It will not work.

For example:
1st month, (10000-50)*8.88%/12= 73.63 (interest)
2nd month, (9950+73.63-50)*8.88%/12= 73.80 (interest)
3rd month, (9973.63+73.80-50)*8.88%/12= 73.98 (interest)

Therefore:
1st month, 73.63-50= 23.63 (net interest)
2nd month, 73.8-50= 23.8 (net interest)
3rd month, 73.98-50= 23.98 (net interest)

The interest will keep increasing because the it is adding to the principal amount of 10K.
This is so called Compound interest, which mean interest on interest charged.


But, taking into consideration of treat point
Monthly earn 1k x 5 = 5000 equivalent to RM 25

Actually in first few month you will get surplus/gain, but you will get lose after that due to the compounding interest.

Above calculation, you have to make sure monthly spent of RM 1000 is entitled for 5% cash back and 5x point.

This post has been edited by zenhai88: Jul 27 2012, 06:04 PM