What is the difference between applying for instalments and direct minimum monthly payments?

First of all, you have to understand two concepts, the premise of installment payment is that you buy a certain or a certain installment of goods before you get it, and the minimum repayment is that as long as you use a credit card to shop, whether it is installment or not, you have to repay within a certain period of time. Secondly, installment payment is generally fixed, for example, if you buy a mobile phone with a credit card, use installment payment, the mobile phone is worth RMB2400, and you pay in installments for 1 year, then every month, the merchant will deduct 200 yuan from your credit card. In other words, you need to repay 200 yuan to the bank every month.

The minimum repayment amount is for example, if you swipe the card to buy a mobile phone this month and pay 2400 at once, then you need to repay 2400 yuan to the bank before the interest-free repayment period this month, but if you are very tight in hand, and you don't want to affect your personal credit and bear penalty interest because of arrears in bank payments, then you need to repay at least part of it before the repayment period, this is the so-called minimum repayment, the minimum repayment amount of each bank credit card is not necessarily the same, generally speaking, it is about 10, that is, If the minimum repayment rate is 10, you need to repay at least $240 to the bank before the settlement date of the month. The last two formulas, you just need to memorize the installment amount The value of the goods The installment period The minimum repayment amount The total amount owed by the cardholder for the month The minimum repayment rate.

5000 yuan. In 10 installments. $500 per installment.

Plus the rate. Approximately 530 per issue(I'm assuming a $30 rate).

You will pay an extra 300 yuan for 10 installments. 5000 yuan, 500 in the first monthAnd 4500

Not returned. After the interest-free period, the interest will be calculated at 5/10,000 per day. $ per day.

One month. The second month also 500The bank will reduce the interest rate first.

Again reduce the principal dollar. It's meta. After that, there will be interest days.

61 yuan a month. 4067+61=4128.In the third month, 500 will be repaid

Pay the interest 61 firstThen 4128-(500-61) = 3689You paid back 1,500 yuan in 3 months.

But still owes the bank 3689Originally, Yingai 3500, right. Fall 189 interest.

And the installment is only 300What about the next 8 months? Although the principal has been repaid a lot each time.

However, you should not ignore the power of the roll. The bank has made a lot of money from this in a year! I'm just paying interest on a monthly basis.

Banks are added up on a daily basis. Tomorrow will not be the same as the following accounts. Think about it.

10 months down. Definitely more than 300. 4128 The handling fee is different depending on the number of instalments.

Depending on the credit card you choose, the rates applied will vary. The installment rate I assume is a common standard. Therefore, choosing the right installment repayment method is still useful to save money.

Installment repayment is more cost-effective.

In response to this dilemma, let's make a comparison. Let's get a visual idea by comparing the numbers:

1. Comparison of repayment amount: The minimum repayment amount only needs to repay 1 10 of the repayment amount this month, which is 1000 to repay 100, and the amount is low. I have handled installment repayment, 1000 points for 3 months, naturally more than 300 per month. That's it.

2. Comparison of repayment cycles: the minimum repayment, and the remaining part of the repayment date is before the next month's bill date. Plus some interest paid off in full. Installment payment is a fixed monthly payment, plus a little handling fee, with no interest. However, there is a characteristic of long cycles.

3. Interest comparison: The minimum repayment interest is the total repayment amount according to the interest rate of 5 10,000 per day, in the way of "rolling interest", the interest can be short-term, long-term, and the minimum repayment is continuously used for a year, and the interest generated is amazing. If you have enough money, you may not be able to repay it in any month, and the handling fee will not add up to a high amount, so let's take an example.

1000 yuan, with the minimum repayment amount, 20 interest in the next month, and 12 expenses in installments. However, if the staging is used for 3 months, 12*3=36. These 36 are determined to be paid from the day you do it.

Even if it is still on in the middle, it will be paid according to these months.

Extended information: A credit card can be repaid in advance in a lump sum after the installment is processed. For early repayment, cardholders can apply to the bank, and after the application is approved, the entire installment amount and handling fee can be repaid in one go.

However, early repayment will generally not refund the installment handling fee that has been charged, and in addition, you need to pay a certain amount of liquidated damages, and the specific rate is subject to the amount announced by the bank. Credit card installment refers to the process in which the bank pays the merchant a one-time payment for the goods (or services) purchased by the cardholder when the cardholder uses the credit card to make a large purchase, and then allows the cardholder to repay the loan to the bank in installments and pay the handling fee. According to the cardholder's application, the bank will deduct the consumption funds and handling fees through the cardholder's credit card account in installments, and the cardholder will repay the monthly credited amount.

Which is the best choice between the minimum repayment amount and the installment depends on the specific situation:

1. For the arrears that are large and cannot be paid off at one time for a long time, in order to prevent the rolling of profits, the cost of installment repayment is relatively low.

2. For those with a small amount, the consumption accounting date is very close to the last repayment date, and can be repaid in a short period of time, it is more cost-effective to choose the minimum repayment amount.

Civil entities engaging in civil activities must not violate the law or violate public order and good customs.

Legal basis. Civil Code of the People's Republic of China

Article 8. Civil entities engaging in civil activities must not violate the law or violate public order and good customs.

Credit card minimum payments and installment payments are two ways to extend your repayment period.

1. Bill installment is a repayment method that agrees on the repayment period and fee in advance: the minimum repayment period is indefinite, and you can control the use time by yourself, and the interest will be charged on a daily basis and compounded on a monthly basis.

2. The minimum repayment amount of the credit card cannot be set by yourself, it refers to the minimum amount to be repaid by the credit card every month, which will be displayed on the credit card bill in the current month. Credit card minimum repayment = 10% of all general transactions in the credit card account + 100% of all outstanding installment transactions in the account + 100% of the outstanding amount of the previous minimum payment + 100% of the total amount used in excess of the credit limit of the account + 100% fee + 100% interest. If you can't pay it off in one lump sum, you can repay the minimum repayment amount on time before the last payment date, which will not affect your personal credit, but you will not be able to enjoy the interest-free repayment period, and interest will be charged on all purchases in the current period from the billing date, with an interest rate of 5/10,000 per day.

Repay the loan in full and on time, and you can enjoy an interest-free period for credit card purchases). The bill installment rate is 0%, and the actual rate is subject to the evaluation of the order system applied. Handling fee for each installment = total principal amount of installments * handling fee rate for each installment of the corresponding period.

Take Huabei as an example.

The difference between minimum repayment and installment is mainly in the following:

1.Fees are charged differently:

Huabei does not charge a handling fee for the minimum repayment, but calculates the revolving interest from the day after the due repayment date, and the daily interest rate is calculated and included in the next month's bill until the user pays it off in full.

In the case of Huabei installment, there is no interest, but a certain handling fee will be charged (the handling fee rate will be different for different installment periods, and the specific rate shall be subject to the page difference display).

2.The calculated amount is different:

If you choose Huabei minimum repayment, the repayment amount = 10% of the outstanding transaction principal (the new unpaid consumption principal in the current period + the part of the principal transferred out of the previous month's minimum repayment revolving - transferred out in installments - refunded) + 100% of the transaction installment amount + 100% of the bill installment amount + 100% of the deferred repayment amount + 100% of the fees (including handling fees) + 100% of the remaining outstanding historical bills + 100% interest (including penalty interest).

If you choose Huabei installment, the remaining amount of the general account amount excluding the overdue fee, the minimum repayment revolving interest, the installment handling fee and the installment principal can be used as the installment amount (the installment amount must be greater than 10 yuan).

The difference between an instalment payment and a minimum payment is mainly in the fees paid.

Instalment repayment is charged with an instalment fee, and interest is charged for minimum repayment.

There are two types of instalment repayment: bill installment and consumption installment, and there is only one minimum repayment.

Compound interest will be charged on a monthly basis for minimum repayments, and no compound interest will be charged for instalment repayments.

If the capital turnover time is long, you can choose to repay in installments, and if the time is not long, you can choose the minimum repayment.

Therefore, there are advantages and disadvantages of installment repayment and minimum payment, and since it is not a full payment, users need to pay additional fees.

If the online loan itself is non-compliant, then this type of online loan overdue will have no impact on your personal credit status, but the online loan record will remain in the online loan big data. Search: Xiaoqi Xincha, check your online loan history, online loan overdue details, debt arrears, untrustworthy information, online loan blacklist and other information.

Extended Information: Do you want to apply for credit in installments?

to installment on the credit report.

Installment is a pure credit installment loan issued by the Alipay platform, and when applying for installment, its loan records, overdue records, and repayment records will be uploaded to the central bank's credit system.

Therefore, users should pay attention to maintaining a good repayment record when using the installment loan, so as to avoid the adverse impact of the loan overdue on their credit information.

At the same time, the platform will call the user every day to collect the payment, and even call the user's emergency contact to collect the payment, which will affect the user's daily life.

In addition, it will also generate high penalty interest, which will increase the financial burden of users.

In addition, overdue will also lead to a decrease in the user's sesame credit score, affecting the user's use of various rights and interests on Alipay.

Of course, when the user uses it to installment, after the good borrowing and repayment record is uploaded, it will not affect the user's personal credit, on the contrary, it can accumulate personal credit for the user, and it can play a certain positive role in the user's future handling of relevant credit business.

With a minimum repayment, the user needs to pay interest; Although you do not need to pay interest for installment repayment, you need to pay a handling fee on a regular basis. The choice between minimum repayment and installment repayment depends on the amount owed by the user. If the amount owed is large, you can choose to repay the loan in installments; The amount owed is small and can be repaid in a short period of time, and you can choose the minimum payment.

Further information: The minimum repayment amount refers to the fact that if the cardholder has difficulty in repaying all the amounts payable before the due repayment date (inclusive), the cardholder can repay the loan according to the minimum repayment amount stipulated by the card issuer, but cannot enjoy the interest-free repayment period, and the minimum repayment amount is 10% of the amount of the chain fee plus other types of payables. The minimum payment amount is shown on the current bill.

For cardholders, the setting of the minimum repayment amount of a credit card can ensure that personal credit is not limited by the ability to repay to a certain extent. When you overspend your credit card and the repayment amount is beyond your repayment range, you can choose to make the minimum payment so that it will not affect your personal credit. However, it is important to know that this means that you will no longer be able to enjoy the interest-free period.

At present, some banks use a minimum repayment rate of 10% for cash advances.

The "minimum payment" is repaid before the due date, and the interest will be calculated. However, it will not affect the credit of the individual.

There is no minimum repayment for cash advances.

Once you've spent your credit card, you'll receive a statement from your bank when it's time to make a statement. There are two amounts that we need to note. One is the current repayment amount and the other is the minimum payment amount.

Amortization – This means that there will be multiple repayments, and the principal and interest repaid are spread over each instalment.

When the customer is unable to repay the credit card overdraft amount at once, the bank's installment repayment business is launched in order to avoid penalty interest according to the full consumption limit.

Compared with the installment business, the installment repayment is different in terms of application procedures and application scope. For example, if Xiao Li wants to use the installment business to buy a mobile phone, then he should go to a store that cooperates with credit cards. The installment repayment business does not need to specify the consumption place and consumption category, if the customer realizes that he cannot repay the full amount on time after swiping the card, he can call ** to apply.

However, it should be noted that the handling fee for instalment repayment is higher, which is generally higher than the interest rate of commercial loans in the same period.

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