percysmith

http://www.hkbea.com/hk/pb/cc/latest...n_16/index.htm

Self explanatory. But some offer maximisation details:

- if u have more than one BEA principle care (I've three) u can enjoy the offer multiple times

- unlike Dah Sing lucky draws (but like the Goodies Reward) u can use as many cards as u like/need to pay one tax bill

percysmith

I haven't read through the whole offer yet, tho looks good http://www.hongkongcard.com/forum/fo...ow.php?id=6233

Edit 2:49pm: 125,000 pts for $12,000 spending = 8,333 miles = $1.44 earn rate. Of the $12,000, $6,579 must be in designated categories (dining, dept store, supermarket). Don't think I can make it.

Edit 4:45pm: selected customers only, call CCB CS 317 95588 to confirm whether you are or are not.

Connecta

Thanks again, kaka.

Well, the reason why I'm wondering on how much exactly the lower Skype reward on accessories would be, is that e.g. the Chinese merchant 360buy.com merchants offers 15.75 on other electronics. Couldn't figure out exact shipping with Google Translate for bigger items to HKG yet. While 30x is super attractive, I actually don't really need Skype Credit.

kaka

whoops到會is not included... i need to replan this again. i'm quite confident at reimbursable family dinners for dec and jan. unsure about feb.....
and calc problems. you forgot the 1x basic points. so it's 137000 instead of 125000. 137000/15=9133 miles earned=1.31 earn rate.

i can even put this on top of the welcome offer of 20000 spending for 10000 miles. a whopping 19133 in total (1.045 earn rate)... but only if im eligible.
nevermind. i'm not eligible as i appled the card after 1/sept/2011

i wonder how many chinese restaurants accept CUP. methinks:
1) first 20000- CCB welcome offer (the bonus is all or nothing. so i'll put them on the big family dinner to make sure it goes in 1).
2) the above CCB offer till feb/2012 (if you anticipate spendings over the limit)
3) HSBC 15x offer
4) SCB foreign spendings
5) HSBC for the 5x year round offer

sp23

Hey guys, thanks for all your help previously when starting my big AM saving adventure.

Planning a trip to Osaka next year and wondering to use the Shacomm plat (@$4/mile) or cash when shopping, paying for hotels etc? I've called Shacomm and the rate is the daily Visa rate + 1.95% handling fee.

So, so all you seasoned travelers out there, is it worth the AM to put things on Visa whilst overseas? If I pay using Visa, would the price be approximately the bank rate + approx 3%?

I also have the DBS Amex now and that is also $4/mile earning but I'm assuming that Amex rates are much higher so I'm not planning to use this card on the holiday.
Any thoughts and tips greatly appreciated!

kaka

First, your valuation of miles.
our collective knowledge have put a lower bound of using these miles at 10HKcents (HK$0.1). Using them at peak period or premium class yields much higher valuation. (eg1. HKG-(TYO-)CTS at CNY: up to 7000HKD paid ticket. If you can find a redemption award in Y then you realize (700000/30000=)23.3cpm. eg2. HKG-LHR in F/ 70000HKD paid ticket (7000000/180000=) 38.9cpm.

of course, it all counts for the amount of miles you've spent (actual spend) against how much you would actually take out in cash. So even if i redeemed for an F award to LHR but i wouldnt even fork out the cash for a business class ticket, your savings would be 20000HKD (The lastest Y/B class fare I've heard of) at max. Miles realised at (2000000/180000)=11.1cpm (no longer so great as it looked like earlier). Ok. enough of economics lesson since i'm not an expert in that field.

Therefore, unless you have a valuation of over 12cpm(For $100 spending, you get 100/4=25miles, 25miles*12cpm=$3, 3% rebate), 3% fees does not cover the value of miles. Since I have a higher earn rate (with Fubon HK VI/MC or HSBC inc. "Red Hot Rewards of Your Choice"), I do pay by VI/MC in japan. YMMV in this respect.

Thanks to percysmith, http://www.hongkongcard.com/forum/fo...ow.php?id=3939 has a comprehensive view on exchange rates on different credit card. (edit: I'm surprised there isnt JPY analysis there, pls see below.)

Right. I've taken some data points from my last trip. Seems like HSBC fix the rate when it gets billed in their system (not when the purchase was made). i've gotten around 2% surcharge. so I do get my mile's worth. The only time I've hit over 3% charges was AMEX in GBP (see above link).

Post date hsbc rate oanda rate Premium
15/nov 10.28810 10.0918 1.95%
15/nov 10.28818 10.0918 1.95%
17/nov 10.30933 10.1059 2.01%
17/nov 10.30911 10.1059 2.01%
17/nov 10.30938 10.1059 2.01%
18/nov 10.31746 10.1096 2.06%
18/nov 10.31867 10.1096 2.07%
18/nov 10.31712 10.1096 2.05%

i calculate using oanda average rate because i usually get JPY within 0.5% of the average ask/bid quoted price. so the actual premium is 0.5% lower then the above quoted premium.

kaka

cheekily semi OT:
What's the best card for reward on dining this coming month?

i know of the following
1) HKBEA (need to find the card at the bottom of my drawer and activate it tonight) (3% for first $5000 qualified spending, 8% for the next $3125
so cheeky... (3% for the qualified spending in the first $5000, then 8% for the qualified spending for the next $3125).

2) using up the credit from citibank on dining in oct-nov

3) Shacomm $4/mile, or HSBC if dining was selected as 1 of the 5 groups $2.66/mile

4) nonsense SCB promo. might work for my mom tho (I've scrapped my SCB relationship)

percysmith

CCB if you can blow $12K on dining spending over a weekend (I'm trying to figure out if Play @ On Hing Terrace is a dining establishment)
> BEA if over $400
> HSBC if you have the extra 5X selected to dining
> Shacom Plat.

sp23

Thanks kaka for the detailed and informative reply! haha i must admit it took me quite some time to get my head around with figures!! Didn't realise there was so much theory involved.

Let's see.
So if I want a return ticket from HKG-BNE for Christmas next year then, (assuming $7000 HKD tix) cpm=700000/60000=11.6

Since my valuation is not over 12cpm, this means that I can't justify using the VISA card to pay for anything IF the fees are 3%.

Just looking through the link posted and also your data below (THANKS SO MUCH!) it seems that the rate/premium ranges from less than 1% to a bit over 2% or so, which means that I shouldn't be losing out when using the card in Japan. (Please let me know if my reasoning is on the right track as I could be totally calculating wrongly ) Amex actually offers good rates sometimes but I suppose theres the risk of it suddenly charging a high premium. I'll probably take it along just in case. By the way, theres really no way of knowing how much was charged until you get the bill right?

sp23

HOLD ON. I've just had a thought. Doesn't this mean I'm actually PAYING for these AM rather than getting them for free? Oh dear, now I'm getting confused again.

BryanL

Don't forget that even if you exchange money before hand, you won't get the spot rate. Depending where you are, some places charge commission or a high spread.

percysmith

Isn't BNE 45,000 miles? Therefore nominal value per mile is 7,000/45,000 = $0.156?

If you can earn them overseas at $3/mile (assuming Fubon Plat, HSBC with a 5X multiplier can earn them even better at $2.78/mile), you are getting a rebate rate of 5.2% for overseas spending.

Your JPY credit card premium over cash is not more than 1.57% with Visa, you earn a clean 3.5% over spending cash.

(kaka - if AE, from memory I remember it's something like 0.94% over HKAB rate for Amex. But the earn rate for a non-SCB AE cardholder is $4/mile at most with the DBS Black which menas the advantage of using card over cash is 2.96%).

kaka

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Re exchange rate: on hsbc.com.hk the TT rate shown (before premier/advanced discount) is usually within 1%, and 0.5% for selected currency. IF you hv an account w them then you can use tt rate to change within ur acc, then withdraw. This attracts the least (overall fees).

Let me know if this doesnt work with the basic account...

kaka

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Nth's ever free. For foreign purchase, the fx premium over exchange w cash is you 'cost' for buying these miles.
Shops also need to pay comission for ur usage of credit card. At SOME places you could (against TnC of credit cards, if they offer) bargain for a cash discount...

but for most shops in HK where you cannot bargain for a cash discount, you COULD treat it as free, except it's a cost already embedded in the price you pay(the merchant would treat this as an implicit cost for business).

sp23

Yes, you're quite right- it's 45000 only to BNE. I've actually used my 5x multiplier on other categories (HSBC credit card) and I don't have the Fubon one, so I'll be using Shacomm visa or DBS Black.

Would you be so kind to run through your calculations? How did you get to 5.2% rebate? And the clean 3.5% earning over cash? Sorry I'm a bit slow... Havent done so much maths for a while