26th March 2014 - 4 min read
it’s not the great train robbery. The credit card splash & dash is a sneaky
trick to earn cashback on a RM10,000 purchase with only a RM2,500 limit credit
card. Don’t pinch yourself, you’re not dreaming and while it may sound too good
to be true, the credit card splash & dash is completely legal and 100%
possible. So before we get down to the juicy details, here’s a little
Dr. Jekyll and Mr. Hyde, credit cards have a good side and a bad side. If you
use them the rightway, they’ll
shower you with rewards, if you don’t, they’ll punish you with late surcharges
and hidden fees.
For those who’ve had credit card problems, or
tend towards undisciplined overspending, you will find this article less
useful. However for the debt-free and disciplined, there’s profit to be had as
long as you strictly follow a simple golden rule:
For the more forgetful, the best way to
accomplish this is by setting up a direct debit from your current or checking
account to pay your credit card in full each month. By choosing direct debit,
you will only be borrowing credit for a short period of time so the credit card
will not charge you any interest.
We Malaysians have the impression that credit
cards equal debt. But if we break a credit card down, they in fact have two
By increasing #1 and reducing #2, credit
cards become a useful tool that can literally earn you RM100′s or even RM1,000s
card direct debit is a pre-authorized payment system where the balance on your
card is automatically deducted from your bank account at the end of the month.
charged RM1000 to your card this month then the credit card company will
automatically deduct RM1000 from your account.
Setting up a
credit card direct debit means that you’ll be paying more (and reaping the
benefits) rather than borrowing more (and paying the late payment interest).
Once you’ve set up a credit card direct debit system to help you with the
timeliness of your payments, you’re all ready to Splash and Dash.
you’re interested in buying a RM10,000 LCD TV but you only have a RM2,500 limit
on your credit card.
your credit card with extra funds by transferring RM7,500 from your current/savings
account into your credit card.Be sure
to do so at least a few days before you make your purchase to make sure then
funds clear into your credit card.
to your friendly electronics store and make your RM10,000 purchase.
you’ve made your purchase, you can now enjoy your cashback and rewards points
on the entire sum of RM10,000 (as opposed to absolutely nothing if you chose to
pay by cash).
pictures courtesy of Freedigitalphotos.net
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