SCB offloads Credit Card division to CardX

[Jenkins9039]

Just had a letter through the door, seems SCB has offloaded my Credit Card (SCB Platinum) to a company called CardX.

 

https://www-scb-co-th.translate.goog/th/about-us/news/jun-2565/card-x.html?_x_tr_sl=th&_x_tr_tl=en&_x_tr_hl=en&_x_tr_pto=sc

 

Anyone know of the changes ahead ?

 

Had it since 2012 (1m THB limit) - actual credit card not pre-pay card.

 

Avg expenditure of 2-300k a month

 

Have to admit, irked by the action, get tonnes of vouchers annually which keeps the wife happy when doing the grocery shopping at Central, and convenience using the card around the world, likewise the prestige of the card (in restaurants) which leads to x Discounts etc, never heard of CardX until today but pretty certain it won't have the same appeal/prestige within the consumer markets

 

Edited November 3, 2022 by Jenkins9039

[CharlieH]

Banking forum.

 

MOVED

[tomazbodner]

Was informed a couple of months back. Nothing changes. CardX is owned by SCB, just spinned off to a separate entity, still fully owned by SCB.

 

According to the restructuring plan of The Siam Commercial Bank Public Company Limited (the “Bank”), which the Bank announced on 22 September 2021, the Bank will transfer certain types of the Bank’s credit card business and personal loan business to Card X Company Limited (“CardX”), which is a company in the same group as the Bank, and which has been authorized to operate a credit card business and personal loan business. Such transfer of certain types of credit card and personal loan business to CardX will become effective on 10 December 2022 (the “Business Transfer Date”) after the approval from the relevant authorities has been obtained. (If there is any change in the Business Transfer Date, the Bank will notify you accordingly.)

 

Subrogation of Rights by the Transfer of the Credit Card Service Agreement, and the Transfer of the Claims under such Agreement

 

By this letter, the Bank and CardX would like to inform you of the subrogation of rights by the transfer of the aforementioned credit card service agreement to CardX, and the transfer of the claims under such agreement, including the subrogation of rights to be the insured person and/or beneficiary (as the case may be) in the place of the Bank, in the case that you hold a life insurance policy, the main benefits of which will be paid for the outstanding debt of the aforementioned credit card(s) to the Bank - regardless of whether the Bank is the insured person and/or beneficiary under such life insurance policy. This will be effective from the Business Transfer Date onwards.

 

Therefore, from the Business Transfer Date, CardX will become the service provider of the aforementioned products to you. Any statements referring that such products belong to the Bank (in all channels) shall be regarded as the products of CardX. CardX is to be subrogated as the counterparty in the place of the Bank from the Business Transfer Date onwards, and you can continue to use such products from CardX. In this regard, CardX would like to notify you of the changes made to the terms and conditions of certain related products and services as specified in this letter.

 

Communication channel via LINE Official Account: @cardxthailand

 

CardX has developed a communication channel with you via LINE Official Account: @cardxthailand for the purpose of checking the relevant information, such as product information, news, benefits, and reward points. You can add the LINE Official Account: @cardxthailand

 

[Etaoin Shrdlu]

I also received the letter yesterday from SCB about this development.

 

Reading between the lines of the public relations spin contained in the link the OP provided, it seems that SCB is looking to go downmarket in reaching out to the 20 million Thais they claim don't have access to formal credit. They also seem to be expanding their digital footprint as a means to do so, but details are scant.

 

SCB must see this as being a somewhat risky venture since they state that this is being done to "export CardX from the banking business." Perhaps this move ring-fences this risk from the core bank balance sheet.

 

For the most part, it does not look like major changes are in store for most existing SCB credit card holders, but time will tell.

 

Perhaps someone in the banking business could help interpret this change and explain why SCB felt it necessary to do this.