What are the consequences of malicious credit card overdraft behavior? What should I do if I still can’t?

Speaking of credit cards, I believe everyone knows that using credit cards is very common nowadays. However, some people engage in illegal behavior when using credit cards, such as maliciously overdrafting their credit cards.

What are the consequences of malicious credit card overdraft?

1. Credit card late fees.

The so-called credit card late payment fee min pay refers to the fee that the cardholder should pay to the card-issuing bank according to regulations when the cardholder fails to repay before the due payment date (inclusive) or the repayment amount is less than the minimum repayment amount.

Late interest. After a user uses a credit card to overdraft, there is generally an interest-free repayment period ranging from more than 20 days to more than 50 days.ofw quick cash loan online That is, as long as the cardholder does not pay off all overdraft fees within the specified period, the cardholder’s last month’s All fees no longer enjoy the bank's interest-free treatment, and the recurring daily interest rate is as high as 50%, that is, the annual interest rate reaches 18%.

2. Bad credit record.

Credit card users who overdue repayments will be recorded in bad credit records, and the basic database of personal credit information has been networked nationwide. As long as an individual resident has handled loan business at a bank,debt consolidation applied for a credit card, or provided guarantee for others, then You can check your credit report at any domestic commercial bank.

3. Facing criminal proceedings.

If the user fails to repay the overdraft after 2 months, the bank will call the user to remind the user to repay. If the loan is not repaid, the bank will ask a lawyer to issue a lawyer's letter to the user. If the repayment is not made, the bank will report the case and be suspected of committing credit card fraud.

What should I do if I can’t pay my credit card overdraft?

1. Repay the minimum payment amount

Every bank will set a minimum repayment amount for credit card holders. As long as the cardholder can repay this minimum amount, the bank will neither charge late fees nor affect personal credit. Generally this minimum payment is 10% of the bill amount. That is to say, if you spent 10,000 yuan last month and don’t have enough money this month due to unemployment or other reasons, you only need to pay back more than 1,000 yuan. However, it should be noted that if you choose the minimum repayment amount, although you will not be charged a late fee, you will be charged an interest of 0.05% per day. This interest is also quite high, so it is best for borrowers to repay all their bills as soon as possible. Minimum payment amount.

2. Take the initiative to negotiate with the bank

If the cardholder cannot even pay 10% of the minimum repayment amount, then do not choose to run away, that is, change the address and mobile phone so that the bank cannot be contacted. This is the worst way to deal with it. You must know that from the day you apply for a credit card, your personal information and credit status will be recorded in the central bank's credit system. No matter where you go in the future, unless you never deal with banks in this life, you will no longer pay water, electricity and media under your real name. No more fees, no more buying mobile phone cards, handling landline calls, and other things that require real names, otherwise the bank will find you, and your credit record will be blackened. It will be difficult and even possible to get approval for bank loans and credit cards in the future. It will affect your future employment.

Once the minimum repayment amount cannot be paid, the best way is for the cardholder to immediately contact the card-issuing bank to explain his situation, saying that he does not owe the debt maliciously, but that he cannot pay it off immediately due to temporary changes in the economic situation. To apply for deferred repayment, generally speaking, as long as the cardholder takes the initiative to contact the bank, the bank will usually design a repayment method acceptable to both parties.

For example, defer the repayment of the outstanding amount for 1 to 2 months, discount the interest, or repay an amount acceptable to the cardholder every month. After all, once the cardholder cannot repay, the money will be considered a bad debt for the bank. Therefore, banks will be happy to save every cardholder who wants to repay but is temporarily unable to do so.