From the “Important Information Document” bundled along with the Manhattan Platinum Credit Card application:
Death and Insolvency of a Cardholder: The entire outstanding dues in the Card account shall become payable in full by your successors or assignees in the event of your death or insolvency or winding of your business.
Credit APR = 37.20%
Cash APR = 41.88%
I doubt if the “death and insolvency” condition is even legal. Unless you personally guarantee something by putting down your signature, how on Earth can you be implicitly held responsible for paying someone else’s unsecured debt?
The interest rates are closer to “extortion,” but the Card Issuer (Standard Chartered Bank) claims that these are special rates on offer. Makes me wonder what their non-special rates are!
The only good thing about this credit card is that it self-destructs (i.e. becomes invalid) automatically unless you choose to explicitly renew it after a year (by paying an annual fee of Rs 999).
I would think the liability of the successors would be limited to the assets of the deceased…
I guess these are the “normal” rates everywhere. A question, at your leisure time, could you post an article on “what really is the difference between APR and flat rate”. I googled, but I couldn’t really find a proper document.
One good reason I said no to Standard chartered bank, when they offered me their Manhattan credit card…:D
Don’t u think its a little ridiculous to pay annual fee irrespective of the fact that you use the credit card frequently or not??.. It baffles me that a user has to pay annual fee just for holding a card, in this case 999 Rs, it can buy me a Rs 50/- meal for next 20 days…
What are Credit Cards?
It is a finanÂcial prodÂuct through which a user can purÂchase good/services in credit. In genÂeral terms, payÂment is not done at the time of purÂchase and is made at a later date. The benÂeÂfit of credit card is it increases the purÂchasÂing power of the indiÂvidÂual withÂout increasÂing the earnÂing of the individual.
Read the entire information about credit card basics – http://www.investmentbazar.com/credit-cards-basics/