Seems like now the talk of town is the RM50 service tax next year.

Assuming you are cutting all other cards and only able to keep ONE card, which card you'll keep?

Let's see which bank credit card is the least likely to be cut and which is most likely.



This post has been edited by barra: Dec 16 2009, 12:36 AM

Mod, can we put this up as sticky?

At least till next year June? This poll will be very useful to see which bank credit card that most people intend to keep.

Besides, I'm having a feeling that only International banks like Citibank or HSBC stand a chance to survive this, but we'll see.

You're right, Oh well, too late for that now, I just got the MOD to change the topic for me and don't want to reset the poll again.

Anyway, I think the poll looks good and the title is accurate as you're only allowed to vote once and hence your vote here reflects only one credit card that you're keeping.

We shall see

Well it looks certain. This is what I found from public bank and HSBC bank site:

From Public Bank
https://www.pbebank.com/en/en_content/perso...ards/index.html

Special Announcement

Persuant to the 2010 Budget announcement on the RM 50 and RM 25 service tax to be levied on each principal and supplementary credit card respectively, please be advised that:

1. Imposition of the service tax will only be effective 1 January 2010. Kindly retain your card while we await further guidelines from the relevant authorities.

2. Further communication will be made to our credit cardmembers accordingly once guidelines from the relevant authorities is made available

3. Meanwhile, do continue to enjoy the benefits, privileges and peace of mind that PB Credit Card has to offer:
* Attractive discounts and unlimited cash rebates and reward points for retail purchase
* Flexible installment payment plan
* Balance transfer at low rates from 1.5%
* Exciting year-round promotions and contests with attractive prizes and much more!


From HSBC Bank
http://www.hsbc.com.my/1/2/personal-banking/credit-cards

The recent 2010 Budget announcement on the imposition of a service tax of RM50 and RM25 for each principal and a supplementary credit card respectively has caused much uncertainty amongst credit cardholders in Malaysia. This has led to certain credit cardholders deciding to cancel their credit cards.

Before you decide on your next course of action, you may wish to retain your HSBC credit card for the following reasons:

a) the service tax is only effective from 1 January 2010, hence, there is no need to rush into a decision now;
b) we are currently awaiting further clarification and guidance from the relevant authorities. Once we have a better understanding on the impact of the service tax, we will send a communication to advise all our valued credit cardholders accordingly; and
c) you can continue to enjoy our year-round SmartPrivileges, attractive rewards and conveniences as a HSBC credit cardholder :
- Exciting offers & privileges at more than 5000 merchant outlets from dining, shopping, travels, health & beauty
- Balance Transfer with low rates
- Flexible zero-interest payment plan
- Upto 50% discounts from the best restaurants in Malaysia
- 3X Reward Points when shop at Mid Valley Megamall, Gardens and Gurney Plaza

Yes, there is a Maybank Petronas card. CIMB and Maybank working together with Petronas. CIMB is Petronas MasterCard and Maybank is Petronas Visa card. It was launched together back in Jan 2008.

Recently they have both launched the Petronas Card Islamic version. Both CIMB and Maybank launch together as well.

Anyway, when I was compiling the poll, for some reason I left out Standard Charted bank. Somehow it just slipped my mind.....or EON bank for that matter.

For those who wish to vote EON bank, Standard Chartered or other bank (Mualamat, anyone?) please vote "OTHERS".

Yeah actually now that you mentioned it, it didn't register at first.

What I'm surprised is Citibank not doing well here. I thought Citibank has the largest credit card base in Malaysia?

Come on, no Citibank user here ah?

---

Added on December 15, 2009, 4:27 pmThat's a valid point. I didn't look at it from your point of view.

Previously, waive annual fee is easy to do cause it's "paper money" being waived, as in, they don't actually have to pay any one the annual fee.

But if they absorb the Service Tax, then it's no longer paper money now cause they actually have to pay something to the government.

The funny part is when they don't waive/absorb the RM50 service tax, then these banks now become a tax-collecting arm for the government, free service summore... ha!

This post has been edited by barra: Dec 15 2009, 04:27 PM

Well well well, look what I found.... already MBF is stepping forward and claim to negate what the gvt trying to do. Let's see if BNM take action against MBF, declaring subsidy for the RM50 service tax even before the government came out with a concrete policy.

I think mbb cards are strong because of 2 cards

PETRONAS and Amex Gold. 5x Points for Petronas and 9% p.a. for Amex Gold.
Both cards are targeted at day to day usage market (PETRONAS for obvious reason, Amex gold cos of 5x MR points on petrol, groceries, phone bills...etc.).

Yes, CIMB got PETRONAS too but for some reason, I think it's no where near MBB. my 2 cents.

Citibank Shell and Giant Card is similar but I think the poll shows that people are not keeping it mainly due to lack of repayment branches/facilities, due to government restrictions on foreign bank expansion and what not.

RHB Tesco Card is clearly targeted to same segment, the day to day usage market, but come on, how many Tesco outlets are there compare to PETRONAS kiosks. Plus, the fact remains that RHB was and never is a strong player in the c.c. market.

What is surprising is HSBC, even with the lack of co-brand card (petronas, shell, MTV, Man U,...etc) they are still doing strong. As seen by the poll people actually want to keep the HSBC card....

I see citibank is catching up in this poll. Why people keep citibank card is beyond my comprehension.

My experience with citibank is this :

Went oversea, due to strong US dollar at that time, I blew my limit (RM4000) and as soon as i landed in Malaysia, seriously, the first person to greet me while the plane was taxi-ing, was citibank calling me demanding me to pay the minimum payment and excess credit I used up. I was only oversea for 4 days!

Even my mum don't call me that soon. The best part is they called me the second time while I was queueing at the immagration! Even after I told them I just landed at KLIA barely an hour! Persistent, legalized loan shark!

Nuff said. Immediately cancalled the damn card and got another card with double the limit, till today, still holding this card. Limit increased multiple times too of course.

This post has been edited by barra: Dec 18 2009, 04:13 AM

Ah, I see you prefer Rebate card

Anyway, true to prediction, the International bank is catching up (read: HSBC)

what if it is branded? That's just marketing talking to you.

I had the Clear card too. Went to States tried to rent a car but didn't go through, had to call the CS and they told me I shouldve informed Citibank in Malaysia first before using it in the states.

You need to understand that it's the "payment facility/gateway" that is recognized worldwide, in this case, Visa/Mastercard. Not the bank! Banks are just piggy-backing on the payment mechanics.

BTW Citibank just shot from oblivion to number 2 in our poll results. And I was just wondering where were all the citibank card members' vote.

I know which card you'll be keeping then?

that's what all the bank are desperately doing right now. BT here, BT there, BT every where, all 0% for 6 to 12 months, they want to tie you in. They're strategy seems to be tying you up for the next 6 months so by the time your RM50 is due, you can't be bothered anymore.

Either BT or they're offering mouth-watering I.T. Gadgets or LCD TV deals via 0% easy payment plan.

Maybank even running a contest where they give away 50 iPhone. RM50 per entry into the contest. <<--- I'm so definitely going to fall for that ! I'm keeping my maybank card. Wait, I don't have a maybank card.



This post has been edited by barra: Dec 26 2009, 12:44 AM

Um, yes it seems to be the tactic, increase the limit.

No, they didn't increase your limit just to make you to spend more so that you get to redeem RM50 rebate.
I think the bank realized people tend to cut the card with the lower limit. Let me guess, you cut your lower limit card right?

Looking at the poll, I think we've got a pretty clear picture already as to which bank will be having a high attrition this coming months.

THe top tier banks (HSBC, Citibank, CIMB, Maybank) will not be affected much. Only the second tier bank where the rewards program aren't that strong throughout are going to suffer a high attrition rate.

Okie dokie, I'm cutting my card then, first to go, PUBLIC Bank. Absolutely hated their credit card.

Next up, HSBC, and I'll be plastic-free (gosh can't believe I'm saying this). Nowadays, flipping out a card is so common, it is when you flip a ward of cash that pops other people's eyes !

Guys, a bit off topic lah....

So, it's now 2010. Anyone here that kena charge the RM50 already?

I'm curious to know what will they put in the card statement, like, RM50 government tax?

It's confirmed here, HSBC is allowing rewards points to exchange for RM50 tax rebate.

SO this is it then, all other bank will be following suit. Isn't ironic that one has to spend more using card in order to offset the goment introduction of this scheme to curb rising card debt.