In 2024, not only the points and cash rewards for credit card benefits have shrunk, but the urban parking point discount method introduced by credit card companies has also become more stringent than before.Reporter Ye Xinyi/Photography
Major banks have successively announced the credit card equity reward methods for 2024. Not only has the range of accumulated points and applicable cash rewards been reduced, but the number of urban parking discount points has also been greatly increased. The range of consumption installment interest rates and the number of periods have also been greatly increased. With the reduction, bank consumption installment interest rates have also increased, and the rights and interests of cardholders next year can be said to be greatly reduced across the board.
Bankers pointed out that the main reason is that the central bank has raised interest rates five times in more than a year, which has increased the cost of funds for credit card companies. In terms of consumer installments, the interest rate a year and a half ago was only 0.3%, but now it exceeds 1%, which greatly increases the cost of “advances” for banks. The cost of advance loans for medium-sized banks has increased by 3% a year. Fifteen million yuan, and for large banks, it exceeds 50 million yuan or even hundreds of millions of yuan.
Therefore, the installment or points rebates introduced by banks not only make no profit, but also incur losses, which has led to various banks to comprehensively limit the scope of consumption of points rebates, installments, and cash rebates. The top ten card issuers, including CITIC, Yushan, Taishin, Wing Fung, DBS, Far East, etc., have almost completely canceled the installment interest rate cash rebate.
In the past, credit cards could be redeemed for many items. However, starting next year, some items such as golf courses and high-end hotels can no longer be redeemed.
A director of the credit card department said frankly that because now, when playing golf, the bank has to pay more than a thousand yuan every time a customer redeems a game. The fee is really too high. Bankers also suggested that the current strategy of most banks is to use similar products like The feedback from the golf course is put into the wealth management business for customers to use. Therefore, the manager bluntly said that for customers who want to play golf: “Don’t pin your hopes on credit cards. It is faster to go directly to a bank accountant for financial management business!”
Along with the disappearance of the bonus points redemption rights in banks, the use of redemption in high-end hotels also disappeared. Bankers pointed out that the most important thing is the explosion of tourism business opportunities after the epidemic. The business of domestic tourist hotels itself has been very good, so they will naturally raise the point redemption threshold and ask the bank for a “price increase”. If the bank does not agree, it will naturally fail. These redemption points originally required nearly 10,000 points to redeem, but now they are canceled directly.
Not only domestic consumption rewards are affected, but also the popular European travel credit card discounts have been reduced or cancelled. The top ten card issuing banks, including CITIC, Cathay Pacific, Wing Fung, Yushan, DBS, etc., have announced multiple credit cards. Discounts for credit cards in the EU.
Bankers explained that the main reason is that the EU requires VISA and MaterCard, the two major card issuers, to reduce handling fees in accordance with antitrust laws, which affects the bank’s income. The bank can only retain its top card categories and continue to operate in the EU. Enjoy the benefits of spending more money in physical stores. In addition, the mileage threshold for airline miles and airport lounge use will also require more points starting next year.
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2023-10-30 22:51:46
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