I believe that many credit card holders have received a customer service call from the issuing bank and told you that there is a "backup fund" that can be used in addition to the fixed amount of the credit card. If necessary, you can apply online, which is convenient and quick...
The customer service said that the sky is falling, and we are often at a loss. How do we use the reserve fund?
The reserve fund is essentially a kind of credit loan launched by the bank, which will be issued to credit card customers with good credit cards from time to time! Each bank has its own name, such as ICBC's financial e-borrowing, GF's Caizhijin, Ping An's reserve fund, CITIC's new express line and Yuanmengjin!
The credit card reserve of the four major banks is usually called consumption installment, and can only be used by credit card consumption after application! The period generally does not exceed 24 periods and the amount is less than 300,000. However, the four major banks have the advantage of low interest rates. Take financial e-borrowing as an example. The minimum annualized rate is 4.35 and the average monthly interest rate is 2%. Of course, everyone's interest rate is different, it depends on your personal qualifications!
The reserve funds of other commercial banks are generally not more than 300,000, but what is particularly important is that the new express line of CITIC and the dream gold can add up to a total of 500,000. The difference is that the new express line can directly call the savings card you provide It is equivalent to a one-time loan. You don’t need to swipe your card to get him out. The repayment period can be up to 36 months. There are short-term installments of 3, 6, 12, 18, and 24 months. The interest rate is usually average monthly 4 Between centi and 1 cent, of course, according to the bank’s statement, it is not called interest but an installment procedure.
Having said that, how should the credit card reserve be used?Here I summarize the following points for everyone:
1. Credit card reserve funds are not available to everyone, and they have a time limit. Generally, the credit card will not be used if it is not used for three months. Please consult the bank customer service for the specific time!
2. The repayment method of the reserve fund is mostly equal principal and interest (the four major banks and CITIC have the interest first and then the principal, and China Everbright sometimes charges all the handling fees at one time when lending), that is, the principal and handling fees are repaid on a monthly basis. And the handling fee shows the monthly average interest, that is, no matter how many instalments are paid, the handling fee for each month is the initial loan amount multiplied by the monthly handling fee rate! (The reserve fund rate will also be discounted from time to time)
3. When applying for the lending method of the reserve fund, you must specifically ask the bank's requirements, whether it is issued to a savings card at a time or needs to be used in the form of credit card consumption!
4. Once the reserve fund is successfully applied for and the loan is released, the handling fee will be calculated regardless of whether it is used or not. The early repayment generally charges 3% of the remaining principal as a liquidated damage! Of course, there is no handling fee in the early stage.
5. The application and use of the reserve fund is indeed much easier than going to the bank to apply for a credit loan, and after using it, the bank will often give you a quota (provided that it is not overdue). It can be considered as a short-term working capital reserve. People in need are recommended to follow The actual situation of your own credit card locks the credit card reserve funds of two or three banks for "spare"!
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