Based on a ranking released by The ‘Independant Australia’ Index in 2016, UAE is supposed to be at the top, when it comes to the economic freedom of the people. The majority of the population is made of Expats, which makes this country a hot spot. But all of this is possible through choice. People need and choice in convenience especially when it comes to finances. The spending power of the people in UAE is also high which means the monthly expenditure on an average is high, keeping in mind the income is also at power with the spending power.
While this is a good thing, it also poses several challenges in the form of providing choice and convenience at the same time. Interest rates for credit cards are quite high in the country, but it does not matter because, based on a study 63% of the people of the 7 Emirates are unaware of the interest rate they are being charged on their credit card bills. People here spend exuberantly and also love choice. Co-branded credit cards are not only an addition to the bank’s credit card catalogue, but also comes with great features and benefits, to help exuberant buyers also save, sometimes.
What is a Co-Branded Credit Card?
Co-branded credit cards are basically associated with a non-financial company, in collaboration with the bank is able to provide value added services as well as exclusive benefits to the card holder. The most popular collaborative co-branded credit cards include partnerships with airlines, retail houses, amusement parks, sports clubs, hotels and restaurants in general. While these cards are often associated with a particular brand and come with the special benefits from the partnership, they also come with the regular privileges and benefits of a regular card. But what is the true difference?
Difference between Regular and Co-Branded Cards
Here are the most important distinguishing features between a co-branded and regular credit card:
|Regular Credit Card||Co-Branded Credit Card|
|Has a regular set of benefits that is inclusive of the bank and credit cards company.||These cards come with the regular set of benefits as well as special privileges which are given by the other participating company.|
|The bank provides the privileges with VISA or Mastercard||The bank provides the services and benefits of this card in collaboration with the participating merchant.|
|The offers are mainly based on the type of card taken and the privileges that come with.||This comes with such offers along with added privileges providing by the retail partner.|
|Reward points are generally not that high and based again the category of the card.||Reward points are collected faster and higher if the affiliation with the brand permits special reward points.|
|They generally have minimal annual or monthly fees.||They generally have a higher monthly or annual fee for getting the special privileges.|
Features and Benefits of Co-Branded Credit Cards
Here are some of the major benefits, why you should would want to opt for a co-branded credit card over regular credit cards:
- These cards come with benefits that can be reaped both in UAE and beyond. Some special offers that are dedicated to that brand are available at outlets or serviceable internationally. This is mostly common with retail brand and lifestyle brand partnerships.
- Special discounts and privileges are available to people who use co-branded cards. For example if you have a football club affiliated credit card, not only do you get discounts on exclusive merchandise but often are given chances to meet the club members, etc.
- The monthly spending limit are also sometimes higher because they are international cards and come with eligibility criteria where higher income group are preferable for membership.
- You also get the advantages of the bank’s benefits such as credit shield or reward point system.
- When you own this type of plastic money, you also get to earn more reward points, allowing you to exchange the points to redeem great gifts, services, hampers and deals.
- Airline cards come with earning miles which can be collected to fly for free, when someone collects enough.
- Lifestyles cards affiliated to a lifestyle brand may even offer free or discounted membership to golf clubs, spas and restaurants in UAE.
- Assistance on your card is more exclusive and have to go through lesser rounds of IVRs.
- Some of these cards also have special flexible payment options as well.
Banks Offering Co-Branded Credit Cards in UAE
Here are some of the banks and the co-branded cards offered to customers in UAE:
|Bank Names||Co-Branded Credit Card Names|
How Bankbazaar.ae Can Help You in Choosing the Right Co-Branded card?
Our website gives you detailed information about credit cards as well as other personal financial products available in UAE. Here, you can not only find ample information, but search for exactly what you are looking for through comparisons and quick details about the credit cards.
All you have to do is simply, go to the homepage and choose the credit card category. You will get the list of all the leading banks in UAE and the credit card products that are being offered. You can take a closer look with each credit card, broadly discussed and detailed for your convenience. If you are interested in a particular bank’s offerings in credit cards, simply go, click or tap on ‘By Bank ’, to choose a credit card with the bank name.