The credit card has a long interest free period, which provides convenience for everyone to spend in advance. Therefore, it is well received by users, and the number of cardholders is increasing every day. However, some partners have the habit of prepayment, and do not want to reduce the amount. Is there a risk of reduction in prepayment? What are the reasons for the reduction of credit card. Let's see.
1、 It's not profitable. As we all know, credit cards support installment, but some small partners will prepay when they have funds. Originally, banks make money by instalments, but if you pay in advance, they will get less profits, and they may think that you don't need such a high limit, which will reduce your credit card limit.
2、 There is suspicion of cash out. Prepayment is OK, but some cardholders, in order to cash out, want to make the bank think that you have good repayment ability. The cardholder wants to withdraw the money that has been paid back after the bill date. Once this kind of practice is more, the bank finds that it will directly reduce the amount and seal the card.
3、 Their own reasons. There is no big problem with prepayment, but if the cardholder uses the card illegally, your credit score may be lowered, and then the credit card limit will be greatly affected. When your comprehensive score is low and you have the behavior of prepayment, the probability of the amount of decline in this situation is relatively large.
From the above, we can see that credit card prepayment will not be reduced, but there are other behaviors that will have an impact. In fact, when we use a credit card, we can make repayment on time. There is no need to pay in advance. If we are worried about forgetting, cardholders can set labels to remind themselves.