Dubai Bank storms credit card market

In a market where banks are said to be competing by offering benefits for their credit card customers, Dubai Bank has sprung surprises by announcing innovative features for its newly launched gold and silver credit cards.

This year has seen banks like First Gulf Bank enter the market, even as banks like National Bank of Dubai, Standard Chartered Bank, HSBC, Mashr-eqbank, Citibank, etc, topped up the benefits on offer. However, RakBank still remains the only bank which doesn't collect annual fee and charges the lowest interest of 1 per cent per month.

The features offered by Dubai Bank for its card, which are said to be the first in the UAE, include 365-day purchase protection insurance, complimentary e-gate card, free life insurance cover, free household insurance up to Dh25,000, convenient loan-over-the-phone facilities up to 60 per cent of the credit limit, etc.

The new card comes with a travel tele-ticketing facility that offers a 5 per cent discount on all air bookings. Under the life insurance protection programme, the beneficiary or next of kin receives an immediate payment of Dh100,000 in the event of the death under any circumstances of a card member. The benefit is free and members need not submit any forms or documents or undergo any checkups to avail of this facility.

Only Dubai Bank offers the chance to buy anything, anywhere and pay in low interest monthly installments. Interest charged on this is 50 per cent lower compared with market rates. The cards are available for an annual fee of Dh350 (for gold) and Dh150 (for silver). The interest charged on the outstanding, after the non-interest period expires, is in line with the market - at 2 per cent per month.

Speaking at the launch, bank CEO Ahmed bin Brek said the Dubai Bank credit card reflects the commitment and provides its customers with many superior benefits which are a first for the UAE market. "With this launch, our credit card will complement our fantastic suite of services already on offer."

Visa International's general manager for the Middle East, Peter Scriven noted that the launch of the Dubai Bank Visa card will set a new benchmark in card services. Ricky Madan, vice-president of the bank said, "Our credit card offering is second to none."