Credit Card for Retireees?

[royalmix]

I read forum page complaint by a retiree complaining that Maybank insist she has to place a new FD to secure her credit card. Banks have to comply with regulatory requirements and manage their own risk when offering unsecured credit facilities.

If you are a retire or unemployed and still holding credit cards, dun rock the boat! She applied to reduce her credit limit and tell the bank she is retiree and dun want to get scammed with high credit limits. Of course the bank have to take action to secure the credit facilities offered to her in the past.

 

[sohguanh]

I read forum page complaint by a retiree complaining that Maybank insist she has to place a new FD to secure her credit card. Banks have to comply with regulatory requirements and manage their own risk when offering unsecured credit facilities.

If you are a retire or unemployed and still holding credit cards, dun rock the boat! She applied to reduce her credit limit and tell the bank she is retiree and dun want to get scammed with high credit limits. Of course the bank have to take action to secure the credit facilities offered to her in the past.

This is called backside itchy lor. Indirectly let bank know info about yourself.

 

[turtle2018]

1. Actually MAS never says cannot issue Credit Cards to those aged > 55 years old/ Retirees.
I googled, & found below link:
https://www.mas.gov.sg/regulation/explainers/Issuing-Credit-Cards

I think for commercial reasons, banks will not want to target this age group, who are unlikely to spend a lot using Credit Cards (CC), unlikely to use overdrafts, unlikely to use BNPL, etc. So when you update the bank about your change of income status (to Retiree), the bank is more than happy to cancel your CC, without even asking or looking at other criterion of personal assets.

2. Yes, a few months before you retire, better review your list of CC, cancel the useless ones, & apply for those that you foresee may still be useful after you retire based on your spending pattern, For me, I am still holding on to CIMB Visa Infinite (3 free lounge access per year, no annual fees). A few months ago, I called & asked CIMB whether I could disable the online usage via the App, they say cannot, so I requested & reduced my credit limit, but I could not recall whether I told them I have retired ...

 

[royalmix]

1. Actually MAS never says cannot issue Credit Cards to those aged > 55 years old/ Retirees.
I googled, & found below link:
https://www.mas.gov.sg/regulation/explainers/Issuing-Credit-Cards

I think for commercial reasons, banks will not want to target this age group, who are unlikely to spend a lot using Credit Cards (CC), unlikely to use overdrafts, unlikely to use BNPL, etc. So when you update the bank about your change of income status (to Retiree), the bank is more than happy to cancel your CC.

2. Yes, a few months before you retire, better review your list of CC, cancel the useless ones, & apply for those that you foresee may still be useful after you retire based on your spending pattern, For me, I am still holding on to CIMB Visa Infinite (3 free lounge access per year, no annual fees). A few months ago, I called & asked CIMB whether I could disable the online usage via the App, they say cannot, so I requested & reduced my credit limit, but I could not recall whether I told them I have retired ...

Regulatory requirements and Bank risk management have always been about Income, not age limit!

You can manage your risk by setting spending limit and activating notifications on very low spending amt - some banks allow, check it up.

 

[sansanjikikut]

The problem with most banks is they are still unable to send out transaction alerts for recurring / manual charges regardless of amount. Such as those by Amazon prime without cvv required.

 

[reddevil0728]

The problem with most banks is they are still unable to send out transaction alerts for recurring / manual charges regardless of amount. Such as those by Amazon prime without cvv required.

Hmm Spotify does though