What do you mean by insufficient credit card overdraft limit?

Can I swipe my card over the limit? Can I use a credit card without limit?

Credit cards can be swiped over the limit, but different banks have different regulations on credit cards. For example, Minsheng Bank stipulates that credit card excess requires the cardholder to actively open the over-limit function, and Bank of Communications stipulates that credit cards can only be swiped within the available limit, but not beyond the limit. Other banks don't stipulate whether the cardholder needs to open the credit card overrun function, but allow the cardholder to swipe the card overrun, which is generally limited to 10%, and charge a certain credit card overrun fee.

Can I use my credit card to exceed the limit?

Nowadays, the use of credit cards is becoming more and more common. Many people in life will use credit cards to shop, and when the quota is not enough, there will be excessive brushing. Under normal circumstances, the bank will allow the appropriate limit to exceed the limit, and the general range will be controlled at about 5% 10% of the original limit.

However, if the cardholder overdraws, some banks will charge a certain excess fee, generally 5% of the excess amount, and will charge it monthly until the cardholder pays off the debt, so overdraft is not cost-effective. Therefore, it is not recommended to exceed the limit frequently. If the limit is not enough, you can call the banking hotline to apply for a temporary limit or increase the fixed limit.

How much can a credit card exceed?

According to the regulations, how much a credit card can exceed the limit depends on the cardholder's comprehensive use of the card. The overrun ratio of gold card and ordinary card is 10% of the current credit limit, and the overrun ratio of platinum card or above is 5% of the current credit limit (if it is in the temporary adjustment period at the same time, it will be calculated according to the temporary adjustment limit).

1. What is credit card excess?

Credit card excess means that the accumulated credit limit used by the cardholder in a billing cycle exceeds the credit limit actually approved by the card on the billing date.

For example, your credit card limit is 5,000 yuan, but you swiped 6,000 yuan in the bill in May, and the extra 1000 yuan exceeded your credit card limit, which is what we call excess.

Second, can credit cards be overdrawn?

Banks have different regulations on excessive credit card swiping, as follows:

1. The bank stipulates that if the credit card exceeds the limit, the cardholder should take the initiative to open the over-limit function, such as Minsheng Bank.

2. The bank stipulates that credit cards can only be used within the available limit, and cannot be used excessively, such as Bank of Communications.

3. The bank does not stipulate whether the cardholder needs to open the credit card overrun function, but allows the cardholder to swipe the card overrun and charge a certain credit card overrun fee, such as Guangfa Bank. Generally, the excess credit card is limited to 10%.

Whether it can be overused depends on which bank your credit card belongs to.

3. Do you charge interest for the excess?

If the cardholder swipes the card in excess, the bank will charge a certain excess fee, generally 5% of the excess amount, which will be charged monthly until the cardholder pays off the debt.

For example, your credit card limit is 5,000 yuan, but you spent 6,000 yuan on the bill in May. The extra 1 0,000 yuan exceeds your credit card limit, and the bank will charge 1 0,000 yuan 5%=50 yuan's excess fee. So overdraft is not cost-effective. If the cardholder is worried about exceeding the limit without knowing it, he can take the initiative to call the bank's credit card customer service hotline to cancel the excess amount. There are also banks that can choose whether to open the over-limit service when applying for a credit card. If they don't need it from the beginning, they can choose not to exceed the limit when applying.

If the credit card limit is not enough, the cardholder can apply to the bank for a temporary limit in advance, which can generally reach 30% of the credit limit. Maybe higher. The temporary quota requires the cardholder to call the bank's credit card customer service to apply, and the bank can only get the temporary quota after it is approved. Sometimes the bank will call or send an invitation message to open a temporary quota. The temporary quota is valid for a certain period of time, and will be automatically restored to the original quota after the expiration. After the temporary line expires, the used temporary line (exceeding the fixed line) does not enjoy the convenience of revolving credit, and will be included in the minimum repayment amount of the latest bill, which must be paid off in one lump sum on the due repayment date. If you want to use a credit card after the temporary limit is used up, you can only deposit money in it and then swipe your card.

4. Will credit card excess affect personal credit?

Credit card overdraft will not affect personal credit, as long as you pay the minimum amount of each bill. However, if the repayment is not made in time before the due repayment date, late fees and interest will be charged, and personal credit will also be affected.

So I suggest that when you use your card, you should find out whether your credit card can be overdrawn. Before you swipe your card, you should know the available limit of your credit card and try not to exceed it. After all, the excess cost is not low. If you know in advance that you want to exceed it, apply for a temporary limit first, or swipe your card more to try to increase the limit.

Can the Bank of Communications credit card be overdrawn? Can't an ordinary credit card exceed 10%?

Yes, at present, the credit card limit of Bank of Communications is 65438+ 00% of the available limit, and the excess consumption needs to pay an excess fee, and the interest on the excess part needs to pay five ten thousandths every day.

Excessive consumption will also have a negative impact on credit records. The cardholder who incurred the overrun fee for the first time can communicate with the bank in time and apply for canceling the overrun fee.

After general holidays, it becomes the peak of over-limit fees. The credit line temporarily increased by the bank is generally valid for 45 days, and will be automatically restored to the credit line before adjustment after the expiration of the validity period. After the expiration, if the arrears are not controlled below the original credit limit in time, the cardholder will pay the "overrun fee".

Extended data

At present, only China Merchants Bank does not specifically charge the overrun fee, and other banks have this setting. Some banks have also set the minimum charge standard 10 yuan or 20 yuan.

When the cardholder's monthly repayment amount is equal to or higher than the minimum repayment amount of the current bill before the due repayment date of the current bill, but lower than the current repayment amount, the remaining deferred repayment amount is the revolving credit balance. If most bank cardholders choose to use revolving credit, they will not enjoy the current interest-free repayment period.

If the minimum repayment amount is not paid before the due repayment date (inclusive), the overdraft interest of the money used from the bookkeeping date to the repayment date shall be paid, and the overdue fine shall be paid according to a certain proportion of the minimum repayment amount. The proportion is 5% of the unpaid part of the minimum repayment amount.

Baidu Encyclopedia-Credit card pays a penny less and charges interest. The highest late payment fee is 30 yuan.

What happens when the credit card is overdrawn?

1. If the cardholder overdraws, the bank will charge a certain excess fee, generally 5% of the excess amount, which will be charged monthly until the cardholder pays off the debt. That is to say, if your credit card limit is 10000 yuan, but you always spend 12300 yuan when you overdraw, then you spend 1000 yuan more, and the bank will charge (23005%)1/5 yuan for this part.

2. Under normal circumstances, the bank will allow the appropriate limit to exceed the limit, and the general range will be controlled at about 5%- 10% of the original limit. If it is used in excess, the excess part needs to be paid in one lump sum in the next period, and it cannot be paid in installments. As long as the repayment is made on time, it will not affect your credit history or anything else, and of course it is not recommended to exceed the limit frequently. If the quota is not enough, you can call the banking service hotline to apply for increasing the temporary quota or fixed quota.

Extended data:

Consequences of overdue credit cards

1. The liquidated damages are generally the minimum repayment amount, that is, 5% of the unpaid part.

2, the interest rate is high, and it is rolling interest. When there are many debts, the interest rate is scary.

3. Overdue will tarnish the credit record, resulting in the inability to handle financial needs such as buying a house and lending in the next two years.

4. The overdue payment is more than 3 months, and the amount exceeds 1 000 yuan, and the bank has repeatedly failed to make dunning. At that time, you will not only pay back the money, but also bear criminal responsibility.

This is the end of the introduction about whether credit cards can be overdrawn and what it means to have insufficient credit card overdraft limit. I wonder if you have found the information you need?