(Yicai Global) March 4 -- China's banks and fintech companies have seen a big drop in transactions as people stay in during the novel coronavirus outbreak, forcing them to look for partners in the catering, auto and other sector to encourage online credit card use.

The volume of credit card activity began to plummet in late January and did not pick up until late February, 21st Century Business Herald reported, citing an insider at a bank. The lender's January-February credit card report was so bad that it had to change its placement plan, another person said.

China Lianhe Credit Rating said that the novel coronavirus epidemic has had a great impact on the recovery of some industries and regions, slimming or even cutting off repayment sources of credit card defaulters.

Major banks have extended their mortgage and credit card repayment periods, and have extended credit protection to users affected by the epidemic. Their credit card departments are also working with the catering, auto, e-commerce and other sectors to support a return to work and promote online credit card operations.

The catering sector has not yet resumed full table service, so China Merchants Bank Credit Card has opened a portal for food delivery from Luckin Coffee, Haidilao, and KFC on its app. More than 1,000 merchants have joined the card's pre-sale platform.

At the end of last month, Citic Bank Credit Card launched seven major online platform services covering transport, online education, fitness and sports, fresh food delivery, online shopping, audio and video entertainment, as well as online celebrity catering.

"Amid the epidemic, 'avoid gatherings' may well become a trend," Dong Ximiao, a distinguished researcher at the National Institution for Finance & Development, said yesterday. "Non-contact banks, once created, will not disappear as the outbreak subsides, but may continue to exist and even expand."

Improving digital credit card operations and non-contact services is also a trend, Dong added.