Many friends have multiple credit cards in their hands, so they can't repay on time for fear that the overdue will affect their credit information. They can only use credit cards to repay each other, take out the money from this credit card to repay another credit card, and then pay back the money from the other card to this card. Is it illegal for credit cards to reverse each other like this? What will be the consequences?

1. There are generally two ways for credit cards to reverse each other. One is to use the point-of-sale terminal equipment (POS machine) and other methods to brush out the money of credit cards through false transactions, which is also commonly known as cashing out;

one is to withdraw the money from the credit card through cash withdrawal.

The former is obviously illegal, because the purpose of issuing credit cards by banks is to promote consumption. Although it also supports the use of cash, it is required that cash must be withdrawn through ATM machines or counters. It is absolutely not supported to withdraw the funds in the credit limit of the card in cash by this or other means.

2. What will happen if credit cards are reversed?

No matter how to reverse the card, it is a practice of robbing Peter to pay Paul, which can't solve the problem from the root. There is a handling fee every month, and the money owed to the credit card is still so much.

if the card is reversed by cash withdrawal, more and more money will be owed, and besides the principal, interest and handling fee will be generated. Credit card cashing is easy to be risk-controlled by banks. After all, banks have their own anti-fraud departments and risk identification systems, which can identify risky transactions through big data+manual verification. If it is recognized by the bank that it is cashing out, it will be lighter to reduce the amount and seal the card, and then pursue legal responsibility.

in a word, no matter whether it is illegal to reverse the credit card, there are certain risks. It is a long-term solution to avoid this practice and use the card in compliance!