When I didn’t have a bank card before, I fell in love with a product in the mall, but gave up the purchase because I didn’t have enough cash or asked relatives and friends to borrow money to buy it. In today's society, credit cards have appeared. The existence of credit cards makes it easy to own today's goods and spend tomorrow's money. Kabaobao found that many people have misunderstandings about credit cards. It does not mean that poor people do not need to apply for credit cards if they have no money. This is a misunderstanding caused by not fully understanding the role of credit cards. So what are the benefits of credit cards?

Kabaobao summarized 5 major points:

1. You can spend first and then repay.

The biggest advantage of a credit card is that if you don’t have enough cash in your pocket or have no deposits in your account, you can use a loan to overdraft and pre-borrow funds from the bank for shopping and consumption. The bank will also have an interest-free period of 20 to 50 days. As long as the cardholder repays the loan in full within the interest-free period, no other interest will be paid.

Two. Maintaining good credit is conducive to loans

An individual's income level, financial resources, credit overdrafts and personal loans, including lawsuits and penalties when bad credit occurs, etc., will be recorded on the individual's credit record . In today's society economic wealth is also reflected in a good credit record. For those who have not borrowed money from the bank, the bank will automatically consider you to be a person without credit. Card Baby hopes that everyone will establish a personal credit record as soon as possible. You can apply for a credit card, use this card for long-term consumption and timely repayment, and maintain good personal credit discipline.

Three. Apply for high-value credit cards and enjoy privileges

For example, for ordinary cards; free insurance, free movie viewing, points exchange for gifts, travel draws, free car washes, etc. Platinum card; high-value insurance, airport VIP service, foreign visa exemption, free physical examination, free golf experience, etc. You can enjoy all kinds of benefits. And many banks have cooperative relationships with shopping malls, supermarkets, etc., allowing cardholders to enjoy many discounts.

Four. Understand consumption status through bills

Usually after we use credit cards to make purchases, there will be regular electronic bills or paper bills sent to our homes by the bank. Cardholders can understand their own consumption through the bills. Monthly shopping and consumption expenditures can be used to analyze personal consumption tendencies and manage your own income and expenditure rationally.

Five. Holding a card is a sign of identity

Not everyone can apply for many types of credit cards. It is necessary to provide proof of financial resources and identity to the bank, and the proof must be convincing to the bank. There are also some credit cards that can only be applied for by invitation from the bank, and banks will not accept personal applications. Therefore, Kabaobao believes that a credit card is a second ID card that can show personal identity and credit.

The above five major points mentioned by Ka Baobao are all reasons for not wanting to apply for a credit card~ I believe that many friends will apply for a credit card with many benefits after reading Ka Baobao’s words~ In the future If you have the opportunity, Kabaobao will tell you how to apply for a credit card, which channel is better to apply for, how to apply for a higher limit, and how to improve your application qualifications. Kabaobao will teach you if you have the opportunity.