One of the unwelcome move in Malaysia’s 2010 budget is the new RM50 tax imposed on each credit card issued to customers. The motive behind this move is said to curb the unwise speeding habit among certain customer which could sometime end up owing thousand of unsettled debt to credit card issuers.

While I agree that certain quarter has abused the credit cards for something unnecessary, but credit card has become a necessity for some such as travelers, businessman, tourist or just regular folks who frequently using it instead of bringing cash.

No one spared from this tax including those that keep the cards without using it (as backup) or one the use and pay the card prudently. Like millions of credit card holder out there, I still in the dark on the mechanism that credit card issuers will be using to impose this tax to the credit card holders or how to get the waiver.

Fortunately, TheStar has come out with very useful graphic showing the mechanism, that each credit cards issuer will use to offset the tax . If you’re currently holding more than 1 cards, it is going to be troublesome to call each credit card issuer to sort this out, and then keep track of it. Here are some of the important point you should take note.

• Only Bank Rakyat unconditionally subsidizing the RM50 tax
• MBF Cards does subside the RM50 tax with at least Rm300 permonth or RM3600  per year of spending.
• between 9500 to 15000 points required to offset RM50 tax
• RM50 Cash rebate offered by Eon Bank with at least 3 transaction in 2 months

Graphics courtesy of The Star.