According to the "General Situation of Payment System Operation" issued by the central bank, by the end of the third quarter of 22, the number of cards issued by banks nationwide reached 8.798 billion, an increase of 1.62% from the previous month. Among them, the number of credit cards and debit-credit cards in use was 766 million, an increase of 1.29% from the previous month. If the population of China is 1.4 billion, the average Chinese has .54 credit cards and one credit card.

in addition, by the end of the third quarter of 22, the total credit granted by bank cards was 18.59 trillion yuan, up by 3.8% from the previous month, while the average credit granted by bank Kaka was 23,4 yuan, with a credit utilization rate of 41.78%.

It can be seen that the number of people using credit cards in China is huge, reaching hundreds of millions, and their overdraft frequency is also quite high. I believe that the existence of bank cards has helped many people to ease the financial pressure, and at the same time, many people have bought their favorite goods in advance.

However, overdraft by credit card is not completely stress-free, because repayment within the specified date of the bank will not generate additional interest, but if the repayment fails within the specified time, the user will have to pay liquidated damages and penalty interest. The charge standard of credit card liquidated damages is generally 5% of the unpaid part of the minimum repayment amount, and it should be paid in one lump sum. For example, the minimum repayment amount on the repayment date is 1 yuan, and finally only 5 yuan is paid, so the remaining unpaid 5 yuan will be charged a penalty of 5% from 25 yuan.

of course, the repayment interest of the credit card is the most important thing. However, the specific interest rate of interest varies from bank to bank. However, according to the previous regulations, the upper limit of the credit card interest rate is five ten thousandths of the daily interest rate, while the lower limit is .7 times of the daily interest rate.

however, it should be noted that in 221, the interest rate of credit cards "changed".

the central bank issued new regulations, and credit cards were "greatly reformed" in two aspects

On December 31, 22, the central bank issued the Notice on Promoting the Market-oriented Reform of Credit Card Overdraft Interest Rate. It is mentioned that the management of the upper and lower limits of credit card overdraft interest rate will be abolished from January 1, 221, and the credit card interest rate in the future will be negotiated independently by the card issuer and the cardholder.

In this regard, many people are worried that the central bank has cancelled the upper and lower limits of the overdraft interest rate of credit cards, which does not mean that banking institutions can "raise" the overdraft interest rate at will, so credit card holders will suffer a "big loss".

the person in charge of the central bank said that the upper and lower limits for credit cards were set to stabilize market pricing and help card issuers accumulate relevant experience and data. The cancellation this time will help promote the interest rate marketization reform and make it more flexible.

At the same time, the person in charge also said that it will not happen that some institutions intentionally "raise" the overdraft interest rate. On the other hand, the central bank also stipulates that card issuers must fully disclose the latest overdraft interest rate of credit cards through official website and other channels, so that cardholders can know the specific overdraft interest charges.

moreover, in the credit card agreement, the overdraft interest rate and interest-bearing method of the credit card should also be displayed in an obvious way. if the cardholder does not support the interest rate and interest-bearing method of the card issuer, he can completely switch to a card issuer with a lower interest rate. Therefore, in the future, various card issuers may cut interest rates and "compete" for users. Therefore, the cancellation of the credit card interest rate by the central bank is actually a good thing for users.

Some experts in the financial industry said that if the credit card interest rate is really drastically lowered, many online loan users may also join the credit card army. After all, the interest rate of credit cards is much lower than that of Internet credit consumer products, which can save a lot of money.

It must be said that the cancellation of the upper and lower limit interval management of credit card overdraft interest rate by the central bank may be a good thing for the majority of cardholders. If the overdraft interest rate really drops, it will reduce the extra economic burden for many cardholders. Moreover, this is also conducive to improving the overall competitiveness of banks and promoting the development of industry norms.