Credit cards changing people’s lives for the better

Credit cards have gradually turned into a part of everyday life through sheer convenience and stellar support from Bangladesh’s banking industry. In an exclusive interview with The Business Post’s ASM Saad, City Bank Head of Retail Banking Arup Haider shared his view on how credit cards are changing lives and having a direct positive impact on consumer lifestyle.

How does a credit card change people’s lives, and lifestyle?

Credit cards are changing people's lives for the better while positively impacting their lifestyle in multiple ways. From our analysis, we found that customers can enjoy 4-5 times higher value compared to the annual fees that they pay for availing this facility.

For example, holding a credit card enables a consumer to avail lounge access at airports with companions, get bank funded Buy One Get One buffet dining offers at five-star hotels, increase purchasing power by providing the option of converting high volume transactions in 0 per cent interest EMIs, enjoy great savings around the year, and get special deals during festive seasons.

Consumers can also earn reward points/cashback for all purchases, handle financing needs by Securing emergency loans from their credit card. Our debit cards also provide 1 per cent cashback for all purchases.

Therefore, I can say that a customer's lifestyle will undoubtedly improve if they can fully utilise these value propositions.

How can consumers utilise credit cards more responsibly?

Here are some tips for managing credit cards responsibly and keeping them from negatively impacting monthly expenditures.

Consumers should spend within means, track regular expenditures, set reminders on calendar for due dates and pay bills on time. A consumer should choose the right card that matches their needs, know the fees, and learn terms and conditions properly to avoid any confusion.

What's your opinion on being a sustainable credit card customer?

As I said earlier, a customer should follow all credit card usage policies and procedures in order to be a responsible and sustainable credit card user.

When making purchases, they should consider whether they can pay back the entire amount by the due date in order to avoid recurring interest and other fees. To avoid forgetting to pay on time and facing late fees, they can also set a calendar reminder or instruct the bank to conduct auto debit.

Furthermore, when making big purchases, the buyer should check if 0 per cent EMI is offered. If not, the buyer can convert the purchase into monthly interest-bearing EMIs to avoid paying large one-time cash outlay.

I believe that by following these rules, a customer can take advantage of the lucrative rewards and perks of credit cards, while using the facility responsibly and sustainably.

How many City Bank credit card users are there?

Our total number of issued credit cards as of February 2024 is 6.8 Lakh. We issue roughly 70,000 new cards every year.

Why is City Bank credit card different, and why would customers purchase through your card?

With a nearly 23 per cent market share, City Bank is presently the industry leader in the credit card sector. Certain factors have enabled us to differentiate ourselves from other market competitors.

Those factors include holding sole issuing and acquiring license of American Express, proper matching of products and segments, competitive value pillar, and periodic review of value propositions as per changing customer demand

We also offer best-in class customer service and loyalty programme, dedicated card customer service centers, 3 lounges at the Hazrat Shahjalal International Airport (HSIA), state of the art Citytouch internet banking app, 24/7 Call Center, skilled sales force, wide merchant coverage, and the bank’s brand value.

Customers purchase through our cards frequently because we provide maximum value to their needs and demands.

One of our bank’s core values is “Customer Delight,” meaning the guiding principle of all of our initiatives and actions are based on exceeding customer expectations, which helps to create maximum customer delight and loyalty.