Can social security be used for loans?

Conclusion: The social security card itself cannot be used directly as collateral for a loan or to prove repayment ability. Lenders usually require loan applicants to provide more comprehensive financial proof, such as proof of employment, proof of income, ID cards and bank streams, to assess their repayment ability. The exception is that some banks, such as China Merchants Bank, offer "Social Security Consumer Loans" for customers who have paid social security for more than one year, which can be used for a wide range of living expenses, with a high and revolving credit limit. However, even so, the main role of the social security card in the loan application is to serve as a proof of identity, to assist in proving the individual's social security status.

Specifically, although the social security card has a wide range of functions, such as real-time settlement of medical insurance, pension insurance processing, job-seeking and unemployment registration, etc., it cannot be directly used for loan approval. If a loan is required, an individual must provide complete credit references to ensure that the lending institution has a full understanding of and confidence in the borrower's financial situation. For applicants who want to take out a loan through a social security card, they should be clear about their needs and prepare complete loan documentation to increase the likelihood of a successful application.