Credit Card
It is a consumer payment tool and is currently the second most popular plastic currency after cash. The "credit card" is issued by a financial institution, and the card issuer issues a credit line of credit based on the applicant's personal credit record, and therefore represents the individual's credit certificate. The benefits of using a credit card are as follows:
- You don't have to carry a lot of cash, avoid the risk of going out to carry a lot of cash - you have the benefit of "first consumption, post-payment" - you can use its "revolving credit" function to delay the payment of some money, flexible financial management - right Affirmation of personal credit and identity – a universally accepted payment tool: There are more than 200 countries or regions in the world, and more than 13 million special stores accept credit cards. In case you need cash, there are 160,000 units around the world. The above cash machine can accept credit card to withdraw cash - financial tools: use a credit card, you can know the personal consumption record on the monthly statement, and each credit card has a bill to keep the reconciliation The revenue and expenditure are clear
Business Card, Corporate Card
The credit card designed for official use is applied by the company to the bank to provide the cost of the card when the employee goes out to contact the public. After the employee uses the company card to pay the account, the bill is paid directly by the company, which can save the traditional employee's account payment and payment procedures. And the accounting department of the company can reconcile according to the monthly consumption list compiled by the bank, save a lot of trouble, or further strive for quantity discount.
Attached Card
Cardholders of credit card masters can apply for cards for relatives and friends, such as students and housewives who lack financial ability. The attached card and the main card share the credit line of a credit card, and the account will appear on the same statement. In addition, the rights and obligations of the main card and the attached card are basically the same, but if the main card is lost, the attached card will not be used, and the loss of the attached card will not affect the main card.
Charge Card
The charge card is not a credit card. The biggest difference between this consumer payment instrument and a credit card is the way in which consumers are reimbursed. In terms of quota, the charge card is more flexible in terms of consumption limit, and the user has less danger of exploding. It is the best tool for cardholders who often swipe a large amount of money. However, if the amount of users swiping a card or the card history is too short, it may be rejected. In today's market, charge cards are generally recognized as more identifiable than credit cards, have very high spending power, and have stricter standards for issuing cards, such as Diners Club and American Express. Their entrance fees and annual fees are usually much higher than credit cards. In terms of payment methods, the debit card must be paid in full within the payment period. It is not possible to use revolving credit to delay the payment of part of the payment.
Affinity Card
The function of the approval card is basically the same as that of the credit card, but the approval card is jointly issued by the issuing bank and the non-profit institution, religious group or charity, and has the function of public welfare. The consumer is recognized by the non-profit organization. Apply for this card, and the bank will give back to the non-profit organization a specific percentage of the cardholder's spending amount, such as the school approval card.
Co-Branded Card
The function of the co-branded card is the same as that of the credit card. Unlike the identity card, the co-branded card is issued jointly by the issuing bank and the general enterprise. It is more oriented to a specific ethnic group and is more business-oriented than the general credit card. Various extra features.
Credit (Credit)
The word "credit" of a credit card is actually meaningful. First, you must have a good credit history and the bank will be willing to issue a credit card for your use. The consumption status and repayment history of your credit card after you hold the card will become an important reference for your bank to evaluate your credit rating in the future. In particular, banks now engaged in consumer finance business are paying more and more attention to reselling existing customers. If you can make good use of credit cards to establish a good credit record, you will probably enjoy better discounts or easier procedures when you apply for other types of loans to banks.
Credit limit (Dredit Line, Credit Limit)
A credit line is a type of credit, also known as a revolving credit line. When you apply for a credit card from a bank, the bank will set a credit line for you based on your personal financial ability, credit history and other information. Within this amount, you can spend your credit card and enjoy the convenience of revolving credit. Generally speaking, the credit limit of the gold card will be higher than that of the ordinary card.
Available Credit Line, Available Credit Limit
The credit limit you can use is the maximum spending limit for adding your credit card to the card during the two payment periods. For example, if your original credit limit is 100,000 yuan, and your positive and attached cards have accumulated consumption of 60,000 yuan, then you can use the remaining credit limit of 40,000 yuan.
Revolving credit
Revolving credit is a very convenient short-term loan tool. When you can't pay the amount on the bill at one time, you can use this function to decide the amount and time of repayment. You don't need to provide any collateral, and you can always make a settlement. clear. Revolving credits allow you to temporarily not have to pay off your entire account, but you must pay at least the "minimum payable amount" listed on the monthly statement each month. Since revolving credit is a short-term loan, it is different from the annual interest rate calculation method of general loans, which is calculated on a daily basis (depending on the regulations of each bank). When you decide to use revolving credit installment payment, the outstanding consumption amount (including pre-borrowing cash) begins to calculate interest. The calculation basis is the amount that you have not paid. The calculation base period varies according to the regulations of each bank. There are bank payment dates, billing closing days or bill payment deadlines.
Minimum monthly payable amount
The "minimum payable amount" listed on the monthly statement includes:
1. 2% of the total consumption account (including the amount of the current and previous periods) and the amount of cash outstanding in advance in the credit line account (according to the regulations of each bank)
2. Revolving credit interest, overdue handling fees and other expenses (such as annual fee, cash advance fee, etc.)
3. Accounts that exceed the credit limit (including consumer accounts, cash advances, current loan monthly payments, etc.)
The sum of the above three amounts is the monthly minimum amount payable.
Cash Advance
When you need cash temporarily at home and abroad, you can use your credit card to "borrow cash". Generally speaking, the amount of cash that can be borrowed in advance is one-third of the credit limit to the full amount, and the total amount combined with the total amount of the credits cannot exceed your credit limit, and some banks have restrictions on daily cash advances. Amount. You can get cash quickly without any guarantees within a limited amount. The handling method is as follows:
——Can be consulted to the designated bank or five-star hotel counters of VISA/MasterCard worldwide – to the ATM (automatic teller machine (ATM) withdrawal: to the PLUS label (for VISA card) or Cirrus (for MasterCard) ) ATM (ATM) To withdraw cash, you can get cash by simply following the steps in the ATM, placing a credit card and entering your personal identification number (PIN, ie PERSONAL IDENTIFICATION NUMBER) and the amount of cash advanceed. The pre-borrowing cash code will be issued by the issuing bank to the cash advance payment. The processing fee varies according to the card issuing bank. Generally, it is 3.5% of the total amount of cash pre-borrowed or a certain minimum amount. If you use the phone to pre-borrow cash, The additional remittance fee will be charged. The calculation of the pre-borrowed cash interest is calculated from the date of the advance borrowing of the cash, and the total amount of the pre-borrowing is calculated daily by the daily interest rate of 0.0547% until the bank receives the full amount.
Credit Card Balance Compensation (Balance Transfer)
For consumers who often use credit card revolving credits, they can transfer the accumulated payable amount on the bill to the bank for "credit card transfer" or "credit card compensation". Because the credit line provided by the credit card is a short-term loan with a daily interest rate; whenever the consumer uses the credit card revolving credit, the bank will charge interest equivalent to about 20% of the annual interest limit (the banks do not One). Consumers can save at least about 30% of interest expenses compared to the 14% interest rate on credit card lending.
In addition to saving interest expenses, in general, credit card loans can provide at least the following benefits:
——Provide a new credit card spending capacity: Once the consumer has concentrated the high interest rate revolving credit amount to the credit card loan account with lower interest rate, it is equivalent to improving the spending power, and can enjoy the fun of credit card consumption – reduce the funds Scheduling costs: financial management is not in the three directions of saving money, using money and borrowing money; credit card transfer money allows consumers to obtain cost-funded funds in the easiest way - integrated accounting expenditure management records: consumers can Some or all of the outstanding revolving credits of the bank are concentrated in one consolidated account, eliminating the inconvenience of managing multiple credit card accounts, saving money management time and facilitating management of multiple accounts.
Billing
The cardholder will swipe the card at the special store. After the authorized store will obtain the signature, the cardholder will sign the signature. One of the joint stores will be saved by the special store to collect the money from the acquiring bank. Saved by the cardholder. For security reasons, the cardholder cannot sign the blank bill or the billing statement that does not specify the total amount of the charge.
Monthly statement, statement (Monthly Statement)
The issuing bank will print the credit card details into a statement every month and send it to the cardholder, stating the amount of the payment and the payment period. The cardholder should carefully check whether the statement and the reserved bill are consistent. If there is any discrepancy, notify the bank and suspend the payment. If the bank finds that the cardholder has forgotten it after accessing the signing, he will receive the handling fee for the signing. Cardholders can make good use of their statements to manage their finances and record their consumption. If the address changes, don't forget to notify the issuing bank as soon as possible, change the billing address, so as to avoid the receipt of the bill and the interest expense of the delayed payment, affecting the equity.
Card processing fee
The special store accepts a fee of two to three percent to the bank and credit card center after accepting the customer's credit card. In order to save costs, some manufacturers will require cardholders to pay additional fees, because it is necessary to open an invoice to swipe the card, so that the store cannot evade taxes. The cardholder should ask in advance if the price indicated by the store is acceptable for swiping.
Authorization
Generally speaking, after the cardholder swipes the card at the special store, the store will send the cardholder's credit card information to the acquiring bank through the credit card machine to confirm whether the transaction is acceptable, and the acquiring bank will then pass the authorization system. After the cardholder's card issuance bank asks, the card-issuing bank will check the card number and the credit limit without any problem, and return an “authorization code†agreed by the representative to the acquiring bank and record it on the bill. After the event, the store can make a one-way bill of lading with the signature, card number and the issuing bank authorization. Some stores that do not have an electronic credit card machine will manually call the acquiring bank to verbally inform the card number and other information, and then obtain authorization.Swipe is rejected
This can happen if the cardholder's bill is overdue, exceeds the credit limit, or abnormal transactions. Banks usually set a limit on the credit limit to prevent cards from being fraudulently used or fake transactions. If the amount of consumption suddenly increases, or if you purchase high-priced products (such as gold ornaments) that are highly liquid, banks will usually ask for confirmation on the phone and the cardholder. In addition, credit card degaussing, wear and tear or credit card network failures can also cause transactions to fail. It is best for the cardholder to prepare a credit card to reduce the chance of occurrence.
Card damage, degaussing
The magnetic strip on the back of the credit card records the card number and check code of the cardholder. The bank reads the data through the credit card machine to determine whether the transaction can be successfully authorized. If the cardholder accidentally folds or approaches the magnetic substance, the card reader will not be able to read the magnetic stripe content. At this point, you may need to ask the special store to manually call the acquiring bank, obtain authorization, or use another normal credit card.
Reward Program
This is the card-receiving activity launched by the issuing bank to encourage cardholders to consume. It is basically a fixed proportion of the amount of the card to be exchanged (such as 25 yuan or 30 yuan for a point), which can be redeemed for free gifts. There are also banks that introduce cash dividends, which are offset by a ratio of two-thousandths of a percent or one percent of the credit card.
Special store discount (Merchant Discount)
The more active card-issuing banks will sign contracts with certain special stores, asking these stores to provide additional discounts to the bank's cardholders, such as offering discounts or full gifts, as a member's exclusive membership interest. Cardholders can find out the latest offers through their member publications or bills.
Lost card zero risk
Some banks offer "zero risk of lost cards" services. In case you accidentally lose your credit card, you should immediately notify the issuing bank to report the loss and complete the necessary procedures. All losses that are fraudulently used will be borne by the bank and the new card will be reissued as soon as possible. Some banks only provide the risk within 24 hours prior to the loss. Other banks require cardholders to bear the "deductible" of the quota, and the excess is borne by the bank.
Issuing Bank
A bank that issues credit cards to consumers. The consumer applies for a credit card to the issuing bank, and the issuing bank issues the credit card and the credit line according to the applicant's income and debt repayment ability. The card-issuing bank may authorize the special store to complete or reject the transaction according to the cardholder's credit limit; the card-issuing bank will exchange and clear the account with the acquiring bank daily, and the cardholder will settle the monthly payment at the end of each month. The excellent card-issuing bank will actively organize various member-only activities, special offers, cross-industry alliances, mail order and insurance, etc., to provide more rights to cardholders.
Acquiring Bank
The service target is a special store, and the acquiring bank promotes the acceptance of the credit card as a payment instrument to the store. However, the acquiring bank will first sign the contract with the store to become a special store after strictly checking the merits of the store credit, and provide credit card bill redemption service and charge. Handling fee. Related services include the provision of special store POS terminals, electronic clearing system EDC and the necessary blacklists, and authorize the special store to check the authenticity and validity date of the credit card. After all the steps are completed, the special store can obtain the correct signature of the cardholder and complete the transaction, and then apply for cashing with the credit card to the acquiring bank.
ATM Transfer Payment (ATM)
If your card issuer provides this feature, you can transfer your bank card to the cash dispenser with cross-bank transfer function. Simply enter the required information (such as bank code, card number or account number and amount) as indicated on the card issuer's bill. Some banks will also pay for the transfer fee.
Direct debit payment
If you have a current deposit account at the designated bank of the issuing bank, you can fill out the "Direct Transfer Debit Authorization" to the issuing bank, and the bank will transfer the funds to your designated account at 0:00 am on the payment deadline. You should deposit the funds into your designated transfer account one day before the payment deadline to avoid unsuccessful debits. If the debit date is a holiday, it will be deferred until the next business day (except the post office).
Bank agent collection
You can use the "Bank-wide Agent Collection Application" attached to your credit card statement to make payment to the designated bank or post office.
Financial Card (ATM Card)
The financial card is convenient for consumers to withdraw money from their bank deposit account through the ATM, which saves the trouble of withdrawing money at the bank branch of the original account. Since the financial card is to withdraw money from the consumer account and has no loan relationship with the bank, it is not like the credit card needs to be eligible for eligibility.
Source: Bank of the Netherlands | N/ADigital Plotter,Conveyor Printing Machine,Belt Printing Machine
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