According to the data released by the central bank on September 6, 2021, as of the end of June this year, the number of bank accounts opened in China reached 7,919. 50,000 households, while the number of bank cards reached 91. 1 billion. Among them, the number of credit cards and lending cards is 7. 9 billion. Obviously, from the number of accounts and the number of bank cards, our people like to save money.
Of course, it must be said that everyone applies for bank cards not only to save money, but also to achieve the purpose of “advanced consumption”. Because the credit card in the bank card can support people to make overdraft consumption within a certain amount. As long as you repay within the stipulated date, no additional interest will be incurred. Therefore, using a credit card is more cost-effective than borrowing.
Also according to the news released by the central bank, as of the end of the second quarter of this year, the total amount of credit for bank cards in China was about 20. 23 trillion yuan, while the average credit limit for bank cards reached 2.560,000 yuan. It can be seen that the credit limit of credit cards is still relatively high, which can enable many people to solve their urgent needs.
Bank people always chase you to apply for credit cards, and even give gifts?
However, it is puzzling that many banks will now vigorously promote bank cards to customers. Moreover, some bank staff will also go to crowded places such as streets or neighborhoods to promote. Even, in order to let people apply for credit cards, banks will give some small gifts, or cooperate with some Internet platforms to provide users with benefits such as red envelopes and discounts. It has to be said that banks really use many methods to promote credit cards.
For this situation, many people are very puzzled. After all, applying for credit cards is free. If you also give gifts and benefits, the bank will lose money. And everyone will not incur excessive fees when using credit cards. As long as you can pay back the cost of overdraft consumption on time, there is no need to pay other excess fees.
It can be said that the bank does not seem to get any benefits by asking everyone to apply for credit cards. Instead, they have to pay gifts and a lot of marketing costs, and they have to pay more Client Servers.
Bank staff revealed the truth
However, in response to the above views, the staff of a bank in China said that in fact, everyone’s thinking is not correct. After all, banks are not stupid, and they will not do business at a loss. She explained that in fact, many banks are promoting credit cards vigorously now, in order to make money.
Because users use credit cards, if they cannot pay back the money on time, they will have to pay a lot of interest. And the longer the user defaults, the more interest. In addition, users also have to pay extra fees such as late fees and overdue fees. Therefore, banks make more money by charging overdue fees to these people, which is much higher than the profit of borrowing.
It is understood that as of the end of the first half of 2021, the credit balance payable by bank cards in China has reached 8. 18 trillion yuan, while the total amount of credit outstanding for half a year overdue on credit cards has reached 818. 400 million yuan. It can be seen that there are many people who use credit cards to overdue now, and I believe banks can get a lot of benefits.
Of course, in addition to charging overdue fees, banks have other sources of profit through credit cards. Because if you want to use credit cards to overdraw and withdraw money, you have to pay a handling fee. In addition, some banks have also opened membership services, allowing people who apply for membership to make several deferred repayments.
In short, banks use credit cards to make profits, and it is not as unprofitable as everyone thinks. In addition, the bank staff added that in addition to making money, the bank allows people to apply for credit cards simply to attract more depositors. Because when applying for credit cards, many customers will also apply for savings cards and bind them to credit cards to facilitate future debits from the depositor card.
In this way, the bank not only increases customers, but also completes the work of “collecting deposits”, which can be said to be multi-purpose. Therefore, it is not difficult to understand why many banks are “chasing” people to apply for credit cards.
It is worth mentioning that, similar to banks, some Internet financial platforms now invite people to open similar functions, allowing them to make overdraft consumption first when spending through the Internet, and then automatically repay on a fixed date every month without additional interest. Moreover, in order to allow people to open this function, many platforms will also give a lot of benefits, such as 15 yuan red envelopes for the first time.
In fact, the purpose of Internet financial platforms doing this is nothing more than to attract more users and achieve the purpose of making money. After all, on the Internet financial platform, if it is overdue, it will generate a lot of interest, which is “the same as a bank credit card”.
Therefore, it is necessary to remind everyone that it is best for us to do what we can when spending. If we do not have enough repayment ability, it is best not to spend in advance, so as not to develop bad consumption habits and affect our normal life. Of course, if you really need it, it is still possible to apply for a credit card or use some Internet financial platform related services. After all, it can indeed help people solve people’s temporary economic problems and save people from the trouble of borrowing money.
Do you often use the overdraft function of credit cards in your life? Do you think credit cards are really worth it? Please share your opinion.