How many days is the minimum interest-free period for a credit card?

The minimum interest-free period for credit cards stipulated by each bank is different. For example, for Bank of Communications credit cards, the longest interest-free period is 56 days. , the minimum is 25 days.

Origins of credit cards:

The earliest credit cards appeared at the end of the 19th century. In the 1880s, the British clothing industry developed so-called credit cards, and the tourism and business sectors followed suit. However, the cards at that time could only be used for short-term commercial credit, and the money still had to be paid as and when used. Long-term arrears were not allowed, and there was no credit limit.

A credit card is generally a special carrier plastic card with a length of 85.60 mm, a width of 53.98 mm, and a thickness of 1 mm. The name of the card issuer, validity period, number, cardholder name, etc. are printed on the front, and there is a chip on the back. Magnetic strip, signature strip. Cardholders can use their credit cards to shop and spend money with special entities and deposit and withdraw cash from banks.

It is said that one day in the 1950s, American businessman Frank McNamara was entertaining guests for a meal in a New York hotel. After the meal, he found that he had forgotten his wallet and had to call his wife to bring cash. McNamara came up with the idea of ??starting a credit card company because he felt embarrassed about paying the bill at a restaurant. In the spring of 1950, McNamara and his friend Schneider invested US$10,000 to establish the "Diners Club" in New York, the predecessor of Diners Club. Diners Club provides members with a card that can prove their identity and payment ability. Members can use the card to record their purchases at 27 designated restaurants without having to pay cash. This is the earliest credit card. This kind of credit card that does not require bank processing is a commercial credit card.

In 1952, Franklin National Bank in California, USA, was the first financial institution to issue a bank credit card, becoming the first bank to issue a credit card.

In 1959, Bank of America issued the Bank of America card in California. Since then, many banks have joined the ranks of card-issuing banks. By the 1960s, bank credit cards were quickly welcomed by all walks of life and developed rapidly. Credit cards became popular not only in the United States, but also in the United Kingdom, Japan, Canada and European countries. Since the 1970s, Hong Kong, Taiwan, Singapore, Malaysia and other regions have also begun to handle credit card services.

In the 1960s, credit cards sprouted and developed rapidly in developed European and American countries such as the United States, Canada and the United Kingdom. After more than 50 years of development, credit cards have been widely accepted in more than 95 countries around the world. In the 1980s, with the reform and opening up and the development of the market economy, credit cards began to enter China as an electronic and modern consumer financial payment tool. In the past ten years, they have developed by leaps and bounds.

After experiencing the financial crisis and the ups and downs of the domestic economy, my country's credit card market rebounded in 2016. By the end of 2016, the total number of domestic credit cards issued had exceeded 590 million. In 2016, the national credit card consumption transaction amount reached 741.81 trillion, an increase of 10.75%, and the proportion of credit card consumption in the total retail sales of consumer goods continues to increase.

According to the "2013-2017 China Credit Card Industry In-depth Research and Investment Strategic Planning Analysis Report", since 2010, in order to curb the rapid rise in asset prices and control inflation, the Chinese government has implemented a sound monetary policy. And adopted a series of moderate tightening measures, indicating that macro-prudential and strengthened capital supervision have become the core of China's banking industry supervision. Various tightening money supply operations and capital constraint policies have an impact on the liquidity level, credit lending rhythm and structure of Chinese commercial banks. All had a profound impact. The analysis believes that the evolution of the industry structure has further optimized and diversified the product portfolio, and also increased the research and development of new industry standards and mobile payments; credit penetration has deepened; and the installment business has developed in depth.

In February 2012, the bank confirmed that credit cards without passwords are more secure, and they will share the responsibility if the credit card is stolen.

Enjoy an interest-free period of 25-56 days (or 20-50 days). Card consumption enjoys an interest-free period, and if you pay off the bill before the due date, no fees will be incurred. There is no interest-free repayment period for cash withdrawals, and a daily interest rate of 0.05% will be charged from the day of withdrawal. The bank will also charge a certain percentage of cash withdrawal fees.

China’s credit card market is still one of the fastest-growing product lines in China’s personal financial services market. Although the economic benefits of the industry are full of challenges, driven by economies of scale and growth in consumer spending, China’s credit card market will continue to grow in the next 10 years. The average annual growth rate of credit card issuance will remain at around 14, and profitability will also tend to improve;

According to a report released by the People’s Payment and Settlement Department of the People’s Republic of China, as of the third quarter of 2021, credit cards and lending will be integrated into one There were 798 million cards, a month-on-month increase of 0.97, and the per capita number of credit cards and debit cards combined was 0.57.

Credit card interest-free 50-day rule

Credit cards provide interest-free period benefits, which generally range from 20 to 50 days. To enjoy the interest-free period, after customers swipe their cards for consumption, they need to pay off the bill in full before the due payment date (inclusive). As for how long the interest-free period can be enjoyed, it mainly depends on the time when the customer swipes the card for consumption. For example, if you want to enjoy the 50-day long interest-free period, you generally need to make purchases a few days after the bill date.

Because the consumption is made on the day after the bill date, the transaction is not included in the current bill, but in the next bill. After the bill comes out next month, just pay it off before the repayment date of the next month (inclusive). In this way, there can be more than a month between the time the consumption is recorded and the payment is made on the repayment date.

For example, if a customer's credit card statement date is the 5th of each month and the repayment date is the 25th of each month, it is stipulated that if the card is swiped on the billing day, it will be included in the current bill, and if the card is swiped on the next day, it will be included in the next bill, then After the customer made a transaction on September 6, it will be withdrawn on October 5, and the customer can pay it off before October 25 (inclusive). There are 50 days from September 6th to October 25th.

The so-called interest-free period is the buffer period for customers to save money after the credit card has a zero balance (or the balance in the card is less than the price of the product). Generally, it means that the customer will have this kind of interest after consumption. Interest-free period. As an explanation of the longest interest-free period, if the bank stipulates that the 25th of the next month is the repayment period, if you consume on the 1st, the longest interest-free repayment period is 56 days; if you consume on the 2nd, the repayment period for 55 days. The longest interest-free period is 56 days for most banks such as Bank of Communications, Industrial and Commercial Bank of China, and Agricultural Bank of China.

There are generally two types of interest-free period settings. One is that the bank clearly stipulates a certain day of each month as the interest-free repayment deadline. The interest-free period is the date between the bank accounting date and the deadline. , both ICBC and Agricultural Bank of China use this method; the other method is for the cardholder to choose a billing date according to needs, and then set the latest repayment date based on the billing date, then the interest-free period is from the bank's accounting date to the latest The date between the repayment dates, such as China Construction Bank and Minsheng Bank (600016, stock bar).

For example, if Ms. Ding’s bill date is the 1st of each month, and the repayment date is the 25th of each month, if Ms. Ding pays the bill on the second day of the August bill date, which is August 2 She spent 5,000 yuan on one day, and the bank’s new accounting date starts from the next day, August 2. Therefore, this consumption will definitely not be included in the bill on the first day, so Ms. Ding’s consumption on August 2 is the most significant. It may be that the bill issued on September 1st can be paid off on September 25th at the latest, so that there will be an interest-free period of more than 50 days; but if Ms. Ding purchases 5,000 yuan on July 31st, then the consumption record will be The bill will be issued on August 1st, and it must be paid by August 25th at the latest. However, it was paid one day early, and the interest-free period is only 25 days.

How many days is the interest-free period for a credit card?

The interest-free period for a credit card is generally 20-50 days.

About the credit card repayment due date refers to the last date when the credit card issuing bank requires the cardholder to return the amount due. That is to say, after the card-issuing bank issues the bill, you should pay off all the fees you have consumed before the due payment date.

In fact, the due payment date is the last day of the interest-free repayment period. Repayments before this are interest-free. Overdue interest and late payment fees will be charged. The interest-free repayment period is different for each bank.

Credit cards of different banks have different calculation methods for the interest-free period, but there are generally two categories: First, it is clearly stipulated that a certain day of each month is the interest-free deadline, and the interest-free period is calculated from the date of consumption. , to the date between the due date; second, the cardholder sets a single day, and then sets the latest repayment date based on the bill date. The interest-free period is the date from the consumption date to the latest repayment date. .

The first method is like ICBC Peony Credit Card. Among them, ICBC stipulates that the interest-free period will last for consumption from this month to the 25th of the next month. Assuming that the cardholder made purchases on the 30th of last month, the interest-free period will be 25 days until the 25th of this month. This billing method is relatively easy to understand, and it is easy for cardholders to make use of the longest interest-free period for smart consumption. For example, if your large overdraft occurred on the 1st of last month, your interest-free period may become the most As long as 56 days, you can save a lot of interest.

The second method allows cardholders to choose more billing dates based on their personal circumstances, but the calculation is relatively complicated. Typical examples are China Construction Bank credit cards and China Merchants Bank credit cards. Take China Merchants Bank Credit Card as an example. When applying for each card, the cardholder will be asked to choose a billing date based on personal circumstances, such as the 5th, 15th or 25th. The latest repayment date is 18 days from the billing date: Assumption The 5th is the statement date of your credit card, so for purchases made on the 3rd, the interest-free period is from the 3rd to the 23rd of the month, which is 21 days. If you want to enjoy the longest interest-free period, you can Under this premise, choose the time to consume. For example, if you consume on the 6th, then the 49 days from the 6th of this month to the 23rd of the next month are interest-free periods.

Banks often promote the interest-free period of credit cards, which generally refers to the longest interest-free period, but in fact not every purchase enjoys the 56-day interest-free period.

Relevant notes on the final repayment date:

1. You must choose to repay in full to enjoy interest-free;

2. During the interest-free period The fixed time is 20 days after the bill date;

3. Only consumption (card swiping) transactions are interest-free, cash withdrawals are not interest-free, and procedures will be charged;

Repayment at maturity is also called the final repayment date. If you do not repay in full before the due payment date and do not choose the minimum repayment amount on your credit card, the penalties you may face are:

1 . All consumption payments will no longer enjoy the interest-free repayment treatment. The bank will calculate interest on a daily basis from the day of consumption, using the consumption amount as the principal, with a daily interest rate of 0.05% and compound interest on a monthly basis;

2. Receive a reminder call or letter from the bank;

3. Freeze your account and feed your debt record back to the People's Bank of China to record it in your credit file, affecting your Personal credit;

If you really do not have enough money to repay the full amount on the due date, then please choose the minimum repayment amount of the credit card to repay. In this way, you only need to repay the total amount of each installment. 10 of the fee. Although there is no interest-free repayment period for repayment, it can avoid personal credit damage.

How many days is the interest-free period for a credit card?

The interest-free period for a credit card is set based on the specific billing date and repayment date of the bank. The interest-free period is from the credit card billing date to the repayment date. The day ends on the same day.

Suppose your credit card bill date is the 5th of each month, and the due date for payment is the 25th of each month. If you consume before the bill date, it will be included in the current bill, and if you repay between the 5th and 25th, you do not need to pay interest.

The interest-free period for credit cards is generally about 20 to 50 days, and the longest will not exceed 60 days. The interest-free period for credit cards of various banks may be different, and the billing dates are different. Interest periods will also vary.

Extended information:

A credit card, also called a credit card, is a credit certificate issued by a commercial bank or credit card company to consumers with qualified credit.

It is in the form of a card with the name of the issuing bank, validity period, number, cardholder name and other contents printed on the front, and a magnetic stripe and signature strip on the back.

Consumers holding credit cards can shop or consume at specially designated commercial service departments, and then the bank will settle the accounts with the merchants and cardholders. Cardholders can overdraft within the prescribed limit.

Credit cards as stipulated in the relevant laws of our country refer to electronic payment cards issued by commercial banks or other financial institutions that have all or part of the functions of consumer payment, credit loans, transfer settlement, cash deposits and withdrawals, etc.

On December 1, 2017, the "English Translation and Writing Standards in the Public Service Field" was officially implemented, stipulating that the standard English name of credit cards is CreditCard.

Credit card consumption is a non-cash transaction payment method. There is no need to pay cash when consumption, and repayment will be made on the billing date (BillingDate).

Credit cards are divided into credit cards and quasi-credit cards. Credit cards refer to credit cards in which the cardholder has a certain credit limit and can consume within the credit limit and then repay; quasi-credit card It refers to a quasi-credit card in which the cardholder deposits a certain amount of reserve fund as required. When the reserve account balance is insufficient to pay, the cardholder can overdraw within the prescribed credit limit.

The credit card generally refers to a credit card.

Starting from January 1, 2021, the credit card overdraft interest rate will be determined independently by the card issuer and the cardholder through independent negotiation, and the upper and lower limit management of credit card overdraft interest rates will be cancelled. The daily interest rate is 0.7 times 5/10,000).

The main features of credit cards:

①Credit cards are one of the fastest growing financial services today. They are an electronic currency that can replace traditional cash circulation within a certain range;

②Credit cards have both payment and credit functions. Cardholders can use it to purchase goods or enjoy services, and can also obtain certain loans from card issuers by using credit cards;

③Credit cards are high-tech products that integrate financial services and computer technology.

④Credit cards can reduce the use of cash;

⑤Credit cards can provide settlement services, facilitate shopping and consumption, and enhance a sense of security;

⑥Credit cards can simplify collection Reduce payment procedures and save social labor;

⑦Credit cards can promote product sales and meet social needs.

How to calculate the interest-free period of a credit card?

Assuming that your credit card bill date is the 5th of each month and the due repayment date is the 25th of each month, then at different times The length of the interest-free period you enjoy varies by swiping your card in different periods:

If you swipe your card to spend 10,000 yuan on October 4, then on the billing day of October 5, the 10,000 yuan will be For bills that are credited to October (specifically, the billing cycle from September 6 to October 5), the account should be repaid on October 25.

Therefore, the longest interest-free period that cardholders can enjoy is 21 days; if a card consumption of 10,000 yuan is made on October 6, because it exceeds the statement date of October 5, then the 10,000 yuan will be Yuan will be credited to the bill for November (specifically, the billing cycle from October 6 to November 5) on November 5, and the account should be repaid on November 25. Therefore, the maximum interest-free period that cardholders can enjoy is 50 days.

If you swipe your card before the bill date, you may enjoy a shorter interest-free period (the closer you swipe your card to the bill date, the shorter the interest-free period); if you swipe your card after the bill date, you may enjoy the interest-free period. The period is longer (the closer the card is swiped to the statement date, the longer the interest-free period).

What does the interest-free period of a credit card mean?

For non-cash transactions with a credit card, it is the period from the bank recording date to the generation of the single-day statement for this consumption to the repayment date. , as long as you pay off the current period's repayment amount (total amount owed) in full on the current statement, you do not need to pay any interest on the funds advanced by the bank to the store for non-cash transactions (cash advances do not enjoy the interest-free discount) ).

How is credit card interest calculated?

Credit cards generally have a 30-day interest-free period. As long as consumers pay off their balances within the interest-free period, no interest will be charged.

If a consumer is overdue, interest is generally calculated at a daily interest rate of 0.05. If the consumer is overdue for more than 30 days, some banks will calculate interest at a daily interest rate of 0.1.

If a consumer uses a credit card to spend 10,000 yuan overdue, the interest that needs to be paid every day is: 100,000.05 = 5 yuan, which is 150 yuan per month (calculated as 30 days). In general, it needs The interest paid is very high, so it is recommended not to be overdue easily.

What are the precautions for using credit cards?

1. Do not disclose personal information to others easily, including your ID number, bank code and other information, and do not use your bank card , give the credit card to others for use. If you have any doubts and need to report a crime, please go to a bank or other financial department for consultation in person or report the crime to the local public security agency. Do not call the phone number provided by the suspect to report the crime.

2. Pay attention to safe use of online banking. Install necessary anti-virus, anti-Trojan software and online banking security controls, make sure you are logging in to a real bank website, do not easily accept unfamiliar files, and do not easily use other people's computers to log in to online banking.

3. Be vigilant when using self-service banking. At present, the doors of self-service banks have been gradually transformed into button-opening doors. When withdrawing money from self-service banks, if you find suspicious devices or prompt messages such as "Press password to confirm" at the entrance and exit of self-service banks, do not swipe your card or enter password, and promptly Report to banks and public security agencies.

4. Be careful to separate the card and ID card. Many people put their ID cards and bank cards together in life. Once lost or stolen, the cardholder's funds are highly likely to be lost.

5. When swiping a credit card for consumption, you must confirm whether it is a UnionPay POS machine. After swiping the card, you must sign the shopping settlement statement. At the same time, you must also pay attention to whether there are repeated problems and prevent the returned bank card from being used. Transfer package. In addition, the signature style should be as consistent as possible with the signature on the card.

That’s it for the introduction to the interest-free period of US credit cards.