The main purpose of the credit card:
1, direct consumption function. This is the most basic function of a credit card. Cardholders can use cards instead of cash in special merchants marked with Great Wall Credit Card of China Bank, including shops, hotels, restaurants, airports, hospitals and other places.
2. Savings deposit function. The bank will calculate the deposits and reserves in the credit card account according to the stipulated interest rate and regard them as savings deposits.
3. Transfer and settlement functions. With this card, the cardholder can transfer payment from the self-owned account of the banking institution in China.
4.ATM withdrawal function. Cardholders can withdraw cash at China Bank outlets and ATMs in the province.
5. Overdraft function. The cardholder can withdraw and pay the overdraft within the limit allowed by the issuing bank, and charge overdraft interest at the same time.
Credit card consumption is a non-cash transaction payment method, and there is no need to pay cash when spending, and repayment is made on the billing day.
Credit cards are divided into credit cards and quasi-credit cards. Credit card refers to a credit card in which the cardholder has a certain credit limit and can spend first and then repay. Quasi-credit card refers to a quasi-credit card in which the cardholder deposits a certain amount of reserve fund according to the regulations, and when the balance of the reserve fund account is insufficient to pay, it can be overdrawn within the prescribed credit limit. Credit cards generally refer to credit cards.
From the date of 202 1 1 1, the credit card overdraft interest rate is determined by the card issuer and the cardholder through independent negotiation, and the upper and lower limit management of the credit card overdraft interest rate is cancelled (the original upper limit is 0.7 times of the daily interest rate).
Consequences of overdue credit cards
1. The liquidated damages are generally the minimum repayment amount, that is, 5% of the unpaid part.
2, the interest rate is high, and it is rolling interest. When there are many debts, the interest rate is scary.
3. Overdue will tarnish the credit record, resulting in the inability to handle financial needs such as buying a house and lending in the next two years.
4. The overdue payment is more than 3 months, and the amount exceeds 1 000 yuan, and the bank has repeatedly failed to make dunning. At that time, you will not only pay back the money, but also bear criminal responsibility.
If you don't intend to continue using your credit card, you must cancel your account. If the account is not closed, the bank will charge an annual fee for the credit card.
If the card is not overdrawn, you can apply for account cancellation at any time.
If the card has not expired, you need to apply first, and then go to the bank to cancel the account after a certain period of time; If the card has expired and the account balance is zero, you can directly cancel the account at the designated bank outlet. When closing the account, you should bring your valid ID card and the original card. If it's not convenient for me to close the account, someone else can help you. The agent must hold the power of attorney written by the principal (himself) and bring the original valid identity certificate to handle the account cancellation business.
If your card has not expired when you cancel your credit card account, some banks stipulate that you need to go to the designated outlets to receive the card, and then go through the formal account cancellation procedures after a certain period of time (up to 30 days).
This is mainly because if the cardholder has done a manual card pressing transaction before closing the account, the cardholder will have closed the account before the merchant submits the card pressing form to the bank for entry, and the bank will not be able to liquidate normally; On the other hand, if the cardholder is in consumption abroad or withdraws cash, it may take several days to settle the account. If the account is closed immediately, it will also affect the normal liquidation of the bank.