I am very upset today!!
This whole month is giving so much negative news to the rakyat! From fuel hike to electricity tariff increased. What more to come?
This morning received an email from my niece saying that –
“With effect from July, credit cardholders who don’t pay up in full and on time may end up paying more.
Last year, Bank Negara Malaysia announced a tiered pricing structure (TPS), which will be implemented this July 1, under which those who settle their minimum payments prompt will be charged a reduced interest of the usual 18%. However, credit cardholders are not crying foul over a recent development – the removal of the interest-free period for those who do not pay up their bills in full.
Under current arrangements, credit cardholders enjoy a 20-day interest-free period on their new retain transactions. However, after July, only those who make full payments before the due date will be entitled to the interest-free days. Those who make only partial or minimum payments will be charged interest on the day the new purchases are posted to the card’s accounts. In addition, the late payment charge is now a minimum of RM1 or 1% on total outstanding balances; previously it was 1% of the minimum payment amount.
In a reply to the Consumers Association of Penang (CAP), Bank Negara stated that the ‘interest-free period was amended in line with the International practices where the interest-free period is provided only for non-revolvers.’
Cardholders who cannot be prompt in their minimum payments because they do not have the money are now going to get into bigger debts, says SM Mohamed Idris, CAP’s president.
Those who use their card for convenience or to earn points are advised to pay close attention to the outstanding amount. If you continue to pay in full diligently, you will not be affected. Those who intend to pay the bill in full, but pay in round numbers or pay the wrong amount will be severely impacted if he makes a big purchase on his card, as he will be charged interest on this purchase from the date of transaction.”
By Tan Su-Yin (Personal Money; June 2008)
What more to come?? How many of us could bear such negative news?? And how many of these cardholders can pay full amount? People are using credit card, because they are not only wants to earn points, but, it gives a period of time to pay an item in stages.
If such, why would our banks are giving so many credits to people?? Why would the bank approves those credit cards?? Why would the bank increase those credit limits?
blueks
12 years ago
16 comments:
aiyo.. mati lar!! crazy one.. aiyo.. jus like this article written by my fren
Adding Salt to Wound
Hmm...bad news again and again. Fainted. Control for not using credit card that much.
y can't we look at the things in more +ve way? sometimes i don't like to read this blog because of those -ve thinking.
to me this doesn't affected me, credit card is just a tool that allow me to bring min cash when i go out, at the same time I still can pay for the expensive item that i purchase. in short credit card is still my "cash" not debt
some item we can still pay by monthly installment without interest but charge to credit card. that is the way u use your card to pay your item installment. bank doesn't ask u to spend over your limit and hoping for instalment where your monthly salary actualy can not cover your expenses. a lot of ppl get the wrong concept of using credit card. may be you should spend more time to re-budget your financial.
Hi Elf, you may not know many people out there are having lots of debts with their credit card. With that new policy, that will even deepen their debts. And do you know there are many out there having difficulties to pay back, it’s like hand to mouth situation.
If you find this blog is giving you lots of negative feedback, then, please do understand what is actually hidden behind the upset.
The author or the owner of the blog may not need to blast everything out, cuz, one person believes in privacy respect.
Why people are having such debts, not because they do not know how to spend wisely, is because at times beyond of the credit card holder’s control.
A very good example would be a senior family member had a sudden fall, needed to admit to the hospital, and an injection is costs about RM5k. Then tell me how many of us (the hand to mouth people) will have RM5k cash in hand???
Many are trying to cope with fuel hike, increase in electricity, and even a miscarriage loss. Then you tell me how many would be able to cope such ‘negativities’ in life with many things comes at one time???
However, I truly appreciate that you have commented at this little comfort of mine!
Hi Liang Mui, I hope BNM knows what's better for our currency. If this could help to strengthen the curreny and deflate the current the high inflation rate, perhaps this isn't any bad idea. But many poors will suffer.
Hi Little Inbox, yup. You're right. But, neither can we carry much cash with us. As robbery cases are increasing as well.
New kid, I follow ur blog all these while, so I can understand your condition.
I just went for check-up this morning with my gynae. He said, my body may need sometime to heal the imbalance hormone. My uterus looks good. So, just wait and see when I can have my period. He does not agree to take any medication at this moment. So, I shall continue taking good care of myself.
hi elf,
the way u're expressing urself here is quite hurt. if u think this blog reali tat negative, then y u stil keep on reading it continuously? u sounded like veli rich here..
we're from a middle class family. we dun hv tat much of cash on hand. tat's y sometimes not we wanna spend each and every cents wif the credit cards it's jus tat we reali dun hv much CASH!! if there's enuff CASH on hand, y would we wanna use CREDIT CARD instead? we dun like to b the bank slaves for the rest of our lives too.
well, i would like to apologize if u're offended on this. but i'm supposed the author has her/his own rights to write anything in his/her blog. if u reali find tat u dun like this blog, pls dun gip ur NEGATIVE comments on it. well, y cant u think the POSITIVE way too? at least the author dare to voice out and it shows tat she/he is concern to her/his readers. btw, this is just a simple reminder/announcement to the readers rite?
hi NKB, i agreed!
hi lil inbox,
take good care of urself. dun rely much on medicine as medicine can harm ur liver and kidney :) mayb u can ask ur gynae whether can u take up EPO or Protein supplements to help in hormone balancing :)
Hi Little Inbox, thank you for visiting this little comfort of mine. Perhaps other readers had followed since day 1 this blog was borned. Thus, they read posts like Mother-in-law / Monster-in-law.
But, nobody knows what we daughter-in-law went thru. Some even asked why I never talk anything about my mother but my grandmother. My mother has been supporting me all these while, and honestly, I have nothing to talk about.
As for my grandmother, whom had passed away, but yet, she's still inside my mind all these while and I always been wanting to write something about her. That's why the reason.
Well, what readers have commented, I never edit it and I truly appreciate that comment too. Whether anyone wants to drop by or not, I have no right to stop nor scan thru.
But, bottom in my heart, I truly appreaciate it.
You take care of yourself and don't push yourself too hard for the 2nd one. Do take some days off, perhaps it helps. I do too understand how you feel. Cuz, this is what we went thru, not many will know the pain inside us.
Hi Liang Mui, stay cool. And thank you for giving this support! I truly appreciate it. You're such a wonder girl.
Perhaps I sounded like I've been offended. But, never mind, that's ok, that's only a comment.
I know some people has already have some counter measurements for all these 'hikes'.
You take care!!
oppss.. i sounded like veli harsh rite?
i sincerely apologised to those tat have read my comment and i offended them.. paisei paisei.. :)
hahaha... no la... you're just giving support to a friend that's all....
btw, the wonder should be wonderful... typo error.
what is your financial planning’s formula? was is A or B?
A/ income - spending = saving
B/ income - saving = spending
Mine is B. example given by "New Kid on the Blog" - senior family member had a sudden fall, needed to admit to the hospital, and an injection is costs about RM5k.
in my financial planning, emergency cash in saving account must be 3 month of your income. if my monthly salary = 3k, i need to save 9k in my SAVING account as emergency CASH, so 5k medication fee is not a problem to me. After I had pay with my credit card I will start top-up my emergency cash back to 9k.
i make sure my emergency saving target fulfill before i plan to buy my car or house. both car and house's installment total up should not more then 1/3 of my salary. if can't make it don't buy at this moment, weight and ask yourself car is more important to you or house? stay with family but need transport to go to work then get a car first, clear the debt asap so that u can buy a house if u plan to get married soon. If you are married, calculate your financial as total income of your salary + spouse’s salary, if both are working. So emergency cash should increase as well, if your salary is 3k, spouse’s salary is 2k total emergency cash should be 15k in saving account, emergency cash also include the cash u needed when u lost your job, meaning that u have 3 months to find and start your new job.
beside that emergency cash saving, you need another saving for retirement and/or your childrens' education, calculate how much cash that u need for your kids when they go University (be it Local U or oversea U), ask yourself how much cash u need after you retired. then word back word to calculate how much you should save from now.
After the above calculation i will know how much I should save and spend monthly include my daily meal expenses, petrol, bills ... Tips that make me “looks” rich to you guys is - good in planning how much I should save, not how much I should spend or how good I pay my debt.
i read a lot from Sinchew news paper on financial planning, and lean form there, i am not a rich person. total income not more then 4k, but i own a car and house, of cause still under loan that I am affordable. My clothes are not branded, I cook my every meal because I can’t afford to eat at outside every day. I didn’t plan for any trip, I go for simple but meaningful wedding reception that doesn’t cost more then 10k. local car, mid cost condo, mid cost wedding photo package… my monthly credit card bill not more then 500, not going for shopping every month for clothes unless I really need it.
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hi elf...
thx for the superb advise!! mine is B too.. but my savings not tat much like u lar.. but i'm sure i stil can manage a lil bit when it comes to emergency. :)
thx thx!! sorry for being harsh the other day..
but then, i'm not tat lucky to hv a family staying wif me in kl. i hv to hv a transport for my job and renting a room currently. as u mentioned, big expenses are onli 1/3 of wat i'd earned. but sometimes, things doesnt happen as smooth as wat u'd planned :)
i think i'm jus like u, elf.. everything goes for the simple one. wedding oso simple, bridal photo oso plan for simple.. temporary no honeymoon for me cos i think everyday oledi honeymoon. if wanna go, i wil hv PARIS as my first honeymoon place. tat's y we're aiming for tat..
anyway, reali Great THANKS for a small piece of advice :)
Hi NKB,
it's jus my opinion too.. cos i think a blog is a small place where i can write out everything tat i wan, tat i think and i dun bother wat ppl think abt it. but hurting comments reali hurt but i wil welcome too.. as tat's their opinion oso :)
now only I know...
Hello. My wife and I bought our house about 6 months ago. It was a foreclosure and we were able to get a great deal on it. We also took advantage of the 8K tax credit so that definitely helped. We did an extensive remodeling job and now I want to refinance to cut the term to a 20 or 15 year loan. Does anyone know any good sites for mortgage information? Thanks!
Mike
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