The use of credit cards is not only for swiping purchases, but also for various value-added services such as free insurance and travel services. If you are a credit card user, it is necessary to understand the credit cards of different banks and understand the various uses of credit cards in order to make better use of the credit cards.
3.1 Save living expenses
The cost-saving function of credit cards is obvious. For example, if you spend 50,000 yuan and enjoy a 50-day interest-free period, if calculated based on the bank loan interest rate of 5.4%, the cardholder can save nearly 400 yuan in interest in just one interest-free period. If you use your card for long-term consumption, the interest saved will be not a small amount. Moreover, through the bills of each period, you can clearly understand where the living expenses this month are used and whether there is any excess, so that reasonable adjustments can be made next month.
Use credit cards to save money
Banks often organize gift-giving activities with credit cards for purchases, which can also save cardholders a lot of money. Especially during major holidays, many banks will join forces with some large shopping malls and supermarkets to hold activities. At this time, you can receive gifts of varying values ??by swiping your card. For example, if the cardholder happens to purchase some goods worth about 1,000 yuan at this time, Then the value of the gifts that cardholders will receive will also be around 100 yuan.
Borrowing money is no longer a worry
What should the user do if the user is in a hurry to use money, but the time deposit will not mature until two weeks later? The first thought of most people is to borrow money from acquaintances around them to see if it can solve their urgent needs. If they cannot borrow money, they can only partially withdraw the time deposit certificate. So why not borrow from the bank? The most important function of a credit card product is the overdraft function. It determines a credit limit based on the applicant's credit situation, and the applicant can make overdraft purchases or cash withdrawals within this limit. This function can handle general emergencies without losing the interest on time deposit certificates.
Through good card usage behavior, the credit image and credit score of the cardholder can be improved, and at the same time, the cardholder's loan limit in the bank can be increased.
When the cardholder does not have a bank loan record, having a good card usage record will be a good way to obtain a bank loan and maximize the loan amount.
Three magic weapons to save money
In fact, credit card swiping is also a knowledge. Making good use of this knowledge can not only save users money, but also improve their financial planning. Do users know what card to use when spending money? Below are three money-saving tips learned from several credit card experts to see how they make reasonable use of the cards in their hands.
1. Pay by credit card in installments
2. Swipe your card to preserve cash flow
3. Stay tuned for the latest offers
Recharge phone bills to enjoy discounts
Currently, online banking is in full swing, and it is also very convenient to recharge phone bills online. For example, you can enjoy a 50% discount by recharging your phone bill on the QQ client. You can also get rebates when paying online with a credit card (will be explained in detail in Chapter 10).
Points can be exchanged for free gifts
Points earned from credit card purchases can be redeemed directly at designated stores. Cardholders use their credit cards to make purchases at special shopping malls designated by the card-issuing bank. As long as they tell the cashier to use points when swiping the card, they can use the points in the credit card to convert cash and get a discount on the purchase price. The ratio of points converted into cash varies. For example, the ratio of Industrial Bank's credit card points converted into cash is 400 points = RMB 1 yuan. When swiping a card for consumption, if the credit card points are insufficient to offset the consumption amount, the insufficient amount will be deducted from the cardholder's credit card as a normal swiping card consumption.
3.2 Improve credit image
The use of credit cards as credit vouchers has gradually emerged. Having a credit card can also reflect that the cardholder has a certain level of credit. The essence of a credit card is a credit purchase and sale voucher, and its operating mode reflects the support of bank credit or commercial credit behind it.
Hold a credit card from a well-known brand
Different banks have different stringency in credit review when applying for a credit card. Generally speaking, large commercial banks have stricter credit review procedures.
At the same time, banks whose credit card business has developed well and has reached a certain level will have stricter credit review. If you want to use credit cards to improve your social credit image, you should choose to hold credit cards from well-known brands that have strict review conditions and are widely known.
Hold a credit card with a high credit limit
The credit limit of a credit card depends on the creditworthiness of the cardholder. The credit limits of platinum cards and gold cards are higher than those of ordinary credit cards. Therefore, gold cards and platinum cards are symbols of high creditworthiness.
Hold multiple bank credit cards
The value-added services of different credit cards are different, and holding multiple credit cards can meet different needs (for the different functions of various cards, see Chapter Chapters 4 and 5 will describe this in detail); on the other hand, using multiple credit cards together allows you to stagger the billing dates and enjoy the longest possible interest-free period, making capital operations more flexible.
Hold a co-branded bank credit card
The intensifying market competition has prompted many card-issuing banks to be more committed to increasing the added value of their products and providing distinctive new products, and co-branded cards emerged as the times require. . Generally speaking, a co-branded card is a credit card jointly issued by a commercial bank and another market entity (for-profit institution) or social organization. Usually, customers who hold co-branded cards can enjoy additional discounts when spending at co-branded partner institutions.
3.3 Buying large items with a credit card saves money
With the improvement of material standards and the pursuit of well-off life, many people are beginning to figure out how to realize their car dreams. Buying a car is not difficult, but it requires sufficient funds. Those who do not have enough funds or those who have funds but still want to get a loan to buy a car will first turn their attention to the bank and apply for a car consumer loan from the bank. But there is another group of people who either cannot meet the conditions for consumer loans for cars, or although they can meet the conditions, they prefer to use credit cards to buy cars. Therefore, using a credit card to buy a car has become an increasingly fashionable credit behavior.
One-time credit card swiping to buy home appliances
With the improvement of living standards, people have higher and higher requirements for life. High-end home appliances and electronic products have become fashionable items for people. necessity.
Credit card installment payment to buy a car
Credit card installment payment business means that the cardholder applies for a credit card from the bank and purchases it from a dealer designated by the bank after agreeing to pay the down payment. After the car purchase is approved by the bank, the approved amount will be divided into several installments, and the cardholder will repay the car monthly within the agreed period and pay a certain handling fee. At present, most of the credit card car purchase installment services launched by banks are "zero interest, low handling fees", which means that generally no interest is charged, but a one-time charge (i.e. the first month's bill) ranging from 3% to 10% is required. There is a handling fee (the handling fee varies depending on the number of installments), and some banks charge monthly handling fees. However, there are currently some card-issuing banks and automobile companies that cooperate to promote car models and even waive handling fees. Payment terms generally include 12, 18, 24, etc.
Credit card cash installment payment to buy a car
The so-called cash card cash installment business means that after the cardholder applies to the bank, the bank transfers a certain amount of money to the cardholder. The non-credit card account opened in the bank is at the discretion of the customer, and the customer will repay the amount in installments according to the selected period. Cash installments are mortgage-free, guarantee-free, and interest-free, as long as a certain handling fee is paid in one go (for example, a 4% or 7% handling fee). After the cardholder applies, the bank will determine a certain installment amount within a few working days based on each cardholder's credit, consumption, occupation, contribution to the bank, etc. For example, for RMB 20,000 to RMB 100,000, most banks offer credit card cash installment services in 6 and 12 installments.
3.4 Get free or cheap insurance
Providing certain rewards or value-added services to credit card users is a commonly used method in credit card marketing and product design, which can greatly improve credit card usage. Product appeal to consumers, promote customer relationships, and strengthen customer loyalty.
Get free insurance
Wouldn’t it be a double benefit to get free insurance when you spend money with your card?
So, which bank’s credit card offers the best insurance for users? Next, we compare the insurance products provided by credit cards by combining the credit cards of 5 large banks and 6 joint-stock banks such as Shanghai Pudong Development Bank, Shenzhen Development Bank, China Everbright, China Merchants, Ping An, and Guangfa. Users can choose according to their own needs.
Get premium discounts
Compared with other insurance products, credit card insurance offers discounts on premiums. Especially for regular insurance products, monthly premiums will be cheaper than other payment channels for similar products. Moreover, the types of insurance offered by credit card insurance are mostly insurance product combinations, so the premiums will be more cost-effective. For example, the Prudential Life "Healthy Life" portfolio insurance attached to the CITIC Future Insurance Financial Credit Card is a combination of exclusive life insurance and additional critical illness insurance products. It is suitable for people aged 10 to 50 to insure, and provides death protection and critical illness protection. , maturity insurance and other protection benefits, the monthly premium is only 280 yuan, which is automatically debited by CITIC Prudential Insurance Financial Credit Card, fully meeting customers' needs for long-term critical illness protection, savings and other comprehensive insurance and financial management needs.
3.5 Get cheap and good travel
For some travel enthusiasts, it is necessary to hold multiple credit cards from different banks, because credit cards can allow cardholders to enjoy Many banks organize tours with cheap prices, discounts on travel and accommodation, and extremely cost-effective travel.
Credit card travel is more affordable
Nowadays, there are countless airline co-branded cards. Choosing a credit card that is suitable for tourists can save a lot of money on the trip and also make them feel more considerate. services.
Exclusive discounts throughout the trip
Swipe your card to stay at the hotel to get surprises
3.6 Collection value of credit cards
With the rapid development of domestic credit card business , the development of credit card collection is also extremely rapid. Credit card collection has become a dark horse among many collectibles. More and more enthusiasts are joining the collection of credit cards, and the collection value of credit cards has become increasingly prominent.
Credit cards are both supplies and collections
When a user applies for a credit card, it can be used as a supply or as a collection, but he must pay attention to keeping the card password in a timely manner or Cancel the card account, and be strictly prohibited from exchanging or selling it with others during the validity period. For credit cards that do not require you to swipe the card several times before canceling it, it is best to swipe the card enough times as soon as possible after you get the card before canceling the card.
Ways to collect credit cards: You can apply for a card yourself or ask relatives and friends; you can ask friends or relatives for expired cards; you can buy them in the market; you can also mail-order from private card magazines or obtain them from online auctions.
Features of the collected credit cards: early issuance; small quantity in existence; relatively important position in the history of bank cards; many suitors.
The collection value of credit cards with special themes and special shapes
The collection value of some credit cards with special themes or special shapes is very high. During the Beijing Olympic Games held in 2008, Bank of China, as the only banking partner of the Beijing Olympic Games, issued three Olympic-themed credit cards, namely BOC VISA Olympic Card, Lenovo Olympic Card and Air China Zhiyin BOC VISA Olympic Card.
3.7 Additional benefits involve various aspects
Credit cards cover more and more aspects, and there are more and more value-added services. On the other hand, it also shows that banks have the financial strength to provide cardholders with People provide thoughtful and high-quality service. Because creating a good credit card service environment is a very costly task. Banks that have the means to provide more value-added services will have stronger overall strength.
Eight aspects of credit cards
The added value of credit cards involves all aspects of life such as clothing, food, housing, transportation, eating, drinking, entertainment, and entertainment. It is quite extensive. Get relevant deals on every aspect involved.
3.8 Other value-added services of credit cards
With the fierce competition in the credit card market, banks issue credit cards in addition to the basic functions of credit cards such as shopping and consumption, overdraft withdrawals, transfer settlements, and fee payment. , it also has some additional services such as overseas safety insurance, gas discounts, free car washes and other additional services. These additional value-added services are the added value of the credit card.