayment pressure will be great.

If the funds to buy a house can be available in the short term, it is feasible: use a credit card to purchase and enjoy interest-free for a certain period, and use it to wait for the funds to be available or use your own funds for short-term financial management to obtain certain returns.

It is not feasible if the funds cannot be provided in the short term: because the interest-free period of a credit card is short, it is close to two months at most, and there is huge pressure to repay it in one go. If you make a credit card installment, you will face a certain proportion of installment fees and interest. (Usually higher than normal mortgage interest), and the installment period is short, usually up to three years, and the repayment pressure in each installment is high.

Now the state is focusing on controlling the flow of credit card funds into the real estate industry. Generally, credit card swiping has been restricted. You can still spend 10,000-20,000 yuan, but you cannot pay a down payment. Later, the lending bank will also check the credit report. , banks with credit card debts will also require you to repay them before they can grant a loan!

It’s not possible to buy a house with a credit card. Because you paid the down payment with a credit card first. In the next month, you will need to pay off the mortgage and credit cards. If your salary or savings are not enough to pay these two amounts. You may choose to use credit card installments and then cash out the money in the credit card. This will lead to a vicious cycle, resulting in more and more money owed to the credit card and more and more interest paid. The pressure will also increase. You may end up losing both money and house. The correct use of credit cards should be to relieve emergencies rather than to save the poor. If you can't control your desire for money, you will fall into the trap of credit card, borrow - installment - repay - borrow again - installment - repay again. Thus paying more money

This is the end of the introduction about why credit cards cannot buy a house and whether you can buy a house with a credit card. Did you find the information you need?