Credit Card Purchase Verification / Liability

I recently got a bill for my HSBC credit card and it included an annual fee charge of more than a hundred dollars. So I called them up to ask them to waive it. I always say, 'would it be possible for you to waive the charge?' when really, we all know that this is not only possible, but something that the banks are more than happy to do.

Sidetrack: UOB has an interesting twist to this. When you call them up and get the automated 'press 1 for credit card, press 2 to.. ' they include a 'press x to waive your credit card annual fee'! So I tried it once and it was processed without any human intervention. However, some time later, I forgot that I had done it, and tried it again. The funny thing was that it also processed my second request for the annual fee waiver! So in the next bill, I got more than a hundred dollars in credit for the second waiver. So I called them up and told the person to remove the windfall. She said 'thank you for your honesty.'

Anyway back to UOB. The lady of course was very nice and more than willing to waive the annual fee. However, she also said I needed to use the card at least once. I said, sure. She said, 'OK I'll waive it now.' It's just a formality, I didn't really need to use the card. But just for the sake of completeness, I decided to use the card to buy a $10 gift card from Amazon.com for my Kindle book purchases.



Now this is new. An hour later, someone from HSBC called me up and asked whether I had just used the card to spend at Amazon for a gift card. I said, yes. He said, good, just a routine check.

I like this routine check, especially since we were told recently that we aren't going to get much protection from banks if something goes wrong with our credit cards. (Yesterday, the banks announced that there will be a $100 liability cap if no negligence is involved. I'm not sure of the details, however.) I never worried about my overseas purchases as I'd assumed that the banks would always reverse the charge if it was fraudulent. I'm not so sure now. Hopefully the 'consumer watchdog' in Singapore and the banks clarify things soon.

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Credit Card Annual Fees / UOB Visa Infinity

I like to apply for credit cards whenever I can. The idea is to apply as many as possible, and then only use one card the whole time to accumulate the loyalty points. Some friends tell me, however, that that is a bad idea because they will then spend a lot of money if they have many credit cards. I don't have this problem because I don't see how having many credit cards is related to the amount of money I spend shopping.

Anyway, from what I've seen so far, DBS's Esso card is good for petrol discounts, Citibank's is good for dining discounts, HSBS' is useful for reducing the price of a movie ticket by $1, Standard Chartered's is nice for taking off 15% off the Singapore Marathon fees, and UOB's is good for a 13% discount on vPost shipping charges. There is just no excuse whatsoever not to apply as many cards as possible to take advantage of all possible discounts. (Actually the way I see it, these are not really 'discounts'; it's just that those who don't take advantage of such things are 'paying extra'.)

Now, the above will only make sense if you don't pay the annual fees. The banks usually waive the annual fee charges for one or two years. In the third year, people either ask for a waiver by calling customer service, or they cancel the card. There is just no reason to pay any annual fees unless one really likes the credit card in question and refuses to part with it.

So this past week, I received yet another nice invitation to apply for this UOB Infinite card. The application package is very pretty, and I feel the card seems suitable for me as I, too, 'appreciate the finer things in life', particularly if they're not too expensive. (Click below for bigger pictures.)

Here are the usual 'privileges'. The one about 'on the house dining at Hyatt' looks interesting... (Could I just waltz in and get free food?!)

So I took out my pen to fill in the application form, and my eyes nearly popped out! The income requirement is SGD$350,000 per annum. I don't even earn 10% of that. But that's OK. There are many people who earn that amount, and they should go ahead and apply. But look at the next line.

The annual fee is S1500! Which astute rich person in his or her right mind would be willing to pay anything, let alone $1500, just for the annual fee?! Then again, it's understood that a phone call can quickly write off that fee, so everything will be fine eventually. If you appreciate the finer things in life and want to apply, just reply below, and I will send the form to you. ;p

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