If you thought that Capitalism-Charity pair is the greatest oxymoron, then you are probably completely mistaken.
Today’s Strait Times reports that Standard Chartered bank has introduced a credit card for the cost conscious. Well, you got it. This is the greatest oxymoron other than this combination – The Congress (I) and Secularism.
Coming back to the credit card – this is for the cost conscious customer. And you know what, it has a tie up with the low cost airline Tiger Airways. And so you know that the card is for the cost conscious. You know Tiger Airways, right ? Where only Tigers travel ? Where you need to pay to stretch your arms and visiting the the washroom three times during a four hour flight would make you poorer by $20 ?
Here is how it is supposed to work. You get the card, pay no fees, but you need to spend $5,000 in the first year. Oh yes, you need to charge this amount to this card. And if you don’t then you need to pay $100 as a penalty.
The sum and substance is – If you don’t spend, then you pay for that. But if you spend, you don’t have to pay.
If you understand the logic of having to spend for not spending, let me know. Or the other logic – if you don’t have to spend $100 then spend $ 5,000. Great fun, right !
Don’t stop yet. There is another piece from the Straits Times. There is this other bank OCBC. This bank has introduced a co-branded card with gas stations. You spend on petrol and you save 19.5 %.
But I have a problem. I don’t have a car or a bike like the many other Singaporeans. So how do I save 19.5% ?
But I just learnt that you SAVE 19.5% using credit cards while the Savings Accounts give o.1% interest.