Change In Credit Card Usage Rules
Saturday, 22nd December 2012
The Monetary Authority of Singapore (MAS) has the Credit Card rules changed to encourage the responsible use of credit card and unsecured credit. Individuals whose interest bearing balances with a financial institution are more than two months of their income for six consecutive months or more will not be allowed to charge further amounts to their unsecured credit cards, charge cards and unsecured credit facilities from that financial institution, or obtain new cards and unsecured credit facilities from any financial institution. This changes is needed as Singapore is seeing the early symptoms of a debt bubble emerging. Singapore's bank credit-to-GDP ratio stood at 137% in June 2012. The high level is linked to surging property prices in Singapore.