I'm quite agree with what was mentioned in the opening. Credit Cards offered in Malaysia have several common characteristics:
- Big rebate % but only limited to 2 - 3 specific categories e.g. Petrol, Groceries and Utilities. On other spend, the rebates and rewards are typically much lower than 1%.
- Rebates earned are usually capped at RM 30 - RM 50 per month.
- Rebates are applicable only at specific merchants or only on specific days.
- Rebates are only awarded upon a minimum spend or number of swipes.
According to OCBC, these are the reasons why they offer the 1% rebate with absolutely no cap on OCBC Titanium Card. Based on Mastercard's Processed Data for the past 12 months, OCBC analyzed and concluded that Malaysians charge 75% on everything else while only 25% on Petrol, Utilities, Groceries and Restaurants.
In the end of the letter, OCBC also offers current Titanium Cardholders an option to upgrade to OCBC World MasterCard. First year annual fee will be waived and RM 50 rebate will be given if you choose to upgrade. The promotion is valid until 31st January 2014.
The main features of OCBC World MasterCard are as below:
- 1.2% rebate on all retail spend with no cap, no minimum swipes and spend.
- Free personal accident insurance coverage (up to RM 2 million) when you charge your full airfare to your World MasterCard.
- 2X free access per calendar year to the KLIA Plaza Premium Lounge.
I would recommend current Titanium Cardholders to upgrade and enjoy 1.2% rebate. Cardholders should then consider whether to continue holding the card or not before reaching one year. This is because the annual fee for subsequent year is RM 388 per annum, which is very high.