The bank will eventually waived or absorb these charges in order to retained the cardholders especially those prompt payees. But those whom prefer to drag and pay the min, don't expect the banks to waived these service tax RM50 for principal and RM25 for supplementary card respectively.

In addition, if the banks are not allow to waived these service tax of cards, the banks will or may even resort to providing higher shopping or fuel vouchers to cardholders and maybe alternatively, they can also provide/compensate with additional reward points. But then again, the how many cardholders actually redeem those points on yearly basis with the exception of those high spenders. By doing they are still abiding by the Goverment directives and should be able to get away with this. However, i would think only a small percentage whom will need to pay and they are tied to the banks. But majority will get away with paying these service tax of the cards hold.

I'd personally think this service tax imposed may not reduce the unnecessary spending or even encourage prudent spending as there'll be leeway for cardmembers to get away from paying this as the banks will always have alternative solution unless, the Goverment with Bank Negara, introduce a guideline to prohibit banks on waiving the service tax thru whatsoever innovative methods. An example, new cardholders of StandChart Platinum do not need to pay annual fees and are even provided with RM100 credit upon successful approval. So what is RM50 service tax charge.

Eugenet,

Still got ppl like u kind enuff to finance yr company biz expense via yr own CC? U need to tell yr company to provide Corp Card with Central Bill and Central Pay, then u dun need to use yr CC lor. I'm using AMEX Corp Card for all biz expense...........

RM50 is firm, not waiver or anythin such as more treatpoint etc that kind of thing from banks. Da only qeustion is, charge at anniversary or on Jan every? May likely on the anniversary.