Credit cards are generally not allowed to buy funds.
Credit cards are only used for credit card spending, not for investment.
Fund credit card refers to a credit card with the function of automatically applying for redemption of money fund and automatically repaying credit card arrears by money fund.
For example, ICBC and ICBC Credit Suisse jointly launched the first credit card in China with the function of automatically applying for redemption of the money fund and automatically repaying the credit card arrears by the money fund.
If you really want to borrow cash to buy a fund, you can withdraw the available balance in your credit card, but you must remember to return it on time. For credit card withdrawal, a withdrawal fee of 1% is charged, and the daily interest rate is compounded, even higher than the income of ordinary funds.
How to buy a fund by credit card?
Fund is a wealth management product, which refers to a certain amount of funds set up for a certain purpose. Internet babies such as Yu 'ebao are basically money funds.
Credit card is a credit line granted by the bank to the cardholder, which can be used for credit card consumption and repayment afterwards. All banks have purchased credit cards with interest-free repayment function. Generally, cardholders will enjoy an interest-free repayment period of about tens of days. In the meantime, they can overdraw their consumption first. As long as the repayment is made on time, the bank is exempt from overdraft interest.
If you can buy a fund with a credit card, doesn't it mean that you can enjoy the expected annualized expected income without spending your own money? How to buy a fund by credit card?
In fact, credit cards can only be used to overdraw consumption, not to buy funds. This point has been stated in the credit card charter or agreement of major banks, that is, the overdraft limit of credit cards cannot be used for investment. This is mainly because buying a fund with a credit card is essentially a cash-out behavior. Therefore, fund products do not support credit card payment.
In order to arbitrage, a small number of people withdraw the money from their credit cards by cashing in to buy funds. Analysts believe that this kind of behavior is very unworthy.
1, credit card cashing, no matter what means are taken, the cardholder has to bear the handling fee, and the longest interest-free period of the credit card is only 56 days, which is used for investment funds. The expected annualized expected return on investment is a little higher than the cashing cost, and the expected annualized expected return is very small;
It is illegal to cash out a credit card. Once it is recognized, it may be downgraded, suspended or even legally liable by the bank.
3. Some people will use interest-free repayment funds to buy equity funds in order to improve the expected annualized expected returns. Although the expected annualized expected return of this fund may be high, the net value of the fund will fluctuate, and a handling fee of about 2% will be paid for subscription and redemption. After 50 days, by the repayment date, even if your fund has increased by 2%, you will still be busy for nothing. Besides, what if it falls by 2%? At this time, redeeming the fund to repay the overdraft will not become a loss of 4%! Moreover, the psychological pressure of debt investment is greater than that of using its own funds, and it is more necessary to bear the risk of loss.
How to buy a fund by credit card?
In fact, credit cards can only be used to overdraw consumption, not to buy funds, which has been stated in the credit card articles of association or agreements of major banks. That is, the credit card overdraft limit cannot be used for investment behavior. This is mainly because buying funds by credit card is essentially a cash-out behavior, so fund products do not support credit card payment. Credit cards can be used first and then returned, and bank funds can be used in advance and enjoy an interest-free period. This is a very good way to manage money.