What are the requirements exactly for credit cards?

[verylostdog]

So I was playing a very dangerous game of shopping for gaming PCs earlier and I noticed that paying in installments was an option. Out of curiosity, I wanted to try but was told I needed a credit card.

 

Things to note - I’ve only been back in Thailand for 4 months but I work from home and well over 100k a month. I also have a Thai ID card. I tried with K bank.

 

I applied for the credit card and got rejected, they did not ask for any documents or proof of income. According to Reddit (not the most reliable source) you don’t have a credit score until you take out a loan or credit card. So I am curious, did I get rejected because my income is from overseas or not being in the country long enough? All I’ve been told is that my info doesn’t meet the banks criteria. Thank you in advance.

[msbkk]

19 minutes ago, verylostdog said:

So I was playing a very dangerous game of shopping for gaming PCs earlier and I noticed that paying in installments was an option. Out of curiosity, I wanted to try but was told I needed a credit card.

 

Things to note - I’ve only been back in Thailand for 4 months but I work from home and well over 100k a month. I also have a Thai ID card. I tried with K bank.

 

I applied for the credit card and got rejected, they did not ask for any documents or proof of income. According to Reddit (not the most reliable source) you don’t have a credit score until you take out a loan or credit card. So I am curious, did I get rejected because my income is from overseas or not being in the country long enough? All I’ve been told is that my info doesn’t meet the banks criteria. Thank you in advance.

You need to show a work permit and salary paid in Thailand. Alternatively you can apply for a secured credit card. In this case you have to deposit an amount as security which you cannot withdraw as long as you have the credit card.

[verylostdog]

6 minutes ago, msbkk said:

You need to show a work permit and salary paid in Thailand. Alternatively you can apply for a secured credit card. In this case you have to deposit an amount as security which you cannot withdraw as long as you have the credit card.

Thank you very much for your response. Is this applicable to all banks or only certain banks? In regard to the secured deposit, let’s say you go under your secured deposit limit of 500k, what are the consequences? Is the credit card frozen until your balance goes back to 500k or is it completely deactivated?

[chiang mai]

Just now, verylostdog said:

Thank you very much for your response. Is this applicable to all banks or only certain banks? In regard to the secured deposit, let’s say you go under your secured deposit limit of 500k, what are the consequences? Is the credit card frozen until your balance goes back to 500k or is it completely deactivated?

If you have enough money in the bank and you're well known to the bank, they will approach you and ask you if you want one that isn't secured by deposits, the key is they have to see a track record. I'd been with UOB for seven years before they asked me and I said yes. I only use it a few months each year, mostly it's for emergencies or balancing cash flow and the interest rates are especially poor.  Still, it's nice to have a credit line as back up. I don't have a work permit, am retired.

[Jerzy Swirski]

I have 800k baht on deposit for my extension of stay.

 

Can I use that money to get a secured credit card?

 

 

 

 

 

 

 

 

 

 

 

[verylostdog]

E

Edited September 11 by verylostdog

[verylostdog]

16 minutes ago, chiang mai said:

If you have enough money in the bank and you're well known to the bank, they will approach you and ask you if you want one that isn't secured by deposits, the key is they have to see a track record. I'd been with UOB for seven years before they asked me and I said yes. I only use it a few months each year, mostly it's for emergencies or balancing cash flow and the interest rates are especially poor.  Still, it's nice to have a credit line as back up. I don't have a work permit, am retired.

That’s good to know. Like you said, it’s good to have incase there is an emergency and it’s better to be prepared. I do agree the interest rates here are certainly not the greatest 

[msbkk]

24 minutes ago, verylostdog said:

Thank you very much for your response. Is this applicable to all banks or only certain banks? In regard to the secured deposit, let’s say you go under your secured deposit limit of 500k, what are the consequences? Is the credit card frozen until your balance goes back to 500k or is it completely deactivated?

Certain banks only, for example Bangkok Bank, Krungsri, Kasikorn. If you go below the secured deposit your credit card limit will decrease accordingly. But you have to apply and sign the new limit first. You cannot just withdraw the pledged funds.

Edited September 11 by msbkk

[DrJoy]

12 minutes ago, Jerzy Swirski said:

I have 800k baht on deposit for my extension of stay.

 

Can I use that money to get a secured credit card?

 

 

 

 

 

 

 

 

 

 

 

Yes.

 

The bank puts a LIEN on that amount, in case you default they use those funds to pay the credit card.

[Celsius]

You will not get installment payment option with a secured credit card. 

[verylostdog]

16 minutes ago, Celsius said:

You will not get installment payment option with a secured credit card. 

Seems quite pointless to have a secured credit card, unless you want to build a credit score. Or you are planning for a disaster to happen in the long term.

[1FinickyOne]

Shoot for a debit card... 

[verylostdog]

Just now, 1FinickyOne said:

Shoot for a debit card... 

I already have a debit card (I have kbank using my Thai ID). The purpose of the thread was mainly to understand the application processes of credit cards and why I was rejected. 

[1FinickyOne]

3 minutes ago, verylostdog said:

I already have a debit card (I have kbank using my Thai ID). The purpose of the thread was mainly to understand the application processes of credit cards and why I was rejected. 

most likely is that you don't have a sufficient credit history... giving credit is lending money and they would be reluctant to give it to any foreigner, who could easily disappear tomorrow. They want to be 100% sure they will get paid back - - - banks are not gamblers. I have a lifetime history of being honorable and making all payments in my home country - I have substantial 'bank' here for many years... I even know some bankers personally - I don't need a loan but I would not expect credit here. 

[1FinickyOne]

[verylostdog]

12 minutes ago, 1FinickyOne said:

most likely is that you don't have a sufficient credit history... giving credit is lending money and they would be reluctant to give it to any foreigner, who could easily disappear tomorrow. They want to be 100% sure they will get paid back - - - banks are not gamblers. I have a lifetime history of being honorable and making all payments in my home country - I have substantial 'bank' here for many years... I even know some bankers personally - I don't need a loan but I would not expect credit here. 

Most likely. Me personally I’ve never had a credit card. The only reason I considered having one was for the installment options. In my country, you do not need a credit card to finance a car for example, just bank details and a good credit history. Whereas here, it appears you need a credit card to finance products (such as a gaming computer).
 

My confusion mainly came from the fact that I read somewhere a credit score is only generated once you take a loan or a credit card out. But I learned earlier in the thread that a secured credit card may help you build that history the banks seek. Even renting houses or paying your phone bill can be done with cash rather than a direct debit.

Edited September 11 by verylostdog

[asiaexpat]

As an expat I acquired a BBL secured credit card 20 years ago and have used it for various transactions over the years to include installment buys. The card has a limit tied to the fixed deposit account. Now that I am above the age limit for credit cards in Thailand (over 70) I have been rejected at various banks when I applied for a new card. Credit history was not factor in issuing a secured card and the card started my credit history in Thailand. I receive a yearly credit report.

Edited Thursday at 01:25 AM by asiaexpat

[Everyman]

It’s likely that paying in installments at that shop is completely separate from paying with a credit card. they require you make the installment payments with a credit card? what sense does that make? 

 

more likely, installment payments are unavailable to you and they suggested using a credit card instead. 

[msbkk]

26 minutes ago, Everyman said:

It’s likely that paying in installments at that shop is completely separate from paying with a credit card. they require you make the installment payments with a credit card? what sense does that make? 

 

more likely, installment payments are unavailable to you and they suggested using a credit card instead. 

It makes sense because the credit card will block the purchase amount on your card against your credit limit but you will have to pay monthly. The seller has the guarantee that you will pay your installments. Without the credit card there is a risk of default for the seller. I use this system all the time for larger purchases.

Edited Thursday at 02:05 AM by msbkk
addition

[Digitalbanana]

 

12 hours ago, verylostdog said:

In regard to the secured deposit, let’s say you go under your secured deposit limit of 500k, what are the consequences? Is the credit card frozen until your balance goes back to 500k or is it completely deactivated?

With my KBank secured credit card, you can spend any amount on the card up to the amount in the secured deposit account and pay it back when you want with interest. They start at 50k deposits I believe. Its a good source of interest income for the card issuer and a means of convenience at a small price at times for the card holder.

[jayboy]

12 hours ago, verylostdog said:

I also have a Thai ID card

 

What do you mean by this?

[Gottfrid]

12 hours ago, verylostdog said:

All I’ve been told is that my info doesn’t meet the banks criteria. Thank you in advance.

How would it be if you read the bank criteria?

[Gottfrid]

5 minutes ago, jayboy said:

 

What do you mean by this?

Probably that he have a pink card. Rather useless.

[1FinickyOne]

10 hours ago, verylostdog said:

Most likely. Me personally I’ve never had a credit card. The only reason I considered having one was for the installment options. In my country, you do not need a credit card to finance a car for example, just bank details and a good credit history. Whereas here, it appears you need a credit card to finance products (such as a gaming computer).
 

My confusion mainly came from the fact that I read somewhere a credit score is only generated once you take a loan or a credit card out. But I learned earlier in the thread that a secured credit card may help you build that history the banks seek. Even renting houses or paying your phone bill can be done with cash rather than a direct debit.

I have had many annoying experiences with banks in the USA over this issue. Being self employed was not viewed as kindly as getting a regular paycheck. 

[oxo1947]

13 hours ago, verylostdog said:

I applied for the credit card and got rejected

As mentioned-- its more like a debit card as you have (usually a separate account) where you have the money deposited I put 100K in-you then get to chose what % you want to pay back each month---I went for the 100% pay back, so there are no real charges. its handy Hire cars Book most foreign hotels etc. Security is good, every time I use it my watch/phone alerts me that I am---and if its a large amount they want me to confirm. If you do succeed in getting one--I really recommend the Air Asia card.  (mainly BKK Bank do that one) just showing it allows you to board first - it really doesn't take a lot of using before you are getting free drinks and upgrade seats especially if you use it to book air fares. I didn't have any of the things mentioned work permit etc etc , but I know things have changed a lot re bank accounts.

[sometimewoodworker]

1 hour ago, Gottfrid said:

Probably that he have a pink card. Rather useless.

I disagree, I use my pink card quite often.

[oxo1947]

1 minute ago, sometimewoodworker said:

I disagree, I use my pink card quite often.

Agree 100% ---its save me a lot of time --no proof of residency for driving license etc  many other things--and it took about 90 minutes to get.

[Foxx]

Deposit 5 million baht in fixed deposits with Krung Sri.  That immediately gets you Krungsri Exclusive status.  Wait 6 months and you can get an unsecured credit card.  You can then withdraw the 5 million if you wish to do so.  You lose Exclusive status, but keep the card.

[Gottfrid]

38 minutes ago, sometimewoodworker said:

I disagree, I use my pink card quite often.

For what? You ain´t got a driver license? Works for me in hospital, municipality, banks (actually opened an account with DL and only my address) and attractions and entertainment for not get a higher price.

[Liverpool Lou]

3 hours ago, Everyman said:

It’s likely that paying in installments at that shop is completely separate from paying with a credit card. they require you make the installment payments with a credit card? what sense does that make? 

I believe that the repayments are set up as a regular charge to the credit card.