UOB cunning scheme to prevent bad debt

dibilo SG

It comes in the form of creditsure. How it works is this. For every cent you spent, they charge you a sum of money. This money is used to pay for an insurance which will come into effect if you die or become disabled. Now, that means you are paying an extra sum of money every month so that if you die, whatever you spent that month will be paid for by the insurance company.

Clever move, because normally, when a person dies, everything he/she owns goes to the next of kin and the person's estate becomes 0 and that means, the bank can't claim a single cent from you.

If you are holding a UOB card, make sure you dont to check your bills to ensure you are not charged this extra amount for every cent you spent! For me, I don't think I am going to trust banks that come up with schemes to rip its customers off. I just called in to cancel my card.

yourfavouritefriend SG

not the bank who came up, it's the management who approve the scheme

dibilo SG

you got a point but its also the management running the bank. Same thing.

FireIce SG

dun opt in

maxtor SG

Hi,

I would like to try to clarify this.

What you have purchased is a form of credit card insurance. This is an opt in feature, not a standard one. You may recall a UOB officer calling you to inform you of some 'new product that protects your wealth' or something, and you agreed to it. By agreeing to it you have unknowingly purchased this credit card insurance.

This credit card insurance covers you for Death/Disablement in the event that something happens to you. What it does is it pays your card bills for you, so as to lessen the burden on your loved ones. You mentioned that in the event something happens to you, all your money will go into an estate, this is true. But UOB is still able to make a claim against your estate for your outstanding credit card bills if you do not purchase this insurance.

The premiums are not very high, if im not mistaken its a small percentage of your total card bill, $0.38 per $100 i think (cannot be sure). But personally i think its not worth it, thats why i didn't purchase it.

Do be careful of telemarketing calls. Always ask yourself what is the intention of the caller. Cheers.

As romanista2001 SG

some kind of derivative against credit card loan defaults..................the very things that are killing the banks in the 1st place...............LOL