In life, we often encounter situations where bank staff are trying to push us to apply for a credit card. Or when shopping in a shopping mall, there will be bank employees promoting various welfare policies after opening their own bank cards.

Initially, I thought that mobilizing depositors to apply for credit cards was an act of banks trying to win over depositors. It is a way for savers to develop a habit of depositing money into their homes through credit cards. In other words, credit cards are used to attract savers to deposit money in banks.

But my idea is actually completely wrong, because credit card income is also an important source of income for banks. Instead of using a credit card to promote your own bank, as I thought before.

Let’s take a look at several ways banks want to gain revenue. Banks can obtain profits in many ways by applying for credit cards to users:

First interest income. When we are shopping, sometimes we forget to repay the credit card after swiping it, so it will be overdue. At this time, the bank will think that the repayment has not been made as agreed, so the bank will charge you a part of the interest, which is equivalent to We took out a small loan from the bank and bought this thing.

Second year fee income. Although many ordinary credit cards do not charge annual fees, some high-end gold and platinum cards do charge annual fees for credit cards.

For gold cards and platinum cards, in order to improve the user experience, the annual fee in the first year is usually waived, but the annual fee in the second year is usually charged, but it can be paid through your credit card points. Offset annual fee. Instead of being the same as a regular card, you only need to swipe it 6 times to get it for free.

For many gold cards, the annual fee may be canceled only if the annual consumption is 200,000. If your annual consumption does not reach 200,000 yuan, you may be charged a few hundred yuan in fees.

Third credit card cash withdrawal income. Banks provide credit cards to consumers mainly to create shopping habits and stimulate shoppers' consumption. They do not recommend that consumers withdraw cash. Usually credit card cash withdrawals are subject to a certain handling fee. Although the handling fees for credit card withdrawals are high, when you need money urgently, you may have to bite the bullet and withdraw some money even though you know that there will be handling fees.

Just like when my family and I went out to play last week, we took our children to a local hospital for medical treatment. At that time, the hospital's payment machine only accepted WeChat payment, and the rest was to collect cash at the window. At that time, I had no money in my WeChat account, so I had to go to the nearby ATM machine to withdraw cash from my credit card. Although I received some money, there was no way to do it because I needed a temporary emergency.

Interest charges charged on the fourth installment. When Apple mobile phones were first launched, many people faced tens of thousands of yuan in mobile phone bills and had no way to buy them right away, so they chose to pay in installments. For example, there is a friend next to me. Although his salary is not high, he is an avid fruit fan. Every time Apple launches a new product, he will choose to use a credit card to purchase it. What impressed me most was that Apple had just released the iPhone 6 at that time. After he received his salary, he went to swipe another phone. He even joked with us, "After I just paid off the money for my Apple computer and laptop last month, I will pay for it again this month." Once you start paying off your mobile phone, the age of being a credit card slave will never end.”

When you pay for a credit card installment, it seems that you get such a product without spending much interest, but the actual credit card interest is. , all are collected on a daily basis, and your interest may end up being as high as 10.

Fifth, collect commissions from special merchants. In life, when we are shopping, we will find that not all merchants support credit card consumption. For example, many personal supermarkets do not allow credit card consumption. This is because when users swipe their credit cards, the bank will charge a certain fee to the merchant. Many merchants prohibit shoppers from using credit cards because of low profits.

However, in order to stimulate customers to shop, many large shopping malls will allow customers to use credit cards to make purchases. As a result, merchants will pay a large amount of handling fees to banks every year.

In the bank's credit card business, 78% of the income comes from credit interest, which is the funds generated by credit card installment payments. Therefore, as long as your credit is good enough and you have no bad records, banks are very willing to apply for a credit card for you.