Calculate how much it will cost to renovate your home

Banks now promote a lot of credit cards, and it is also common for young people to use credit cards. Although credit cards are used to spend future money, they can solve immediate money needs, so they are very popular. So when you are tight and have no money to repay the mortgage, can you use a credit card to repay the mortgage? I believe those friends who use credit cards must not be very clear about it. The editor will take you to understand it below.

1. Can credit cards be used to repay mortgages

1. Credit cards cannot be used as a repayment account to repay mortgages, that is, credit cards cannot be used for consumption. Repayments are made using a line of credit. You cannot enjoy the fifty-day interest-free period of your credit card.

2. Withdraw cash from a credit card to repay a mortgage. Once you use the cash withdrawal service of a credit card, you will fall into the trap of the bank. There is a handling fee for cash withdrawals. The handling fees vary from bank to bank, usually between 0.5 and 1. In addition to the handling fee, the person who swipes the card must also pay interest, which is usually calculated as a daily interest rate of 5 and an annual interest rate of 18. In this way, there is another loan in addition to the housing loan.

3. Using a credit card to cash out a mortgage is just taking advantage of a loophole in the law. According to the law, malicious overdraft of more than 5,000 yuan can lead to a maximum sentence of three years in prison.

2. What you need to pay attention to when repaying a mortgage

1. Equal principal and interest are suitable for people with relatively stable income. In most cases, mortgages are equal in principal and interest. Equal principal and interest means that the money you repay every month is fixed. Although the overall interest will increase, the monthly repayment amount is fixed, which makes it easier for the borrower to arrange income and expenditure.

2. Equal principal amount is suitable for home buyers who have ample cash on hand. Because the principal of equal amounts is the same during the mortgage loan process, but the interest changes from more to less, the monthly repayment amount will decrease with time, so for some people who have more money, choose equal amounts. The principal and interest are relatively small, which makes it more cost-effective.

3. It is not recommended to repay equal principal amounts in advance. Under the repayment method of equal principal amounts, the borrower's monthly interest will decrease, and the monthly payment for the entire month will be lower than the previous month.

The above is the specific content of whether you can use credit cards to repay your mortgage. I hope it will be helpful to you. Interested friends can pay more attention to Qijia.com to learn more.

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