What's the difference between billed installment and unbilled installment?

The difference between invoiced installment and unbilled installment lies in different installment time, different approval speed, different repayment methods and different interest calculation methods.

According to Cailadder.com's inquiry, the difference between invoiced installment and unbilled installment is as follows:

1. Different installment time: installment of issued bills means that users apply to the bank to repay the amount of issued bills in installments when credit card bills have been issued. Unbilled installment refers to the user's application to the bank to repay the unbilled amount in installments after consumption, but before the credit card bill is issued;

2. Different approval speed: In general, the approval speed of invoiced installments will be faster than that of non-invoiced installments, because banks have a certain understanding of users' repayment ability and credit status when they have invoiced. However, the installment application without bill needs to consider the user's quota and repayment ability, which requires a relatively complete approval process and takes a long time;

3. Different repayment methods: The repayment method of issued bills by installments is equal principal and interest installments, and users need to repay once a month according to the agreed installment amount and number of installments until the installment amount is paid off. However, the repayment method of unpaid bills is generally the average capital installment, and users need to pay off the average capital monthly according to the agreed installment amount and number of installments, and gradually reduce the loan amount until it is paid off;

4. The calculation method of interest is different: the interest is calculated according to the installment amount, term and interest rate combination for invoiced installments, and the interest is recalculated after each repayment. However, the interest on outstanding periods is mainly determined by the benchmark interest rate and the number of periods. According to the average allocation of funds, there will be no interest fluctuation due to the change of monthly repayment amount. The difference between transaction installment and bill installment;

1. Different consumption time: the transaction installment is to allocate the consumption amount to several months for repayment after the user completes the consumption. Bill installment is to apply for installment repayment of the consumption amount in the credit card bill when the amount owed by the user appears;

2. Different repayment periods: Generally, transactions are divided into three months, six months, 12 months or more, and the repayment period is short. However, the installment period of bills is generally long, which can be divided into more than 6 months or even more than 1 year;

3. The handling fee and interest rate are different: installment trading will charge a certain handling fee, but the interest rate is relatively low. The general interest rate is based on a few thousandths plus a certain handling fee. The interest rate of bill installment is relatively high, generally based on dozens of interest rates plus a certain handling fee;

4. The subsequent modification conditions are different: the transaction installment cannot be modified after one confirmation, that is, the user cannot change it again after selecting the installment number and repayment method. The installment of bills can be partially repaid in advance, extended or ended in advance within the installment period.