1, various expenses
If you lose your card, you have to pay a loss report fee and a replacement fee. Your own money has been deposited in your credit card. If you want to take it out, you will have to pay an overpaid handling fee. There are not only handling fees, but also revolving interest. These are not small incomes.
Among them, the most noteworthy thing is that you have to pay a high fee to take out your own money, which is undoubtedly the overlord clause. Has been spurned by everyone. Although some banks have relaxed their policies and banks don't charge cash fees, most banks still refuse to compromise because this is one of their means of making money!
2. Calculation of compound interest
The compound interest calculation is generally 0.05% per day. Don't underestimate this 0.05% per day, which is equivalent to 18% per year, which is very high! In order to avoid this part of interest expense, we need to pay off all the credit card funds in the current month in one lump sum before the due repayment date, that is, full repayment.
There is an option to repay the minimum repayment amount, which is generally 10% of the bill amount. The cardholder only needs to repay this 10%, and there will be no overdue. If the cardholder repays according to the minimum repayment amount or only pays part of the arrears, then the full amount of the bill of the month will no longer enjoy interest-free, and there will be a lot of revolving interest!
In addition, if the minimum repayment amount 10% is not paid back, a late fee will be charged at 5% of the unpaid part of the minimum repayment amount! These are all ways for banks to make money.
3. Make money from the annual fee
Bank card issuance actually involves expenses. Annual fee, card issuing cost, fast card issuing fee, etc. It's all bank income. Under normal circumstances, the card issuing cost, fast card issuing fee and other card issuing fees are directly exempted. The annual fees for ordinary cards and gold cards range from 200 yuan to 300 yuan. In order to encourage people to apply for cards, these fees are reduced or exempted.
But for high-end platinum cards, the annual fee is higher, and some are as high as several thousand yuan. Even if this card is not activated, it will generate an annual fee.
Reminder: For credit cards that enjoy the annual fee reduction policy, if the number of swipes or the amount do not meet the requirements, an annual fee will also be charged.
4. Installment fee
The so-called interest-free installment is actually to change the name of the interest part and collect it in another way. In terms of staging, banks earn a lot. The more installments, the more commission we pay. For example, 12000 yuan is divided into 12 periods, and the commission for each period is 0.6%, and the commission is as high as 864 yuan!
Remind everyone: don't be blinded by "interest-free" and ignore the handling fee, so you have to let the bank earn more money.
As long as you know how banks make money from cardholders, you can bypass these minefields and pay close attention to your money. While enjoying preferential treatment, you can't waste that money!