Credit Card application rejected

I used HSBC when I lived in Malaysia. I was not earning anything so my income was zero but they still gave me a Mastercard and also a Visa card and also subsidiary credit cards for my wife who was also not working. I never asked my other banks - RHB, Ambank, Maybank and CIMB, but Ambak seemed the nicest towards me.

Thank you for the reply wyngrove.

What I realize is that foreign banks are more willing towards entertaining expats where as local Malaysian Banks are hesitant. In their website they clearly mention Expats can apply too. But when you click for apply there is option to enter only NRIC you can not enter the passport number. Hence your application is auto blocked. Next when you do get to talk with customer care or apply via bank directly they simply reject your application and wont even provide a reason. I am happy with my CITIbank credit card. I decided to go for the Maybank gold card or CIMB Travel card as they provide more offers and are very well within my income limit. They said Malaysians annual income should be 30 k per annum , and expats should be 60 k per annum , I have more than double that criteria still my application is rejected . I feel insulted and depressed with this experience. Anyone else try to apply for a credit card in a local bank ?

Anis

I wouldn't get depressed about it, You've got a Citibank credit card which is great. No need for a local bank credit card as long as you have debit cards.

For my many years in Malaysia I almost exclusively used my HSBC credit and debit cards. The Maybank was used to keep money if I sold a property because HSBC investigates and can partially suspend accounts when large sums appear from nowhere  and also it was easy for tenants to pay there rents to Maybank. Ambank was purely for Fixed Deposit investments and they did upgrade me to a Privelage account holder and I had a personal manager. CIMB I never needed to use so eventually closed that account, and RHB was just for a car loan and was arranged by the car dealer.

So I would just stick with Citibank. Do you really need a credit card with a local bank?

Can get credit card by pledge Fixed Deposit.

The FD amount will be your credit card limit.

Many banks offer FD credit card. You only can do it in the bank, no online application. Easy approval.

Yes I was interested in the CIMB or Maybank credit card. But forget credit card even opening a savings account is a hassle. I feel racially insulted. Either they should keep their bank only for the locals or they should be more acceptable towards the expats. This is how I felt in my mind when going through this.

For eg:

• The restaurant is open for every one and when you enter when they put the first barrier and say , sorry expats need to have a higher earning than the locals and hinting you to walk out.
• You break the barrier and prove you can earn more and enter the restaurant
• Next barrier the waiter says sorry expats can not have the window table
• You break the barrier and settle for a decent enough table
• Next some one from inside comes and tell you , I am sorry sir we can not serve you because your company is not registered with our restaurant.

Imagine that and correct me if I am wrong to feel racially attacked?

@Renz MC

I understand the need for collateral security , KWSP account 2 can also be used for collateral other than FD. All foreign banks are using it.

@anisbank:

I have never experienced or seen anything like that during my 12 years living in Kuala Lumpur as an expat. And there is a very large population of Malaysian Indians in Malaysia which I always saw eating in all kinds of places, so I cannot really comment. I wouldn't think that Indians are discriminated against in restaurants. I doon't think that there are many restaurants like that. For the most part, we usually ate at restaurants in shopping malls and at mamak restaurants, banana leaf restaurants, Korean, Chinese, Japanese, Thai, Indian restaurants etc. Nothing high end except on rare occasions. Places like Sushi Zanmai, Madam Kwan, Ben's and that sort of place with occasional eating out at Chinese seafood restaurants.

As for banks, we always found things easy and never any issues opening new accounts. The only bank that ever refused to let me open an account was a local Chinese bank in Bangsar who told me they only open accounts for locals. I just wanted to check FD rates with them anyway, so nevermind.

@anisbank i don't think so. Even we local myself and my friend apply credit card also got rejected. We have all the documents & meet those requirements.

@wyngrove60

You mistook me brother,

The restaurant scenario was an example. I am comparing the Bank experience with an imaginary restaurant experience as an analogy to explain my feelings.

I'm sorry you are finding it difficult to get a credit card with a local bank. Maybe you have a legitimate point, I have no idea. Anyway, good luck in your future.

Im sure there is no racial prejudice but Malaysia never liked foreigners in general. Though its old-fashioned now, I would suggest finding a customer of the bank you like and let that person make the introduction with you directly in the bank. That might make the difference.

Thank you all for your update and emotional support. Just to update,

During the last week , I personally went to CIMB bank and applied for their credit card. This is my experience.

I waited in line for a ticket like every one else , the guy who handles the ticket straight away asked if I was a foreigner as he can see I was holding my passport in hand. He didnt even give me a ticket number. I was asked to wait in a char near a counter. One staff simply asked me what I was waiting for and took me to an empty counter to process my application.

The staff was very supportive checked all my documents , LHDN , KWSP , payslips all good. In the end she dropped a hook by saying they can ONLY process my credit card application if I open a savings bank account with them. I said ok and we filled in the form for the savings account. Two days later I get a call from the bank that foreigner can not apply savings account. when I asked she said my employer needs to transfer their whole payroll system with CIMB bank ( which is ridiculous considering I just wanted to apply a credit card in the first place ). I explained the lady on the phone even if I requested my employer which is a fortune 500 company , do you think would they entertain requests like this just for a simple guy like me to open a savings account ? its not in my control. The lady simply said in a cold voice , that is our policy I am sorry foreigners can not open account and hung-up.

I have given up applying to local banks. The only reason I wanted to apply these credit cards is because there are some stupid merchants who are providing some stupid offers only if I have one of these credit cards. The only thing I feel bad is the double standards of treatment towards foreigners.

It seems that being a working foreigner in Malaysia is not the same as having the MM2H retirement visa where they only require a copy of the confirmation letter from the Ministry of Tourism.

It does make sense to me that you should be able to open a savings account, but it's really weird that as a foreigner ligitimately working in Malaysia that you cannot. Still, if all the local banks say the same thing I guess that must be the rule.

I don't call it a double standard towards foreigners, but more that as foreigners living and working in a foreign country that we must abide by their rules, and accept that there are probably good reasons why they do what they do. It's not that they don't like foreigners. Anyway, all the foreigners under the MM2H program are allowed to open local bank accounts, so it definitely is nothing to do with being a foreigner or an Indian at that.

If I were working for a Fortune 500 company, I would bring up the topic with the relevant people in the company. They would definitely be able to tell you what you can and cannot do as far as opening a local bank account goes and probably the reasons for why they are blocking you.

By the way, there are a lot of foreigners here in this forum who are working or have been working in Malaysia for a long time. Surely they have savings accounts/credit cards with local banks. Perhaps you need to verify this and ask them how they did it.

Its very strange to me since the criteria of opening any account is that the foreigner is working for a higher grade company and thats it. So whats changed? Im guessing Malaysia itself, not the bank. As Malaysia has grown (and mind you through the efforts of myriad foreigners) it takes the position, "thanks a lot, we dont need you anymore, get out." By doing things like easily opening accounts (that the govt knows is required for living) it encourages others to follow and thats not what the country wants anymore.

Same thing has happened in MM2H and every other facet of local life. Ive witnessed the trend since at least 10 years and sorry to say, discouraged people from coming. Its no wonder countries like Portugal and others are picking up foreigners beat down by other countries. ASEAN is all about the same now. And again, if you are super rich you can land anywhere you like. The peons and peasants arent welcome anywhere now.

I kept my US visa card and it works like a charm. Opening a bank account or getting a credit card here is like pulling a tooth if you are retired. If you are student or working I was told by the bank it is easy. They rejected me before even asking about my income.

@anisbank

Please do leave a gap of at least 6 months between your credit card applications. This is because when a bank rejects your application, it would be in the CCRIS system for 6 months. So even when you apply through another bank, they might reject it as well, simply because another bank had already rejected it previously.

I never used a US credit card because of unfavorable exchange rates and fees. I always have transferred cash to my bank and then withdrew cash and paid everything in cash.

Also on a related matter.....Tesco decided to charge extra fees (or reject the transaction) for credit card use if the transaction was below a certain limit. This is against rules of VISA and violates international trade laws too. I voraciously complained to VISA and fairly soon Tesco reversed the rule. Im very happy to have created such a mess.