Normally, when we talk about a banking product such as loans, the basic features and benefits it offers more or less remain the same since it was first conceived. In case of credit cards, the advantages have been growing by each passing year, offering a plethora of monetary and ancillary benefits. What used to be a mobile instrument that could only be used for making purchases and charges is today a product that offers some innovative features such as EMI conversion, Rewards earning & redemption etc.
One of the newest innovations in the world of plastic money is Co-Branded Credit Cards. A highly customized card that offers the most salient benefits along with the exclusive ones based on the partner who is participating with the bank in this program. The Co-branded credit card segment is one of the most hottest and most evolving in the world of credit cards. Preferred by many to sync their lifestyle based needs, this segment is seeing some hectic activity over the last couple of years in Philippines in terms of new offers being rolled out quite often.
What is a Co-Branded Credit Card?
A co-branded credit card is jointly issued by the bank along with a branded retailer that predominantly bears names of both the partners, i,e the bank and the participating brand. Cards provided under this category works like just any other credit card, but with a twist. Co-branded cards not only offer standard benefits but exclusive perks such as reward points program(with the partner), rebates and discounts. Some of the most common tie ups(co branding) are in sectors such as airlines, malls, cinemas, departmental stores and petrol companies.
The co-branded cards have a dual set of benefits in terms of one set of standard benefits provided by the card issuing bank and a second set of privileges offered by the participating merchant/retailer. These cards always offer that extra privileges you might be looking for in a specific segment such as airlines for frequent traveller.
Difference Between Normal and Co-Branded Credit Card
|Regular Credit Card||Co-Branded Credit Card|
|Consists of a standard set of benefits||The standard benefits are complemented by special privileges offered by participating merchant.|
|Is offered by the bank only||Is offered by the bank in partnership with the retail partner.|
|Discounts, perks and rebates offered are dependent on the type of card being availed.||The predefined perks in reality, are more than the standard set by the bank.|
|Reward points earning potential is dictated by the type of card in question.||Reward points earnings are relatively higher and is largely based on the partner with whom the co-branded card is being offered.|
Benefits of Co Branded Credit Cards
- These cards offer those extra privileges and perks on the basis of the card opted for. Let's say you’ve chosen a card in the airlines category. The card issuer will tie up with a major airline to help you derive more out of the co branded card by offering extra miles, free flights, unlimited airport lounge access etc.
- Rebates and discounts that one can avail is high in these cards. For example, a co branded card issued in association with a mall can guarantee attractive discounts and rebates at major stores operating in the mall chain.
- Gets the cardholder priority access to events and clubs if the card falls in being offered with a lifestyle based retailer.
- These cards may come at competitive rates and terms. A co-branded card holder can be eligible for a waiver of AMF(Annual Maintenance Fee) on the basis of spends made at partner stores and locations.
- Most of the co branded card comes with an advantage of exclusive rewards program where the cardholder not only multiples his points earning potential, but also easy redemption through various online and offline channels.
How To Sign Up For The Most Suitable Co Branded Credit Card
This segment of credit cards is quite luring. The kind of perks they offer can make you choose one blindly without much contemplation. After a few weeks into the usage may make realize that this may not be the right one for you. The checklist below will help in assessing the spending patterns and interests to help you sign up for the most suitable co branded card.
- If you’re an existing credit card user, try to assess your spending patterns in the last couple of months. Try to drill down the category you spend the most. Some of the most visible categories are fuel, departmental stores, airlines, clubs etc.
- The second task would be to identify your preferred brands in these categories. Eg:your favorite brand, the continuity of purchases with your favorite brand and so on.
- The last task in your quest to get the most favorable credit card will be to ascertain the benefits that you would prefer such as rebates, reward points, freebies to name a few.
After you’ve jotted down answers to these intriguing questions, it's time to choose from a plethora of co branded credit cards from banks in the Philippines that best suits your preferences and needs.
How Can bankbazaar.ph Help Me In Choosing Co Branded Credit Cards
This website is your one stop shop for all that you need to know about various financial products in the Philippines that includes comprehensive information on credit cards from various banks in the country. Our webpages not only acquaint you with the credit card features and benefits, but also provide the most up to date information on rates and fees.
Use the Credit Card menu option on the homepage to access details of cards either by bank or by categories. If you’re looking for specifics on co branded cards, click the “By Bank” link to find information pertaining to cards offered by banks in this category. By clicking on “Explore Card”, you can find out further about the card. This task makes it furthermore easy to find a card that syncs with your preferences and requirements, based on which you can apply for the card of your choice.
Banks Offering Co Branded Credit Cards in Philippines
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