Overview of Bank Islam Credit Cards
Bank Islam is a popular Islamic bank in Malaysia that bases many of its operations in accordance with tenets of the Sharia Law. In fact, Bank Islam was the first bank in Malaysia to offer credit cards that were Sharia-compliant. Bank Islam is also the largest Islamic bank in Malaysia with over 140 branches spread across the country. These cards come with a host of advantages and benefits, many of which are unique and uncharacteristic of commercial bank offerings. Let us look at Bank Islam credit cards in detail and see what they have to offer.
Key Features and Benefits of Bank Islam Credit Cards
- Bank Islam credit cards offer customers with Takaful coverage.
- Customers can earn reward points on purchases, both online and offline. These reward points can be redeemed for some impressive offers in the rewards catalogue.
- The bank allows cardmembers to convert purchases made using Bank Islam credit cards into easy, flexible, monthly payments.
- Cardmembers get access to world class concierge services and complimentary airport lounge access when they use their Bank Islam credit card to make travel reservations.
- Cardmembers can use their card to make cash withdrawals. The limit for cash withdrawals is RM5,000. Cash withdrawals will attract an interest charge of 18%. Besides, a cash withdrawal fee of 2.65% of the withdrawn amount will also be charged.
- The annual interest rate for transactions is 13.5% p.a.
- A minimum payment of 5% of the monthly outstanding amount has to be paid by the payment due date. A late payment fee of 1% of the monthly outstanding balance will be levied if the minimum payment isn’t made by the due date.
- The annual fee on the credit cards is waived if the cards are swiped more than 12 times in a year. If not, individual annual fees are applicable – the annual fee varies from one card to another.
- These cards can be used for Halal transactions only.
- Bank Islam credit cards are associated with a 20-day finance charge period.
Why choose Bank Islam Credit Cards?
- Bank Islam credit cards are Sharia-compliant. Both Muslims and Non-Muslims can apply for these credit cards.
- The card lets you earn reward points on retail purchases, both online and offline. Reward points can be earned for every RM1 spent using the card.
- The bank allows you to convert purchases – both online and offline purchases – into easy payments at a 0% interest rate. Flexible monthly options can range from 3 months to 36 months depending on your convenience.
- The interest rate is low in comparison to cards offered by many commercial banks in Singapore. Interest charges on cash advances are also low in the case of these cards.
Types of Bank Islam Credit Cards
Here is a list if Credit cards offered by Bank Islam in Malaysia:
- Bank Islam Visa Credit Card – i: This is one of Bank Islam’s first credit cards. The card does not attract a joining fee. Interest charges can range from 13.5% to 17.5% p.a. The card allows cardmembers to earn reward points on retail purchases. Reward points earned can be redeemed for some exciting offers and discounts.
- Bank Islam Gold Credit Card –i: Another popular credit card offered by Bank Islam is the Bank Islam Gold Credit Card. This card allows for emergency cash withdrawals overseas and allows cardmembers to accumulate reward points on online retail purchases, grocery shopping and fuel purchases.
- Bank Islam Classic Credit Card –i: The features of the Bank Islam Classic Credit Card are similar to the Gold Credit Card. Notable benefits include 24/7 concierge services, emergency cash withdrawals, and no joining fees.
- Bank Islam Platinum MasterCard Credit Card –i: The card comes with a credit limit equivalent to three times the individual’s monthly income. Most features are similar to other credit cards offered by Bank Islam. Interest charges can range from 13.5% p.a. to 17.5% p.a.
- Bank Islam Platinum Visa Credit Card –i: The card offers free Takaful benefits and free Takaful coverage on the total outstanding balance as well the expenditure incurred at the funeral. Akin to other cards offered by Bank Islam, there are no compounding interest charges.
- Bank Islam Visa Infinite Business Card –i: This card has been structured keeping in mind specific interests of the business community. The card has an enhanced credit limit – more than other credit card offerings by Bank Islam. Most other features remain homogenous. Reward points can be earned on purchases related to lifestyle, travel, fuel, shopping and groceries.
- Bank Islam Infinite Visa Credit Card –i: The card has a contract period of 3 years – akin to other credit cards offered by Bank Islam. Annual charges are waived if a minimum of 12 transactions are carried out within the period of 12 months.
Fee Details and Charges for Bank Islam Credit Cards
- The annual fee for Bank Islam credit cards can range from RM130 to RM420 depending on the type of card.
- Interest charges in the range between 13.5% p.a. and 17.5% p.a. are accordingly applicable on transactions made using the cards.
- Cash withdrawals charges are amongst the lowest in Malaysia – 2.65% of the withdrawn amount.
Eligibility Criteria for Bank Islam Credit Cards
While individual cards have their own set of eligibility parameters, there are some eligibility requirements that are common between Bank Islam Credit Cards. Here are some common eligibility parameters:
- The applicant has to be a minimum of 21 years of age.
- Supplementary cardholders have to be a minimum of 18 years.
- The annual income in order to apply for a Bank Islam Credit Card ranges between RM24,000 and RM84,000 – this depends on the type of card offered.
Documents to be submitted
- Copy of Identity document
- Salary slips for the last 3 months
- Latest BE Form/acknowledgement receipt of e-filing of tax returns.
- Bank statements for the last 3 months.
- Proof of income.
- Latest BE form or receipt of e-filings of tax returns.
- Copy of Identity Documents.
Note: The bank can also request additional documents that may be required to process your application.
How to apply for a Bank Islam Credit Card
You can apply for a Bank Islam Credit Card by visiting the nearest Bank Islam branch and physically filling out the application form and submitting all necessary documents. You can also visit the official website of the bank and place an online request, following which a representative from the bank will get in touch with you.
Bank Islam Hotline Number
Customers can contact the bank directly at 03-26 900 900 for any queries. The Customer service number is active 24/7.
Bank Islam Credit Cards Frequently Asked Questions (FAQs)
- Q. What is the minimum payment that needs to be made every month?
Customers are required to make a minimum payment of 5% of the outstanding monthly balance. Payment has to be made by the due date, failing which a late payment charge of 1% of the outstanding amount in accordingly levied.
- Q. What is the maximum amount that can be withdrawn?
An amount of RM5,000 can be withdrawn from ATMs. Interest charges on cash advances will accordingly hold applicable.
- Q. Is there a monthly interest-free period?
Bank Islam allows for an interest-free period of 20 days from the release of the statement. However, the interest free aspect holds good only if the entire amount is repaid in full.
Other Products offered by Bank Islam:
Apart from offering Credit Card,Bank Islam offers other products and services which include:
- Cash vs Cards Payments Malaysia
- How to Find the Perfect Credit Card in Malaysia
- How to Improve your Credit Rating in Malaysia
- How to Increase Credit Limit in Your Credit Card
- How to Pick an Emergency Credit Card
- Student Credit Cards in Malaysia
- Supplementary Credit Cards in Malaysia
- When to Use Credit over Cash
- Shed the Excess Interest Rates
- Protecting One’s Credit Card While Travelling
- Defaulting Your Credit Card Bills in Malaysia?
- Top 5 Reasons Why Owning a Credit Card is Good for You
- How to improve your chances of having a credit card approved
- Credit Card fraud: Are you aware of it?
- Understand Credit Card interest free period
- Reward Credit cards Malaysia
- Best Cash Back Credit Cards in Malaysia
- Best Zero Annual Fee Credit Cards in Malaysia
- Personal Loan Against Credit Card
- How to Maximise Your Credit Card Benefits
- Popular Credit Card Fees and Charges in Malaysia
- How to Apply for Credit Cards in Malaysia for Foreigners
- Top 10 Credit Cards in Malaysia 2016
- Best Low Interest Rate Credit Cards in Malaysia
- What charges do you pay for when you swipe your card overseas
- Best Petrol Credit Cards In Malaysia
- Credit Cards for Employees in Malaysia
- Common Mistakes to Avoid While Applying for a Credit Card
News About Bank Islam Credit Card
Financial growth target reduces year on year to 15% by BIMB
The BIMB Holdings BHD has moderated the outlook for the financial year 2015 and also lowering their financial growth to 15% year on year. In the 1H15 the management’s target for financing growth was 5.3%, but they are confident of achieving the 15% year on year target along with the resurging business financing contribution and the banking system loan growth post GST backed with the assurance of the business sector.
14th October 2015