What are Travel Miles and Kris Flyer Miles? Which Credit Cards have the best Signup bonus Singapore 2020? What cards do I have? How are Credit Score calculated? Today we will talk about what each of my card offers, why I have them. And hopefully If you are considering to apply for any one of them, you'll have some first-hand back ground knowledge. Lets go~
We'll go through what are miles are they better? why I don't have them, 2 cards with theoretically awesome signup bonuses.
And also on the first point of how Credit Score is calculated.
We are going to learn what are miles for and what do they do.
One of the most well known and used air miles locally is Kris Flyer miles. So we will use that as an example.
Do note that I personally do not own any cards with miles and as such these are based solely on what I know with some assumptions and what I had checked with my friends, not what I had experienced myself before.
To Taiwan Economy Class 30,000 Kris flyer miles
Similar Ticket would cost around $194 to over $300. Lets just the lowest whole number, $200 as an example.
So 30,000 Kris flyer miles / $200
I've been saying this so much. Lets use a nickname for it.. KFM. So I would estimate Kirsmiles conversion (KFM)/exchange rate to be about 150KFM for $1 reward.
BUT for the 2 cards I've seen with great signup bonus, like.
DBS altitude visa signature
DBS's case for example, they are giving you DBS points of what they term as miles. This can then be exchanged for KFM at a rate of 1:2. So for DBS altitude credit card, they are giving 38,000 points which can be exchanged to 76,000 KFM, which would then translate into $500 worth of fight ticket reward if used optimally that is.
So miles care in actual fact should offer even better rewards from a financial standpoint. However, people like me don't travel frequently so these points will just end up either forcing me to increase my spending by going on more trips or using black market, carousel etc to unload these off. There are other things you can exchange for like when glancing through, i saw like its annual fee waiver, 7200 points. With promotions like the 4x points for spending $2500 in a month would get you this amount of points just by spending $1800, annual fees at $192.60 it would seem pretty decent reward. Without its quite crazy at the base rate of 1.2 miles or points per $1 spent. Because of these and the complications, I personally do not own nor intend to own a miles card for the foreseeable future. They are good cards if you are able to understand and do your homework properly for sure.
Cashback and rebates are just.. easier, does also take some work to figure out which are rebate-able and which are not, I would not argue on that. So to each his own.
For cashback cards there's the
UOB PRVI Miles Amex Card.
They are giving from SingSaver and the Bank separately but altogether $250 cash credit. As signup bonus.
Do note as well, for all signup bonus, the banks don't want us to do credit card churning, there was a time where a lot of people are doing that, esp overseas where they have access to so many bank and financial institutions. They signup for a card, get the bonus and then cancel it, sign up for another card, rinse and repeat. So currently all signup bonus require some form of spending to be charged within the first few days or months.
Done with Kris flyer explanation and
Done with 2 cards with great signup bonuses
Now we will talke about how credit score are calculated 1 of the 6 factor is
Credit Breue does not show us the exact figures and percentage each of the 6 factors weight on our credit score. It is unlikely they each have similar weight-age, but we'll just take it that all 6 factors are important.
With this explained we will touch on 1 or 2 of the other 6 factors that affect our credit score. Hope you enjoy today's video, and if you are not yet subscribe, feel free to do so to follow us on this credit card series, this channel is about personal finance, investing and now we are on a journey of learning about credit cards.
Helping to like this video if you have received any insights or value would be tremendously helpful to our small channel.
Thank you for watching and see you guys next time~~
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