Credit card transaction password refers to the password you set yourself in telephone banking after the new card is activated. It is the password you use when you withdraw cash, inquire, transfer money at ATM or spend money at online banking or telephone banking. You can choose whether or not to use the transaction password to make consumption in China UnionPay merchant POS. If you choose "Confirm transaction with password", you must set the transaction password after activation before you can use this password for credit card consumption. There is no need to use the transaction password for POS consumption or card-free payment (only for merchants designated by Bank of Communications) at VISA or MasterCard merchants.