What are the risks of credit cards? We must prevent them from being stolen

In normal times, many people will use credit cards to make payments to achieve the purpose of consumption in advance. However, they have to face certain problems when using credit cards. Risks, so what are the risks of credit cards? Have you noticed it in your daily life? The following will give you a detailed introduction so that you can use your credit card correctly in daily life.

When using credit cards, cardholders must avoid fraud, which is also the biggest problem faced by credit cards. Generally, credit card theft is caused by the leakage of credit card information. Therefore, users must not disclose transaction passwords when using credit cards on a daily basis, and at the same time protect the card information.

Credit card theft usually occurs abroad. It is believed that when using a credit card for consumption abroad, you do not need to enter the payment password. You only need to know the credit card, security code and expiration date to complete the transaction. In fact, after users apply for a credit card, it is best to erase the security code on the back of the card to avoid leakage.

The risk of using credit cards also comes from individuals. Many people maliciously overdraft when using credit cards, causing them to be unable to repay on time. If the credit card is repaid overdue, penalty interest will be incurred and the bank will upload it to the levy Credit center, if personal credit becomes bad, it will affect the processing of various loans.

Cardholders must not borrow money from others when using their credit cards. If the loaned credit card is overdrawn and the other party does not repay the debt, the cardholder will be required to pay back the debt. If the individual does not pay back the debt, If the debt is owed, penalty interest will accrue, and the bank will collect the debt, which will affect the normal life of the individual.

Users must measure their repayment ability when using credit cards for daily consumption. If the personal repayment ability is insufficient, they should use credit cards cautiously for consumption. Generally, the amount of credit card consumption should not exceed 50% of your monthly income, so that you can repay it on time after use and avoid overdue payments.

What are the risks of applying for a credit card?

The biggest risk in applying for a credit card is the risk of borrowing. In fact, there is also a risk to the security of personal funds.

Now is a credit society. Many people have their own credit cards, and some people even have multiple credit cards. Credit cards can indeed facilitate our daily lives and provide stable cash flow when we are in short supply. But for most users, many users do not have good habits of using credit cards correctly. Some people even frequently overdraw their credit cards, or even maliciously overdue their credit cards.

1. The first risk is lending risk.

This loan risk mainly refers to the overdraft situation of credit cards. For some young people, some young people’s consumption habits are too advanced and they often overdraft their credit cards. The income of young people is generally not that high. Some people cannot repay the loan after borrowing a credit card. At this time, they will be overdue. Overdue credit card is a very serious credit default, which will not only affect a person's personal credit score, but in serious cases, it may even make a person bear legal liability.

2. The second risk is the risk of personal financial security.

Because now is the Internet era, many people use online payment to purchase goods. Some people may leak their personal information online. Once this happens, the person's credit card is no longer safe. At this time, it is very easy to risk the security of personal funds. In general, this type of risk can be avoided proactively, and it is best for us to develop correct Internet habits.

3. Credit cards will also have many benefits.

As I said above, in addition to the risks of credit cards, credit cards can actually provide everyone with stable cash flow. Many credit cards have an interest-free period. As long as the user repays the balance during the interest-free period, you can directly interpret this period as cash flow during the window period without paying any interest.

Finally, although there are certain risks in applying for and using credit cards, I think personal operating habits will play a more important role.

What are the risks of credit card swiping? How to prevent

Nowadays, the use of credit cards has become more and more common, but the risk of credit card swiping has always existed. As a credit card user, do you know what risks there are in credit card swiping? Do you know how to protect against these risks? How to seek advantages and avoid disadvantages is what we need to learn.

A few tips to teach you how to detect large-amount credit card agency scams

Risks and preventive measures of credit card swiping

1. Risk of swiping due to leakage of personal information. There is an available credit limit in your credit card. If your card is stolen by someone else, it is difficult to get compensation from the bank. You need to provide evidence and your card type is within the scope of the bank's lost card protection service before you can get compensation. In order to prevent the card from being cloned, try not to swipe the card at irregular merchants, and try not to let the card out of your sight.

2. The password setting is simple and there is a risk of credit card theft. A simple password like six repeated digits is simply not enough to protect the security of credit card holders’ funds. Citizens should pay attention to card security. The password should not be too simple. When swiping the card for consumption, they must prevent the magnetic stripe information of the card from being stolen by criminals and used to create fake cards.

3. Bad credit records are easy to be "stained" and there is a risk of derating. If the bank determines that you are suspected of cashing out (continuous swiping of cards at the unified POS machine), or there are abnormal card usage, or overdue repayment, the bank will reduce your limit. When there are records in personal information such as malicious cashing out and providing untrue information, it will do more harm to your credit record.

4. If the credit card is not activated, the annual fee will still be charged. Banking financial institutions are not allowed to withhold any fees before the cardholder activates the card. However, in reality, due to the high cost of credit cards, some banks still charge annual fees for inactive credit cards. , if the credit card of China Construction Bank or Bank of Communications is not activated, the annual fee for the first year will be waived, but the annual fee for the following year will still be charged (how to swipe a credit card to get the bank to waive the annual fee?).

5. Installment payment hides high-interest traps, and installment payment is risky (what are the pitfalls of credit card installment payment?). If the cardholder is not tight on money, it is best not to apply for installment payment. If the cardholder is not sure when he will get the repayment funds in the future, but the time may not be very long, he can choose to pay the minimum repayment amount when he has more money. One-time repayment; if future income is stable and full repayment is temporarily impossible, then the installment payment period can be determined based on the monthly repayment ability. Generally, the shorter the period, the lower the expected annualized interest rate.

6. Risks of card suspension such as illegal cash out of credit cards. Card suspension is an upgrade from a credit limit reduction. Either the bank is worried about the safety of your card and temporarily suspends the card, or the card is suspended because you owe too much on your credit card. Illegal cash out may solve the cardholder's temporary cash needs, but malicious defaults will also affect personal credit records.

7. Risk. Once your overdue amount and time exceed the range that the bank can bear, the bank will force you to repay. Once caught, it will be considered an illegal act, and in addition to repayment, a bad record will be left (the impact of late repayment).

8. Risks of black intermediaries handling credit cards. Many intermediaries on the market that handle large-value credit cards are scams and should not be trusted easily. The so-called credit card agency is to obtain personal information. Once they get a credit card, they start illegally cashing out or overdrafting wildly. (Large credit card application trap: Can you borrow 100,000 yuan with a thousand-yuan card?)

9. There is a risk that interest will be deducted in full if some outstanding debts are overdue. After setting the self-service minimum repayment, once you have sufficient funds, don't forget to go to an ATM or bank branch to repay the remaining balance by yourself to reduce the loss of penalty interest.

To summarize for you: On the one hand, the risks of credit cards are security issues. Card users need to protect their personal information at ordinary times, especially the last three digits to avoid being stolen; another layer of risk sources of credit cards As for overdue payments and cash out, these are behaviors that banks dislike, so it is best not to overdue or cash out randomly.

What are the risks of credit cards?

There is no risk for users to apply for a credit card. As long as you can use it normally after processing and don't do any overdue behavior, there will be no problems. However, if a credit card is overdue, the bank will report the individual's overdue record to the central bank's credit reporting system, which will stain the individual's credit and affect future loan approvals. Credit cards are actually closely linked to the central bank’s personal credit reporting system. Both the application and the user's usage will be displayed in the central bank's personal credit report. Therefore, when using a credit card, users must repay the money on time. Of course, these two aspects also need to be paid attention to:

1. Avoid blind consumption. For most users, the limit on a credit card is just a number. Therefore, when shopping, we spend money like water and buy many useless goods, resulting in waste. Therefore, users must avoid blind consumption when using credit cards.

2. Avoid excessive consumption. Since credit cards have installment functions, many consumers often use credit cards to purchase some digital products. Of course, during this process, users must avoid excessive consumption to avoid being unable to repay.

3. When using credit cards, you need to be careful not to repay overdue payments. You must have good repayment habits. Do not blindly apply for high-level credit cards. In addition, you must protect your information to avoid being stolen.

(1) Late repayment is the most taboo thing when using a credit card

Non-due repayment is the most taboo thing when using a credit card.

These credit stains have a great impact on mortgages for house purchases and car purchases. From the perspective of risk control, banks are unwilling to lend money to people with credit stains. They will think that such users will There is a risk of overdue or bad debts.

(2) Have good repayment habits

After getting a credit card, you must control your consumption desire. Do not swipe the card willfully. If you cannot pay off the loan on the repayment date, you must choose installments. . In fact, installments will generate high interest rates, and a vicious cycle will lead to more and more debt.

(3) Don’t blindly apply for high-level cards

For example, the annual fee for some ordinary platinum cards has reached several thousand. You must understand it carefully before applying, because by then you will forget Paying high annual fees can also stain your credit.

(4) Protect personal information to avoid being stolen

This issue must be paid attention to, and personal information must be protected.

Once you find out that the card has been stolen, the first thing to do is to call the customer service number to tell the bank that it was not your purchase and ask the bank to suspend the credit card. The customer service will ask you to go to a nearby ATM to swipe the card and get the consumption receipt.

The second is to call the police to prove where you are, and then take this evidence to the bank's credit card department and wait for the bank's investigation.

What are the pitfalls of credit cards?

1. High interest and minimum repayment amount. "Minimum repayment amount" means that when the cardholder is unable to repay all due amounts, he or she can repay according to the minimum repayment amount stipulated by the card issuer. Generally, the minimum repayment amount is 10% of the consumption amount and other payables. When the repayment period has not expired, cardholders who enjoy the minimum repayment amount will be charged high interest by the bank. Cold dissection of the minimum repayment amount: The expected annualized interest rate of the "minimum repayment amount" is as high as 18%, which is the highest interest rate among all types of installment business. The setting of the bank's minimum repayment amount can help cardholders who cannot repay on time to a certain extent, but in essence, the repayment amount is divided into two installments. The first installment is to repay a small part of the minimum on the last repayment day. The remaining balance will be paid off on the next bill payment date. It is recommended that consumers try to avoid choosing the minimum repayment amount when they cannot afford the repayment. 2. It’s easy to cancel automatic installment bidding. "Full automatic installment" is a special setting for credit card limits. As long as each credit card consumption reaches the agreed amount, the bank will automatically process this business as an installment business. Some consumers clicked on automatic installment when applying for a card. Even if they spend 10 yuan on online shopping, the bank will automatically pay for it. Needless to say, in terms of rates, automatic installment business requires very high rates. 3. Interest-free loans are really expensive. Among the many bank promotions, interest-free loans are provided. Its essence is to promote the installment payment business to cardholders, but the tool becomes a cash limit, and the rates are often higher than ordinary installment payment fees. The reason is that the investment of consumer funds in this kind of installment business is uncertain and the risk is higher than that of traditional installment business, so the handling fee is slightly higher. In fact, high-quality credit card customers can indeed enjoy interest-free loan limits, but they are just disguised as high handling fees. The installment payment method adopted by the bank can be divided into 6 to 24 installments. Although the number of periods is different, the handling fee for each period is based on calculation. The expected annualized interest rate that the cardholder really has to pay is 16.22%. 4. You still can’t escape the handling fee if you repay the loan early. Most banks stipulate this in their installment payment service terms: If a cardholder applies to pay off the outstanding installment balance in advance, the cardholder must pay the outstanding installment balance and handling fees in one lump sum after approval by our bank. Such early repayment is obviously meaningless.

That’s it for the introduction of credit card risk points.