Jun 05 2005
Credit Cards
Recently newspaper reported that over 1,800 people gone bankrupted because of credit card debt, and it is highest amongst young people (20-30 years old). This is indeed not new to me. Before I had my first credit card, I have heard so much about this, as was very scared to becoming one of them.
The banks and credit card companies really try their best to push over their cards nowadays. Not only the criteria are loosened, there are also many promotions running every month. Last time we heard people said “I don’t want credit card because there is annual fee”, so they now have promo that waives annual fees in first few years, and evolved into ‘no annual fees for life’. Other promotions are so attractive, encouraging us to have more cards and spend more.
It is so easy to fall into the trap. Furthermore, banks are also pushing through credit cards without customers applying for it. It usually comes together with housing loan, or when you apply for one type of card they push another type at the same time.
I still remember, when I first graduated and joined my first employer, I only had a corporate AmEx card. At that time, it was still difficult to get any cards, and annual fee was still a must.
Then, I started to have my own personal cards. Through promotions, ‘poloso’ from sales/friends, and also pushed over by banks, at one point I had 10 cards! They are:
- American Express corporate card: Rarely used as I couldn’t earn reward points.
- American Express corporate card: Rarely used as I couldn’t earn reward points
- Citibank Silver Visa: Very little credit limit
- Citibank Clear Card: Only use at the promo merchants
- Standard Chartered Visa: Came with housing loan
- HSBC Gold MasterCard: I applied because Citibank refused to increase my credit limit
- HSBC Gold Visa: Pushed to me with my MasterCard
- RHB Gold MasterCard: Came with housing loan
- RHB Gold Visa: Also came with housing loan
- Alliance IKEA Friends Card: Applied because of ‘No Annual Fee for 5 Years’
- Direct Access Gold Visa: My boss asked to apply because she gets RM50, and I get ‘No Annual Fee for Life’
Then, I thought it was just too many, and I didn’t know how to manage them, furthermore the ‘free annual fee’ period would soon be over and I would need to start paying for it. So I canceled most of them:
- American Express.
- Citibank both cards: because of poor service.
- Standard Chartered visa card: I didn’t apply for it.
- HSBC Visa: I didn’t apply for it.
- RHB both cards: I didn’t apply for it.
- Alliance IKEA Friends Card: Seldom go to IKEA.
So, now I have only 2 cards:
- HSBC Mastercard
- Direct Access Visa Card
Now I have both Master and Visa cards, and if one doesn’t work, I still have the other one served as back-up. That’s all I need. I am very happy with it, and I never revolve my money, so I think I am safe.
waaa…ur wallet must be very big wan lahh..if not how to carry all the credit card ahh??? hehe..
i like to spend for certain card to earn more point..ah soh personality mah..hehe..but just cancelled maybank visa card liao..tulan with their services..
yalor..wat is direct access visa card ahh? heard of it b4 but donno wat is it..wat bank is tat? good kah? can earn rewards point ahh?
msau: hehe, my wallet is the standard size. I don’t carry all of them, and I don’t use all. Like you, I also spend on just 1 card – my HSBC, to accumulate more points. Used to be loyal with Citibank, until got tulan with their service.
Direct Access kah? It is managed by Southern Bank. I think it is the first Free For Life credit card. It only gives out gold and platinum card. Usually we won’t want gold or platinum because the annual fee will kill us, but since this is free, I also muka tebal applied for the platinum. They called and told me I am not qualified (income), padam muka me. :p so, they offered me gold card instead. Hahaha!