Both parties are cooperating with China CITIC Bank. Alipay said the credit card will appear in Alipay wallet next week; Tencent said it is in internal testing and will be launched soon. Online Credit Cards

The credit card business has been burned by the war between Alibaba and Tencent. Yesterday, Alipay and Tencent both announced the same business. Both parties have teamed up with China CITIC Bank to create the country's first online credit card. Alipay said it will be the first to appear in Alipay wallet next week, and Tencent is in internal testing and will launch it soon.

Instant application and instant approval

The first trial credit card issuance scale of Alipay and WeChat is 1 million.

In terms of credit limit, WeChat credit card limits are divided into three levels: 50 yuan, 200 yuan and 1,000-5,000 yuan. The credit limit for Alipay online credit cards starts at 200 yuan, and the upper limit is determined based on personal online credit, generally up to 5,000. If the consumption record and credit record are particularly good, the credit limit can be gradually increased. Alipay said that the specific credit limit approval is determined based on online consumption records, such as paying credit cards through Alipay. The more frequently you use Alipay, the more credit data you have, making it easier to obtain a credit limit.

In addition, both Alipay and WeChat credit cards take advantage of the Internet to change the cumbersome process of submitting materials and waiting for approval for traditional credit cards. Alipay enables instant application and instant approval. WeChat credit card can complete credit card approval in 1 minute and is available immediately.

The reporter noticed that WeChat Credit Card’s partners also include Zhongan Insurance. This is the first time that a credit card has introduced an insurance model to reduce customer credit risks and bank asset risks. Alipay stated that although no insurance company has been introduced, as long as the credit card is paid through Alipay channels, if a loss occurs, full compensation can be paid according to Alipay's compensation standards.

The scope of use is almost the same

Where online credit cards can be used directly affects the issuance of credit cards. Judging from the current public information, Alipay can only pay online, while Tencent can only pay online. It works both online and offline.

According to Tencent, WeChat credit cards can be used to pay with WeChat on mobile phones, and can also be scanned to pay offline at special merchants designated by CITIC and WeChat. However, Alipay online credit cards are used for all online purchases, and there is no information on offline use.

Hua Ming, an analyst at Yinsu.com, believes that in the field of online shopping, no one has yet been able to shake Taobao's dominance, and the online application of Alipay's online credit cards will undoubtedly be wider.

He said that in terms of offline, although Alipay has not yet revealed that it will install merchant QR code payment terminals, the partners of Alipay and WeChat are CITIC Bank, and the first batch of WeChat CITIC Bank will lay out QR code payment terminals for offline merchants and bear the laying costs. Once these terminals are laid out, the bank will not only open them to WeChat. Alipay credit cards can also make use of these offline resources. In terms of scope of use, Alipay Probably better.

Rumors of cooperation have caused CITIC’s stock price to skyrocket

This time, both Alipay and WeChat Online Credit Card’s partner banks are CITIC Bank. In February, CITIC Bank’s stock price soared due to rumors of cooperation with Alibaba and Tencent. up 40%.

On February 11, CITIC Bank reached its daily limit. In the next two days, CITIC Bank rose again by 8.13% and 9.51%, with the increase reaching as high as 35.99% in three days. At that time, there were rumors in the market that China CITIC Bank was cooperating with Alibaba. On February 14, China CITIC Bank issued an announcement denying that it had any equity cooperation with Alibaba and that it was only a daily business cooperation relationship.

Internet channels can also save banks’ own card issuance costs significantly. According to calculations by bankers, under the traditional model, the cost of a single credit card issued by a bank is about 80-100 yuan. If CITIC can use this channel to issue 1 million online credit cards, it can save nearly 100 million yuan in cost alone.

Xu Minmin, a banking analyst at Essence Securities, said that for banks, online credit cards save costs and make it economically feasible for banks to cover low-limit customers. With the advantage of the Internet, the rapid increase in the number of online credit card issuance is not a problem.

In the future, virtual credit cards represented by online credit cards and JD Baitiao may cause changes in the credit card field.