With the development of credit card business, there is a kind of credit card function that is increasingly favored by people, that is, installment payment business that plays the role of consumer credit.

Brief introduction!

At present, there are three main types of credit card installment payment:

1. Installment payment by pos machine in shopping malls: it is completed by the dedicated installment POS machine in shopping malls, generally the 3rd and 6th installment are free, and12nd installment needs 2-3 points, which is more common in Gome, Suning and other electrical hypermarkets or large department stores. Banks engaged in this business include China Merchants Bank, CITIC, Minsheng and China Construction Bank.

2. Mail-order installment: Now almost all banks that issue credit cards are doing this business. The mail order catalogue attached to the credit card bill is full of notebooks, digital products, high-end jewelry watches and so on. Although this kind of installment payment has no cost, the prices of the above commodities, especially digital products, cannot be changed, and digital products are commodities with rapid price changes, which are often considered to be higher than those in shopping malls (the fees charged by banks to suppliers are 8-20 percentage points);

3. Bill installment (single transaction): This is the installment payment completed by the bank after calling the credit card customer service to apply for bill installment (transaction). It is characterized by a wide range of transactions by stages (generally excluding transactions such as cash withdrawal and house purchase), but the rate is relatively high, ranging from 0.5% to 0.7% per month. Bank of Communications, Guangfa, China Merchants Bank, CITIC, China Construction Bank, Pudong Development Bank, etc. Carried out this business.

Perhaps the demand for consumer credit is too great, and credit card installment payment is really developing rapidly. It's also true. When you see something that used to take a long time to buy, it now appears at the cost of112 or 1/24. This pie is really attractive. If your income is on the rise (promotion), you can enjoy the consumption you expect in advance.

However, this is also a trap: not to mention the low rate is a burden. If your income is not very stable (you have to jump ship), this happiness of coming early for consumption may not last long. When your installment expenses account for 1/3 of your disposable income (income minus all fixed expenses), your life will be affected. You should consider suppressing your desires.

The income analysis of foreign credit cards shows that installment payment is often the beginning of card slavery (credit card expenditure accounts for more than 2/3 of disposable income). Just like the Xin Chou Treaty, it took imperialism n years to clean up the fiscal revenue of the Qing Dynasty. When your future income expectation is not good, this installment contract also takes away a considerable part of your income in the next N months.