Overdraft consumption means spending money later.

This phenomenon usually occurs in developed countries, where people have high credit, and banks use credit to issue loans to customers. Credit card business is essentially a loan. When customers get a bank credit card, they can spend it first, and the principal will be returned within the specified time. Banks charge customers a handling fee through this financial service.

As a bank, China Bank's credit card business is a sure thing. For example, a bank issues 20 million credit cards. Let's take the ATM as an example. The usual handling fee for 65,438+0 withdrawals per credit card is RMB 2.00, and each credit card is traded once. Then the handling fee earned by this bank for 20 million cards is 40 million RMB, which can be calculated in reverse.

The actuarial calculation of banks in this kind of business also uses the law of large numbers. Even if there are 65,438+00% bad debts or bad debts, banks will not lose money, and overdue customers who violate the rules will have to pay late fees, which is much higher than the handling fee.

At present, banks are increasingly lax in reviewing the issuance of credit cards, and have issued credit cards to many people who are unable to repay their loans.

This practice of banks has no responsibility in itself, which facilitates cardholders from the whole society and plays a role in stimulating consumption and prospering the market economy. On the other hand, it has prompted cardholders to spend too much, resulting in malicious overdraft consumption. Great changes have taken place in consumption habits, and bad consumption habits have led to social problems. Some people have long developed the habit of excessive consumption, spending more than income, and simply unable to repay credit card debts. This phenomenon is getting more and more serious.

Let me give you an example. Finance in Britain is very developed. British banks issue credit cards at will, with little review. They only need to apply for a credit line online for a few minutes, and they can receive the account. The same person is overdue No matter what the overdue credit line is, they will continue to apply for the credit line and continue to receive it. In other words, after spending here, they can't apply, and the account will arrive quickly. The practice of British banks is that some people chase money and others lend money. For this matter, it is extremely irresponsible for an authoritative organization in Britain to severely criticize the Bank of England.

Through the above cases, the practice of our national bank is almost close to that of the British bank.

Zazie Hoko

Before the popularization of credit in China, underground banks prevailed, especially in the southern coastal areas.

Some underground banks have surprisingly high interest rates, which are used to lend usury. Before liberation, these underground money houses were all run by bullies, but they were still popular after liberation. The government has produced these underground money houses many times, but because the transactions are all conducted privately, the hacked borrowers have never reported the victims wisely. Until the popularity of credit cards in China, underground money houses gradually disappeared, because it is very convenient for banks to handle credit cards, as long as they are used normally, there is no overdue and the handling fee is not much.