If you fail to repay your credit card on time, you will incur penalty fees, cause legal disputes, and leave a stain on your credit in the national credit reporting system.

1. After a credit card default with high penalty interest, the penalty fees usually involved are recurring interest fees and late payment fees. Revolving credit is essentially a small, unsecured loan that accrues interest on a daily basis. If the full amount is not repaid on the final payment date, revolving credit interest will accrue on the next statement, and it will start from the date the consumption is recorded. Calculate interest.

2. Causing legal disputes. Violent credit card collection has become a hot topic. Many bank credit card centers outsource credit card repayment collection to some so-called "debt collection companies." Customers are in great trouble.

3. In 2006, the Central Bank established a national unified basic database of corporate and personal credit information. As long as you apply for a card or take out a loan at a bank, your own "" will be automatically generated in the system. "Credit Report", the "stains" in this report cannot be ignored. It will affect applications for various loans, insurance, job hunting, studying abroad, etc. Bad records are generally retained abroad for 7 years.

Extended information:

Credit card repayment method:

1. Bind debit card for automatic repayment

If you are under financial pressure If you are small or have a fixed salary card, you can directly bind your credit card to your debit card for automatic repayment. The bank will automatically deduct the amount when it's time to repay. There is no need to remember the repayment time at any time, and no manual operations are required. You can directly transfer the repayment to avoid overdue payments.

2. Online bank transfer.

If you often make self-service arrangements for the time and amount of repayment, you can use online banking to transfer repayments online. It is best to open a debit card and online banking from the issuing bank while using a credit card. This way, transfer repayment is more convenient and there is no handling fee.

3. Third-party repayment channels.

If you do not have a debit card and a credit card from the same bank, you may need to pay a transfer fee to the debit card issuer for online transfer repayment, and if you use a third party such as Tenpay or Alipay Online repayment channels often require no handling fees for inter-bank transfers and repayments, which is very convenient and affordable.

Reference: Baidu Encyclopedia-Credit Card Repayment