credit_cards


<p>Consolidation loan or the concept of debt consolidation in general is a process of taking one single loan to replace multiple loans or a loan with high interest rate (for example credit card debt). This can effectively help to reduce total cost from high interest rate or finance charge.</p>



<p>As mentioned previously, consolidation loan is useful for replacing one or multiple high interest loans which may include:</p>



<ul>
<li>Finance charge on credit card debt (if you do not pay credit card on time)</li>



<li>Finance charge on credit card cash advance (if you withdraw cash using credit card and do not pay on time)</li>



<li>Overdraft facility</li>
</ul>



<p>Interest expense from these types of borrowing can be high as they tend to have high interest rate (up to 30%+ APR) or their finance charges accrue on a daily basis.&nbsp;</p>



<h3 class="wp-block-heading"><strong>Benefits of consolidation loan and who it is suitable for</strong></h3>



<p>In general, consolidation loan provides the following benefits:</p>



<ul>
<li><strong>Reduce total interest expense and finance charge</strong>. Given total loan repayment amount is a combination of principal and interest expense, this will help to reduce overall loan repayment so that you can pay off your debt earlier or reduce burden on your monthly cashflow</li>



<li><strong>Simplify payment process</strong>. Keeping track of and paying for a single loan is simpler than doing so for multiple loans. More importantly, it also reduces the risk of missing repayment (which can help you to avoid various finance charges)</li>
</ul>



<p>Consolidation loan tends to have lower interest when compared to other more expensive types of borrowing listed above. So how do you know if consolidation loan is right for you?</p>



<ul>
<li>You are paying for one or more high interest loans</li>



<li>You still have a good enough credit score to qualify for loan with lower interest than your current ones</li>



<li>Your cashflow in the next 12 &#8211; 36 months will allow you to pay off the new consolidation loan</li>
</ul>



<h3 class="wp-block-heading"><strong>Illustration of how consolidation loan can benefit you</strong></h3>



<p>In this example, we will be looking at a consumer who is paying for one credit card debt and one overdraft facility every month, however both loans are accruing interest on a daily basis.</p>



<figure class="wp-block-table"><table><tbody><tr><td><br></td><td><strong>Credit card debt</strong></td><td><strong>Overdraft facility</strong></td></tr><tr><td><strong>Outstanding balance</strong></td><td>HK$40,000</td><td>HK$150,000</td></tr><tr><td><strong>Interest</strong></td><td>25% APR accruing daily</td><td>15% APR accruing daily</td></tr><tr><td><strong>Current monthly repayment</strong></td><td>~HK$7,170</td><td>~HK$9,370</td></tr><tr><td><strong>Total interest expense</strong></td><td>~HK$3,000</td><td>~HK$18,550</td></tr><tr><td><strong>Est. time until total repayment</strong></td><td>6 months</td><td>18 months</td></tr></tbody></table></figure>



<p>Following the above calculation, this consumer is spending HK$16,540 in loan repayment every month. It will take about 18 months for all debt to be paid back and total interest expense during this period will be HK$21,550.</p>



<p>If this consumer is to take a consolidation loan of equal balance with similar monthly repayment amount however, the consumer will be able to reduce interest expense as well as become debt-free sooner.</p>



<figure class="wp-block-table"><table><tbody><tr><td><br></td><td><strong>Existing loans</strong></td><td><strong>Consolidation loan with 10% APR which accrue monthly for 12 months</strong></td></tr><tr><td><strong>Balance</strong></td><td>HK$190,000</td><td>HK$190,000</td></tr><tr><td><strong>Monthly repayment</strong></td><td>HK$16,540</td><td>HK$16,704</td></tr><tr><td><strong>Total interest expense</strong></td><td>HK$21,550</td><td>HK$10,450</td></tr><tr><td><strong>Est. time until total repayment</strong></td><td>18 months</td><td>12 months</td></tr></tbody></table></figure>



<p>This example illustrates how consolidation loan can help a consumer who is paying for multiple high interest loans by reducing total interest expense and repayment timeline while keeping a similar level of monthly repayment amount.</p>



<p>*Note: calculations above follow a standard formula and may differ from calculations used by financial institutions</p>



<p><strong>Things to watch out for before taking a consolidation loan</strong></p>



<p>While the benefits of taking a consolidation loan can be quite clear, there are still a few things to take into consideration:</p>



<ul>
<li>Like any other types of loan, consolidation loan requires timely repayment. Missing of payment can lead to additional interest and finance charge&nbsp;</li>



<li>If high monthly repayment will place a burden on your cashflow, consider a consolidation loan with longer repayment (Although this will lead to higher overall interest expense. Read more about the relationship between repayment plan and total interest expense <a href="https://www.planto.hk/en/blog/personal-loan-interest-rate-factors/">here</a>)</li>



<li>If your existing loans’ outstanding balances are small enough and you have enough saving for emergency situations, paying off the loans or making early repayment could be a better alternative than consolidation loan (However do watch out for early repayment fee)</li>
</ul>



<p>It is advisable that you do research and plan ahead of any borrowing. If you are looking for more resources around borrowing, feel free to visit the <a href="https://www.ifec.org.hk/web/en/moneyessentials/debts-and-borrowing/index.page">Investor and Financial Education Council</a> or the Chin family’s website.</p>



<hr class="wp-block-separator has-css-opacity"/>





<h4 class="wp-block-heading">Recommended Readings</h4>



<ul>
<li><a href="https://www.planto.hk/en/blog/overseas-mortgage-interest-expense/">Can personal loan in Hong Kong reduce your mortgage interest expense?</a></li>



<li><a href="https://www.planto.hk/en/blog/living-cost-hongkong-bangkok/">Hong Kong vs. Bangkok, from a Thai person living in Hong Kong</a></li>
</ul>



<p></p>


Consolidation loan or the concept of debt consolidation in general is a process of taking one single loan to replace multiple loans or a loan with high interest rate (for example credit card debt). This can effectively help to reduce total cost from high interest rate or finance charge.

What is Debt Consolidation Loan and How it Can be Useful to You?


<p>We all love traveling. This is why our review this time is on DBS&#8217;s Black World Mastercard, which is famous for its air miles and travel perks! </p>



<credit-card-comparison-page language="en" creditcardtype="asia_miles" particularcard="dbs_black_world_master"></credit-card-comparison-page>



<h2 class="wp-block-heading">Key Features</h2>



<ul><li>Can earn up to 50,000 miles with their limited-time welcome offer of HK$0.5 = 1 mile</li><li>Can redeem reward programs such as Asia Miles, Avios, KrisFlyer and PhoenixMiles with your DBS$</li><li>Local Spending HK$6 = 1 Mile  </li><li>Overseas Spending HK$4=1mile  </li><li>DBS$ never expire so you can slowly plan your next trip</li><li>No charges on the conversion from DBS$ to miles</li><li>You can get DBS$ for your e-Wallet spending e.g. Octopus, PayMe, WeChat, etc.</li></ul>



<h2 class="wp-block-heading" id="迎新優惠">Welcome Offer</h2>



<p>Limited time only!  From 1 April 2020 to 30 June 2020, you can enjoy as low as HK$0.5 = 1 mile when you successfully apply for a new card!</p>



<figure class="wp-block-image size-large"><img decoding="async" width="716" height="366" src="http://34.96.221.168/wp-content/uploads/2020/03/Screenshot-2020-03-31-at-8.33.16-PM.jpg" alt="" class="wp-image-9301" srcset="https://d3pwh2ime6p0el.cloudfront.net/wp-content/uploads/2020/03/Screenshot-2020-03-31-at-8.33.16-PM.jpg 716w, https://d3pwh2ime6p0el.cloudfront.net/wp-content/uploads/2020/03/Screenshot-2020-03-31-at-8.33.16-PM-300x153.jpg 300w" sizes="(max-width: 716px) 100vw, 716px" /></figure>



<h2 class="wp-block-heading" id="迎新優惠">Mileage Rate</h2>



<p>Between  1 Apr – 31 Jun 2020</p>



<ul><li>Local Spending: HK$ 6 = 1 mile</li><li>Overseas Spending: HK$ 4 = 1 mile</li><li>eWallet Spending: HK$ 6 = 1 mile</li></ul>



<h2 class="wp-block-heading">Basic Information</h2>



<ul><li>Annual salary requirement: HK$ 240,000</li><li>Annual fee: HK$ 2,000</li><li>Overdue payment fees: up to HK$ 300</li><li>Foreign currency transaction fee: 1.95%</li></ul>



<h2 class="wp-block-heading">Disadvantages</h2>



<ul><li>Online payment spending doesn&#8217;t apply to the welcome offer</li><li>PayMe, Alipay HK, Wechat Pay spending does not apply to the welcome offer</li><li>Octopus AAVS is only HK$ 12 = 1 mile</li></ul>



<h2 class="wp-block-heading">Is the DBS Black World Mastercard right for you?</h2>



<p>The DBS Black World Mastercard earns flight miles whether you&#8217;re spending on eating out, drinks or shopping, and there is no mileage conversion fee.&nbsp;You can use the Planto app to link your existing credit card and analyze your past spending &#8211; if you spend a lot and want to spend less time managing cards, the DBS Black World Mastercard can help you effortlessly accumulate Asia Miles. Since the DBS$ points have no expiration date, you don&#8217;t even have to worry about your points expiring and can plan your travels with ease!</p>



<next-steps-list lang="en">
        <next-steps-list-item type="content" link="https://www.planto.hk/en/blog/credit-card-compare-recommend/" title="Compare cash-back credit cards"></next-steps-list-item>
</next-steps-list>


We all love traveling. This is why our review this time is on DBS's Black World Mastercard, which is famous for its air miles and travel perks! This card offers you HK$6 = 1 mile on local spending and HK$4 = 1 mile on overseas spending, hotel booking discounts, online travel tax refund rebate, welcome offers up to 80,000 miles and much more! 

[Credit Card Review] DBS Black World Mastercard: As low as HK$0.5 = 1 Mile!

<p>People who love to travel are <strong>always</strong> thinking about their next getaway. Unfortunately, before the getaway really begins, you have to spend money to buy your flight. Luckily, there&#8217;s quite a few credit cards which make it easier on your pocket &#8211; we&#8217;ve shortlisted the four best credit cards to get miles faster.</p>
<p>In short, the best cards are:</p>
<ul>
<li><a href="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0IjoiZGJzX2JsYWNrX21hc3RlcmNhcmQiLCJ0eXBlIjoiY2MiLCJhcHBseVVybCI6Imh0dHBzOi8vYWQuZG91YmxlY2xpY2submV0L2RkbS90cmFja2Nsay9OMTA4Nzg5MS4zNjAzODY2UExBTlRPQVBQL0IyMjk1MTMzNC4yNjcyNDE1NTM7ZGNfdHJrX2FpZD00NjIxODY4NzA7ZGNfdHJrX2NpZD0xMjA4NzI2MDk7ZGNfbGF0PTtkY19yZGlkPTt0YWdfZm9yX2NoaWxkX2RpcmVjdGVkX3RyZWF0bWVudD07dGZ1YT0iLCJmcm9tIjoiQXNpYSBNaWxlcyBDcmVkaXQgQ2FyZCBBcnRpY2xlIn0=">DBS Black World MasterCard</a></li>
<li><a href="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0Ijoic3RhbmNfYXNpYV9taWxlcyIsInR5cGUiOiJjYyIsImFwcGx5VXJsIjoiaHR0cHM6Ly9yZWJyYW5kLmx5LzN4NGZ0NiIsImZyb20iOiJBc2lhIE1pbGVzIENyZWRpdCBDYXJkIEFydGljbGUifQ==">Standard Chartered Asia Miles MasterCard</a></li>
<li><a href="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0IjoiY2l0aV9wcmVtaWVyX21pbGVzIiwidHlwZSI6ImNjIiwiYXBwbHlVcmwiOiJodHRwczovL2FkLmRvdWJsZWNsaWNrLm5ldC9kZG0vdHJhY2tjbGsvTjcxOTU3Ni4zNzU0MzU1UExBTlRPL0IyMjEzOTQ4Ny4yNjc4OTk3NTE7ZGNfdHJrX2FpZD00NjI1MDc4MjI7ZGNfdHJrX2NpZD0xMTA1ODk1ODk7ZGNfbGF0PTtkY19yZGlkPTt0YWdfZm9yX2NoaWxkX2RpcmVjdGVkX3RyZWF0bWVudD07dGZ1YT0iLCJmcm9tIjoiQXNpYSBNaWxlcyBDcmVkaXQgQ2FyZCBBcnRpY2xlIn0=">Citi PremierMiles</a></li>
<li><a href="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0IjoiYW1leF9jYXRoYXlfZWxpdGUiLCJ0eXBlIjoiY2MiLCJhcHBseVVybCI6Imh0dHBzOi8vcmVicmFuZC5seS91cnRjbTciLCJmcm9tIjoiQXNpYSBNaWxlcyBDcmVkaXQgQ2FyZCBBcnRpY2xlIn0=">American Express Cathay Pacific Elite Credit Card</a></li>
</ul>
<p>Read on to see why we think they&#8217;re the best:</p>
<h2 id="dbs-black-world-mastercard">DBS Black World MasterCard</h2>
<p>If you have an annual salary of more than HK$ 240,000, this could be the card for you. Even though the card is pretty good for spending locally in Hong Kong, it&#8217;s even better if you plan to spend abroad with it &#8211; local spending gives you 1 mile / HK$ 6, and overseas spending gives you 1 mile / HK$ 4.</p>
<p>DBS$ can be exchanged for either cash back or for a few different kind of frequent flyer programs like Asia Miles, KrisFlyer, Avios or Phoenix Miles.</p>
<p>The welcome offer gives preferential rate on miles as well &#8211; here&#8217;s how it works:</p>
<p><img decoding="async" title="星展銀行 Black World Mastercard 亞洲萬里通 Asia Miles 飛行里數" src="http://34.96.221.168/wp-content/uploads/2019/12/DBS_BlackWorldMasterCardTable.jpg" alt="DBS Black World MasterCard Asia Miles Spending Comparison" /></p>


<credit-card-comparison-page language="en" creditcardtype="asia_miles" particularcard="dbs_black_world_master"></credit-card-comparison-page>


<h2 id="standard-chartered-asia-miles-mastercard">Standard Chartered Asia Miles MasterCard</h2>
<p>Unlike the DBS Black World MasterCard, <a href="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0Ijoic3RhbmNfYXNpYV9taWxlcyIsInR5cGUiOiJjYyIsImFwcGx5VXJsIjoiaHR0cHM6Ly9yZWJyYW5kLmx5LzN4NGZ0NiIsImZyb20iOiJBc2lhIE1pbGVzIENyZWRpdCBDYXJkIEFydGljbGUifQ==">Standard Chartered&#8217;s Asia Miles MasterCard</a> has a much lower salary requirement (HK$ 96,000 per year only) making it a very suitable starter card. Local restaurants, overseas &amp; online spending all get you 1 mile / HK$ 4, and all other eligible spending gives you 1 mile / HK$ 6. Probably best of all, they automatically redeem each month into your Asia Miles account without any conversion fees! </p>
<p>Just like the DBS Black World MasterCard, this card also has preferential rates on miles as part of the welcome offer &#8211; this is what it adds up to:</p>
<p><img decoding="async" src="http://34.96.221.168/wp-content/uploads/2019/12/StanChart_AsiaMilesCardTable.jpg" alt="Standard Chartered Asia Miles MasterCard Spending Comparison"></p>


<p><credit-card-comparison-page language="en" creditcardtype="asia_miles" particularcard="stanc_asia_miles"></credit-card-comparison-page></p>


<h2 id="citi-premiermiles-credit-card">Citi PremierMiles Credit Card</h2>
<p>The <a href="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0IjoiY2l0aV9wcmVtaWVyX21pbGVzIiwidHlwZSI6ImNjIiwiYXBwbHlVcmwiOiJodHRwczovL2FkLmRvdWJsZWNsaWNrLm5ldC9kZG0vdHJhY2tjbGsvTjcxOTU3Ni4zNzU0MzU1UExBTlRPL0IyMjEzOTQ4Ny4yNjc4OTk3NTE7ZGNfdHJrX2FpZD00NjI1MDc4MjI7ZGNfdHJrX2NpZD0xMTA1ODk1ODk7ZGNfbGF0PTtkY19yZGlkPTt0YWdfZm9yX2NoaWxkX2RpcmVjdGVkX3RyZWF0bWVudD07dGZ1YT0iLCJmcm9tIjoiQXNpYSBNaWxlcyBDcmVkaXQgQ2FyZCBBcnRpY2xlIn0=">Citi PremierMiles Credit Card</a> requires an annual salary of HK$ 240,000. It&#8217;s quite good for people who spend overseas or in foreign currencies a lot. Local spending gives you 1 mile / HK$ 8 which isn&#8217;t great compared to the others.. but if you spend more than HK$20,000 each month, you get 1 mile / HK$ 3 for overseas &amp; foreign currency spending. If you spend less than HK$ 20,000 each month, you still get a great 1 mile / HK$ 4 for overseas &amp; foreign currency spending.</p>
<p>In addition to that, 12 &#8216;free&#8217; airport lounge services are provided each year, but you need to spend $5,000 within 30 days after each usage of the airport lounge.</p>
<p>The card also has a great welcome offer for new customers &#8211; if you spend more than HK$ 10,000 within 2 months of card issuance, you can choose:</p>
<ul>
<li>HK$ 800 supermarket cash coupon; or</li>
<li>HK$ 700 SOGO cash coupon, or</li>
<li>Hong Kong Mandarin Oriental Hotel Double Afternoon Tea</li>
</ul>


<credit-card-comparison-page language="en" creditcardtype="asia_miles" particularcard="citi_premier_miles"></credit-card-comparison-page>


<h2 id="american-express-cathay-pacific-elite-credit-card">American Express Cathay Pacific Elite Credit Card</h2>
<p>The <a href="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0IjoiYW1leF9jYXRoYXlfZWxpdGUiLCJ0eXBlIjoiY2MiLCJhcHBseVVybCI6Imh0dHBzOi8vcmVicmFuZC5seS91cnRjbTciLCJmcm9tIjoiQXNpYSBNaWxlcyBDcmVkaXQgQ2FyZCBBcnRpY2xlIn0=">American Express Cathay Pacific Elite Credit Card</a> application requires a slightly higher annual salary of HK$ 300,000. The card is great for frequent travellers since you get to use the Plaza Premium Lounge around Asia for the whole year, and you get decent rewards &#8211; 1 mile per HK$ 6 for local spending and 1 mile per HK$ 4 for overseas spending.</p>
<p>The AMEX Cathay Pacific Elite Credit Card also gives some preferential treatment as part of the welcome offer, alongside a 1000 mile granted on application:</p>
<p><img decoding="async" src="http://34.96.221.168/wp-content/uploads/2019/12/Amex_CathayEliteCardTable.jpg" alt="American Express Cathay Pacific Elite Credit Card Spending Comparison"></p>


<credit-card-comparison-page language="en" creditcardtype="asia_miles" particularcard="ae_cathay_elite"></credit-card-comparison-page>



<next-steps-list lang="en">
        <next-steps-list-item type="content" link="https://www.planto.hk/en/blog/credit-card-compare-recommend/" title="Compare credit cards among all categories"></next-steps-list-item>
</next-steps-list>


<h4 id="recommended-reads">Recommended Reads</h4>
<ul>
<li><a href="https://www.planto.hk/en/blog/iphone-11-pro-Max-credit-cards/">The smartest way to buy the new iPhone</a></li>
<li><a href="https://www.planto.hk/en/blog/virtual-credit-card-apple-hk/">A Guide to Virtual Credit Cards in Hong Kong</a></li>
</ul>

Many credit cards offer rewards for spending - these are the four best credit cards that have the best welcome offers and spending rewards: DBS Black World MasterCard, Standard Chartered Asia Miles MasterCard, Citi PremierMiles, American Express Cathay Pacific Elite Credit Card. Choose the right card and be rewarded!

[Asia Miles Hacks] The 4 Best Credit Cards

<p>Apple introduced three new iPhones this year &#8211; the <strong>iPhone 11, 11 Pro</strong> and <strong>11 Pro Max</strong>. The upgraded features include ultra-wide-angle lens, night mode and 4K 60fps video recording&#8230; and they&#8217;re pretty expensive!</p>
<p>It goes without saying that you should ideally have saved up for this but if you&#8217;re dead set on buying, we&#8217;ve done some hard work in figuring out how you can save the most money.</p>
<p><strong>In short:</strong></p>
<ol>
<li>Do <strong>NOT</strong> buy with cash</li>
<li>Use either the <a href="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0IjoiY2l0aV9jYXNoX2JhY2siLCJ0eXBlIjoiY2MiLCJhcHBseVVybCI6Imh0dHBzOi8vYWQuZG91YmxlY2xpY2submV0L2RkbS90cmFja2Nsay9ONzE5NTc2LjM3NTQzNTVQTEFOVE8vQjIyMTM5NDg3LjI2NzU5MDAxNTtkY190cmtfYWlkPTQ2MjU3MjE1MztkY190cmtfY2lkPTExMDY2NTk1MjtkY19sYXQ9O2RjX3JkaWQ9O3RhZ19mb3JfY2hpbGRfZGlyZWN0ZWRfdHJlYXRtZW50PTt0ZnVhPSIsImZyb20iOiJpUGhvbmVfMTFfQXJ0aWNsZSJ9">PrimeCredit EarnMORE UnionPay Card</a> or the <a href="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0IjoiY2l0aV9jYXNoX2JhY2siLCJ0eXBlIjoiY2MiLCJhcHBseVVybCI6Imh0dHBzOi8vd3d3LmNoaW5lc2Vhbi5jb20vYWZmaWxpYXRlL2NsaWNrQmFubmVyLmRvP3dJZD02Mzc3NSZwSWQ9MTcyMzEmY0lkPTI4ODg3IiwiZnJvbSI6ImlQaG9uZV8xMV9BcnRpY2xlIn0=">Citibank Cash Back card</a> (if you don&#8217;t have these cards already!)</li>
</ol>
<h3 id="primecredit-earnmore-unionpay-card-x-cmk-save-up-to-2150">PrimeCredit EarnMORE UnionPay Card x CMK: save up to $2,150</h3>
<p>PrimeCredit has a<a href="https://www.wewacard.com/cmk-promotion/"> deal with CMK</a> where you get between $300-$1100 cash rebate depending on how much you spend. Note: this assumes you are a new customer for PrimeCredit (making you eligible for the welcome offer and 2% cash rebate).</p>
<table>
<thead>
<tr>
<th>iPhone Model</th>
<th>Retail Price</th>
<th>Calculation</th>
<th>Total</th>
</tr>
</thead>
<tbody>
<tr>
<td><strong>iPhone 11 128GB</strong></td>
<td>$6,500</td>
<td>$300 CMK offer<br>+ $500 EarnMORE Welcome Offer (but you&#8217;ll need to spend another $2,000 in 3 month from card issuance date)<br>+ $300 for successful application via Planto<br>+ $130 due to 2% cash-back = <strong>$1,230 cash rebate</strong></td>
<td><strong>19% off</strong></td>
</tr>
<tr>
<td><strong>iPhone 11 Pro 256GB</strong></td>
<td>$9,900</td>
<td>$700 CMK offer<br>+ $500 EarnMORE Welcome Offer<br>+ $300 for successful application via Planto<br>+ $198 due to 2% cash rebate = <strong>$1,698 cash rebate</strong></td>
<td><strong>17% off</strong></td>
</tr>
<tr>
<td><strong>iPhone 11 Pro Max 256GB</strong></td>
<td>$12,500</td>
<td>$1,100 CMK offer<br>+ $500 EarnMORE Welcome Offer<br>+ $300 for successful application via Planto<br>+ $250 due to 2% cash rebate = <strong>$2,150 cash rebate</strong></td>
<td><strong>17% off</strong></td>
</tr>
</tbody>
</table>


<p><credit-card-comparison-page language="en" creditcardtype="cash_rebate" particularcard="primec_earnmore_diamond"></credit-card-comparison-page></p>


<h3 id="">&nbsp;</h3>
<h3 id="citi-cash-back-visa-card-x-fortress-save-up-to-hk1675">Citi Cash Back Visa Card x Fortress: save up to HK$1,675</h3>
<p>Similar to the PrimeCredit offer, Citibank has a <a href="https://www.citibank.com.hk/english/credit-cards/shopping/promotion-fortress.html">deal with Fortress</a> where you get between $150-$500 off depending on how much you spend. Do note this is only for the first 35,000 card-holders to avail this offer (Citibank hasn&#8217;t disclosed how many have already been availed!). Also note that this assumes you are a new customer for Citibank (making you eligible for the welcome offer)</p>
<table>
<thead>
<tr>
<th>iPhone Model</th>
<th>Retail Price</th>
<th>Calculation</th>
<th>Total</th>
</tr>
</thead>
<tbody>
<tr>
<td><strong>iPhone 11 128GB</strong></td>
<td>$6,500</td>
<td>$300 Fortress offer<br>+ $1,000 Citi Welcome Offer (but you&#8217;ll need to spend another $3,500 in 2 months)<br>+ $50 if you use Apple Pay<br>+ $65 due to 1% cash-back = <strong>$1,415 cash-back</strong></td>
<td><strong>22% off</strong></td>
</tr>
<tr>
<td><strong>iPhone 11 Pro 256GB</strong></td>
<td>$9,900</td>
<td>$400 Fortress offer<br>+ $1,000 Citi Welcome Offer (but you&#8217;ll need to spend another $100 in 2 months)<br>+ $50 if you use Apple Pay<br>+ $99 due to 1% cash-back = <strong>$1,549 cash-back</strong></td>
<td><strong>15% off</strong></td>
</tr>
<tr>
<td><strong>iPhone 11 Pro Max 256GB</strong></td>
<td>$12,500</td>
<td>$500 Fortress offer<br>+ $1,000 Citi Welcome Offer<br>+ $50 if you use Apple Pay<br>+ $125 due to 2% cash-back = <strong>$1,675 cash-back</strong></td>
<td><strong>13% off</strong></td>
</tr>
</tbody>
</table>
<p>Besides the above, you can also get an extra $100 if you buy through Fortress&#8217; eShop by paying with points to offset $200 of spending &#8211; but that&#8217;s a bit complicated. We think it&#8217;s better to keep it simple.</p>


<credit-card-comparison-page language="en" creditcardtype="cash_rebate" particularcard="citi_cash_back"></credit-card-comparison-page>


<h4 id="recommended-reads">Recommended Reads:</h4>
<ul>
<li><a href="https://www.planto.hk/en/blog/credit-card-compare-recommend/?utm_source=plantowebsite&amp;utm_medium=websiteblog&amp;utm_campaign=iphone-11-pro-Max-credit-cards">Best Credit Cards for You in Hong Kong</a></li>
<li><a href="https://www.planto.hk/en/blog/expense-tracking-budgeting-101/?utm_source=plantoawebsite&amp;utm_medium=websiteblog&amp;utm_campaign=iphone-11-pro-Max-credit-cards">Budgeting with Planto</a></li>
<li><a href="https://www.planto.hk/en/blog/mpf-tdf-dis-compare/?utm_source=plantowebsite&amp;utm_medium=websiteblog&amp;utm_campaign=iphone-11-pro-Max-credit-cards">MPF Simple Strategy &#8211; Target Date Fund (TDF) and Default Investment Strategy (DIS)</a></li>
</ul>

Which credit card gives you the most cash rebates when you buy an iPhone 11 / Pro / Pro? Find out how you can save more than HK$2,000!

The smartest way to buy the new iPhone

<p>The <a href="https://www.apple.com/apple-card/">Apple Card is out in the United States</a> in both physical and virtual versions.</p>
<p>The Apple Card trademark was recently registered in Hong Kong, suggesting the eventual launch of the much-hyped credit card in the area. But there’s no reason to wait if all you want is a virtual credit card! With the rise of virtual banks and the added benefits in security and convenience, virtual credit cards are becoming the new norm.</p>
<p>So what&#39;s so great about this new fintech product? We&#39;ve done the research for you so you don&#39;t have to!</p>
<table>
<thead>
<tr>
<th></th>
<th><strong>Physical Credit Card</strong></th>
<th><strong>Virtual Credit Card</strong></th>
</tr>
</thead>
<tbody><tr>
<td><strong>Application Procedure</strong></td>
<td>Online / Walk-in</td>
<td>Online</td>
</tr>
<tr>
<td><strong>Transaction Modes</strong></td>
<td>Swipe / Contactless / Online</td>
<td>Contactless / Online</td>
</tr>
<tr>
<td><strong>Security</strong></td>
<td>Sensitive information embossed on card surface</td>
<td>Information stored and encrypted in phone</td>
</tr>
<tr>
<td><strong>Cashback and Offers</strong></td>
<td>Generally available. Depends on individual institutions</td>
<td>Generally available. Depends on individual institutions</td>
</tr>
</tbody></table>
<h2 id=""></h2>
<h2 id="physical-cards-replaced-with-virtual-cards-in-your-phone">Physical Cards Replaced With Virtual Cards In Your Phone</h2>
<p>As the name suggests, a virtual credit card lacks a physical presence that is the plastic currently sitting in your wallet. Instead, all vital information of a credit card is stored in your phone. With a phone that supports NFC (pretty much every smartphone post-iPhone 6), a virtual credit card functions identically to its physical counterpart except that you can’t swipe it. Rest assured that it is accepted in both physical (via contactless payment) and digital marketplaces, with cashback and offers from card issuers. <br><br>But if they do the same thing, why bother switching at all?</p>
<h2 id="card-info-concealed-for-safer-transactions">Card Info Concealed For Safer Transactions</h2>
<p>With a physical credit card, your full name, card number, expiry date and security code are exposed every time you take your card out &#8211; potentially a security risk if you&#39;re handing your card to a shop attendant!</p>
<p>On the other hand, a virtual credit card’s information is for your eyes only. A physical transaction with a virtual credit card involves simply tapping your phone on the compatible card reader. No visible information, nothing to leak. For added security, some cards such as Apple Card even have the option to generate a one-time card number and security code, eliminating the risk of information being compromised.</p>
<p>For additional security, users can activate passcode and biometric authentication (e.g. fingerprint, facial and iris recognition) to stop malicious attempts even when the phone is lost. Reporting a lost virtual credit card is also easier than reporting a physical credit card.</p>
<h2 id="faster-service-purely-online">Faster Service, Purely Online</h2>
<p>Virtual credit cards are open for application, renewal and reporting online, but so are most physical cards. The biggest difference is how long it takes to receive the new card: a physical credit card arrives at your mailbox within a few days to a month; a virtual credit card is instantly available upon approval.</p>
<p>On the other hand, since the virtual card itself cannot be swiped, sometimes you will have to fall back on cold, hard cash at stores without a contactless card reader. That said, with mobile payment increasing in popularity, this will become less and less of a problem in the future.</p>
<h2 id="hong-kongs-virtual-credit-card-options">Hong Kong’s Virtual Credit Card Options</h2>
<p>At the moment, CNCBI Motion Credit Card and ICBC UnionPay Dual Currency Greater Bay Area Virtual Digital Credit Card are the two options on the market. </p>
<p>The application and approval of the CNCBI card can be handled entirely on their dedicated mobile app, and the card supports Apple Pay, Google Pay and Octopus Card automatic top-up service; the ICBC card supports UnionPay and allows dual currency transactions (in HKD and RMB), fit for frequent Mainland-bound visitors. </p>
<h2 id="tip-physical-card-still-has-the-edge-on-offers">Tip: Physical Card Still Has The Edge On Offers</h2>
<p>The virtual credit card market is at its early stage in Hong Kong. If you are looking for better cashback rates, flight mileage and welcome offers, physical cards are still king for now. For example, PrimeCredit EarnMORE UnionPay Diamond Credit Card offers 2% cash rebate for linked Octopus Card automatic top-up service. Apply for the card through Planto to earn an extra $300. While you can find more offers and options in physical credit cards right now, we’ll see the odds even out as more virtual banks and cards like the Apple Card join the party, sooner or later. </p>
<p>Compare and find the right credit card for you: </p>

<p><credit-card-comparison-page language="en" creditcardtype="cash_rebate"></credit-card-comparison-page></p>


<h2 id="recommended-articles-for-you">Recommended Articles for You</h2>
<p><a href="https://www.planto.hk/en/blog/robo-advisor-compare-recommend">Robo-Advisors Comparison：Chloe by 8 Securities, Kristal.ai, Aqumon</a></p>
<p><a href="https://www.planto.hk/en/blog/credit-card-compare-recommend">The Best Credit Cards in Hong Kong</a></p>
<p><a href="https://www.planto.hk/en/blog/expense-tracking-budgeting-101">Budgeting with Planto</a></p>


The Apple Card is out in the United States in both physical and virtual versions. The Apple Card trademark was recently registered in Hong Kong, suggesting the eventual launch of the credit card.

A Guide to Virtual Credit Cards in Hong Kong

<p>There are a lot of credit cards in the market and each of them have their own unique benefits and welcome offers. You could get cards that focus on: cash-back, air miles, Automatic Octopus Topups (AAVS),better exchange rates or discounts when spending overseas, or just access to airport lounges!</p>
<p>Unfortunately there&#39;s no single &quot;best&quot; card out there &#8211; it&#39;s all about what suits you most. To help you make the best financial decision &#8211; the Planto team has curated, simplified and compared the top credit cards in the market.  </p>

<p><credit-card-comparison-page language="en" articleName="Credit Card Recommendation Article"></credit-card-comparison-page></p>


<p>The above table shows that each credit card has its pros and cons, and there is no perfect card out there because everyone&#39;s spending habits and saving needs are different. When choosing a credit card, it may help to ask yourself these questions:</p>
<ul>
<li>Do I value air miles or cash rebates?</li>
<li>Do I have a lot of foreign expenses, including expenses from shopping abroad or online shopping from foreign websites?</li>
<li>Where do I spend most of my money &#8211; is it food and beverage, entertainment, online shopping, tuition fees, water and electricity charges, etc.?</li>
<li>Will I ever use airport lounge services?</li>
<li>Do I often use Octopus to automatically add value?</li>
</ul>
<h2 id="frequently-asked-questions"><strong>Frequently Asked Questions</strong></h2>
<h3 id="how-does-the-credit-card-application-process-work">How does the credit card application process work?</h3>
<p>To apply for a credit card, you must be at least 18 years old and meet the minimum income requirement for the card. When applying, you&#39;ll often need to submit proof of income, proof of address and a copy of your ID. Applying for a credit card online is the quickest and usually only takes 10-15 minutes. The approval time depends on depends on the bank and the applicant&#39;s financial situation &#8211; ranging from days to weeks. If your credit score is not good, the bank may also refuse to approve the card or, in some cases, may give you a lower credit limit.</p>
<h3 id="can-i-apply-for-many-cards-at-the-same-time">Can I apply for many cards at the same time?</h3>
<p>Each time you apply for a credit card, the bank will check your credit history &#8211; this is also known as a &#39;hard inquiry&#39;. If someone&#39;s credit history has been inquired multiple times in a short period of time, the bank may worry about the applicant&#39;s financial situation because it implies the person is in need of credit e.g. a loan and is trying to apply to anyone who will give it to him. This can affect your credit history which may result in higher interest rates when applying for a loan or mortgage!</p>
<p>Another problem you may face is keeping track of your repayments for the credit cards and figuring out where you&#39;re spending! Luckily, the Planto app has a payment reminder feature to ensure you will pay your credit card before the due date.</p>
<h3 id="can-the-credit-card-annual-fee-be-waived">Can the credit card annual fee be waived?</h3>
<p>Many credit cards have no annual fee in a promotional period (often lasting 1-2 years) which means you may not need to pay an annual fee in the beginning anyway! Aside from that, one of the &#39;unspoken rules&#39; of credit cards is that as a customer you can actually call the bank and request an annual fee waiver! If you&#39;ve already been charged, you can still try to request them to waive and refund it to you! The Planto app will notify you of any fees you&#39;re charged including late payment and annual fees so you can take action towards it!</p>
<h3 id="do-credit-card-rewards-expire">Do credit card rewards expire?</h3>
<p>It depends! Most rewards last a year, but some banks offer reward points that never expire. If points expire and are not redeemed, they cannot be recovered. If you need some time to get enough reward points for a certain purchase, you could try to call the bank and ask them to give an extension &#8211; but it&#39;s not likely the bank will approve it. If you link your credit cards to Planto, you&#39;ll receive reminders and notifications before the points expire so you don&#39;t lose any money!</p>
<h3 id="what-happens-if-i-only-pay-the-minimum-payment-each-month">What happens if I only pay the &#39;minimum payment&#39; each month?</h3>
<p>You should always try to pay your statement balance on time! The actual interest rate of a credit card can exceed 30% so if you only pay the &#39;minimum payment&#39;, the fees will compound and over time may become more than the amount you had to pay! Furthermore, if you miss your payment, you may be charged a late fee and a handling fee which will make it cost even more. Planto reminds you if you&#39;re charged a late fee so you can pay your statement (in case you forgot) and request a waiver!</p>
<h3 id="what-happens-if-i-lose-my-credit-card">What happens if I lose my credit card?</h3>
<p>Please contact the issuing bank (usually a 24-hour hotline) as soon as possible! They will be able to deactivate your card immediately and re-issue a new one (accompanied with a new credit card number). If the credit card has automatic transfer, Octopus automatic value-added, etc., you would have to set those up again with the relevant institution (unless your bank offers to help with it). Any payments that happen in case of theft will be refunded by the bank as long as you report the theft or loss when it happens.</p>
<h3 id="how-do-i-cancel-my-credit-card">How do I cancel my credit card?</h3>
<p>If you want to cancel your credit card, you can call the issuing bank or go to the branch in person and follow their procedure.</p>
<hr>
<p>With these questions our table above as a guide, you can get closer to finding the right credit cards for you.</p>
<p>In case you&#39;re asking yourself: &quot;How can I pick the right card if I don&#39;t know how I spend my money?&quot; </p>
<p>That&#39;s what Planto is here for! After linking your credit card and savings accounts to the app, Planto gives you insights on your spending patterns, your spending categories and top merchants, essentially giving you the information you need to pick the right credit card.</p>
<h2 id="about-planto">About Planto</h2>
<p><a href="https://www.planto.hk/en/">Planto</a> is a Hong Kong fin-tech start-up that brings the new generation a revolutionary intelligent personal finance application. We are generously supported by <strong>iDendron from The University of Hong Kong</strong> and <strong>Cyberport</strong> to help Hong Kong users to manage their finances and save money, starting their journeys towards life goals like purchasing a flat, getting married, travelling and studying.</p>
<p>Like <a href="https://www.facebook.com/planto.hk/">Planto Facebook </a>page and follow our <a href="https://www.instagram.com/planto.hk/">Instagram</a> now to receive useful tips on personal finances!</p>


Compare the best credit cards for cash back, air miles, Octopus AAVS, foreign spending or for airport lounge access!

About Us

Blog

Other sites

Smart Spending

Make wise choices in daily spending. Compare and find out which Hong Kong credit cards, debit cards, and rewards programs suit you the best.

Compare the best credit & debit card offers