1st October 2026 - 4 min read
The Alliance Bank Visa Basic Credit Card now has a lower interest rate of 14% p.a. on purchases, down from as much as 18% p.a. The new rate begins today, following an announcement by Alliance Bank on 10 September.
Starting today, you won’t pay interest on last month’s unpaid interest, and your credit limit is set at up to RM20,000 or two times your monthly income. There’s still no annual fee to pay.
From 1 October 2026, everyone with this card pays the same 14% p.a. rate, whatever their payment record. Before this, the rate depended on how you’d paid over the past 12 months. If you paid at least the minimum amount on time every month, you were charged 15% p.a. If you missed one or two months, the rate went up to 17% p.a. If you missed three or more, it was 18% p.a.
| Your Payment Record Over 12 Months | Before 1 October 2026 | From 1 October 2026 |
| Paid on time every month | 15% p.a. | 14% p.a. |
| Paid on time for 10 or 11 months | 17% p.a. | 14% p.a. |
| Paid on time for fewer than 10 months | 18% p.a. | 14% p.a. |
With one fixed rate, you always know what you’ll be charged on an unpaid balance, without checking your past payments. A late payment no longer pushes your rate up for the year ahead.
Alliance Bank also no longer charges Visa Basic cardholders interest on old interest. For example, say your bill shows RM2,000 in purchases plus that month’s interest, and you don’t pay it all. Next month, the 14% p.a. rate applies to the RM2,000 only. The old interest is still part of what you owe, but the bank won’t charge interest on it.
You can avoid interest on purchases by paying your full bill within 20 days of your statement date. The minimum payment each month is 5% of your balance or RM50, whichever is higher.
Your Visa Basic credit limit is now set at up to RM20,000 or two times your monthly income, whichever is lower. Your credit limit is the most you can spend on the card.
If you earn RM3,000 a month, your limit can be up to RM6,000. If you earn RM15,000 a month, two times your salary is RM30,000, so your limit can be up to RM20,000.
There’s no annual fee for the main card, or for extra cards you get for family members (supplementary cards). You’ll still see a RM25 service tax on your statement each year. This is a government tax charged on every credit card in Malaysia, not a fee from Alliance Bank.
When you spend in a foreign currency, the card uses Visa’s exchange rate and charges, without the extra 1% fee that Alliance Bank adds on its other credit cards.
To apply, you need to be at least 21 years old and earn at least RM24,000 a year, which is RM2,000 a month. You’ll need a copy of your MyKad (both sides) or passport. If you’re on a salary, provide your EPF statement covering at least the last 13 months.
If you’d rather use payslips, applicants at a multinational, public-listed, or government-linked company need only their latest payslip, while those at other companies need their latest three months’ payslips and bank statements. Self-employed applicants need their business registration documents, plus either six months of bank statements or their latest Borang B and tax receipt. You can apply on the Alliance Bank Visa Basic Credit Card page, and the full terms are in the Product Disclosure Sheet [PDF].
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As a creative content writer, Eloise has covered finance, business, lifestyle topics, and even moonlights as a singer-songwriter outside of RinggitPlus. Her current interests are learning the best ways to optimise spending and credit card hacks to gain more airline miles.
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