The China Banking and Insurance Regulatory Commission reminds the risk of credit card leasing: it is very easy to cause damage to the cardholder's funds and credit information

　　China News Service, September 22. According to the "China Banking and Insurance Regulatory Commission" WeChat public account on the 22nd, the China Banking and Insurance Regulatory Commission recently conducted a special inspection of credit cards and found that some cardholders rented out or lent credit cards under their names. The "Measures for the Administration of Bank Card Business" stipulates that "bank cards can only be used by the cardholders themselves, and cannot be rented or loaned", and it is very easy to cause damage to the cardholders' funds and credit information.

To this end, the Consumer Rights Protection Bureau of the China Banking and Insurance Regulatory Commission issued the sixth issue of risk warning in 2022.

The risks of credit card rental

One of the risks: falling into excessive overdraft and credit damage.

Cardholders renting or lending credit cards may lead to excessive consumption of credit cards and excessive overdraft of funds. Overdue credit cards due to inability to repay will not only generate huge interest, compound interest and liquidated damages, but also damage the cardholder's personal credit and affect cardholders. People apply for loans, and even trigger judicial proceedings.

In addition, there is also a risk of leakage of cardholders' personal information.

The second risk: causing illegal use of credit cards.

If the cardholder lends his personal credit card, if the borrower improperly uses the credit card limit for real estate, securities, funds, wealth management or non-consumption fields such as pawn, mortgage, production and operation, it will bring the cardholder a violation of credit card usage. Risks can easily lead to credit card issuers derating, restricting use, stopping use, and even being liable for breach of contract such as fines and penalty interest.

The third risk: burying hidden dangers of illegal and criminal activities.

Cardholders renting out or lending credit cards may be used by actual users or criminal gangs for illegal cash-out, money laundering, transfer of fraudulent funds, telecommunication network fraud and other illegal activities, and the lessor and lender may also bear corresponding legal responsibilities.

For example, according to the Opinions (2) of the Supreme People's Court, the Supreme People's Procuratorate and the Ministry of Public Security on Several Issues Concerning the Application of Law in Handling Criminal Cases such as Telecom Fraud renting credit cards to them and providing them with assistance such as payment and settlement” constitutes the crime of assisting cybercriminal activities.

Article 11 of the Interpretation of the Supreme People's Court and the Supreme People's Procuratorate on Several Issues Concerning the Application of Law in Criminal Cases of Illegal Utilization of Information Networks and Helping Information Network Crimes Selling or leasing other people's mobile phone cards, credit cards, bank accounts, and non-bank payment accounts" is determined as a subjective crime of knowing the circumstances.

The relevant provisions of the Criminal Law clearly stipulate the possession, use and management of credit cards. Improper use or illegal possession may very likely constitute the crime of credit card fraud and the crime of obstructing credit card management.

2. Correctly handle the use of credit cards

　　First, apply for a card on demand.

Consumers should apply for credit cards based on their own consumption habits, repayment ability and other daily actual needs, and avoid blindly or excessively applying for cards.

When handling credit card-related business, you must go through the bank's business outlets, official APP, online banking and other formal channels.

　　Second, hold the card in compliance.

It is necessary to cancel the long-term sleep card or useless card in time to avoid loss or annual fee, interest, liquidated damages, etc. caused by negligent management.

At the same time, pay attention to the security of the credit card, and do not easily disclose the personal financial information of the credit card such as the card number, password, and verification elements to others, and beware of being deceived or illegally used by others.

When personal information is found to be leaked or illegally violated, you should contact the card-issuing bank or report the case to the public security organ as soon as possible.

　　Third, use the card correctly.

Cardholders should use their credit cards scientifically and rationally according to their personal and family financial conditions.

It is necessary to adhere to the principle of "living within one's means", to prevent "paying for the grain" and excessive consumption, and even more to prevent the situation of "repaying the loan with a loan" and "supporting a card with a card" due to large debts.

At the same time, in daily use, you should fully understand the relevant regulations such as the date of generation of credit card bills, interest calculation, interest-free repayment period, installment payment, etc., to avoid adverse consequences such as overdue repayment.

(Zhongxin Finance)