Credit Cards as a Status Symbol – Could This Be a Real Thing?
Are Credit Cards a Status Symbol?
Like Gucci handbags, credit cards too have become a status symbol to many affluent South Africans.
The “right” colour credit card tells onlookers that this is a high-flyer – a person of wealth.
Gone are the days when Silver and Gold cards were an affluence indicator.
Nowadays those colours have been overtaken by platinum, black or even purple.
Banks offer top-of-the-range cards to high earners with packages tailored to their privileged lifestyles.
They harness the client’s net worth and provide an array of mouth-watering additional factors that are out of the reach of more modest clientele.
A spokesman for a leading South African bank is on record as stating that “rich value” propositions are tailored for wealthier customers.
These can include Wealth Credit Card products and Private Banking facilities.
What are the plus factors?
Loyalty and frequent card use have many benefits. These include:
- Access to airport lounges
- Concierge services
- Also includes free airport transfers
- Higher travel insurance packages
- A dedicated private banker
- And also international banking and investment facilities
Why do the wealthy have lower interest rates?
That is because, the wealthier the client, the better the credit risk, is how banks view their high-flyer credit card systems.
Liquidity also indicates that the cardholder will spend substantial amounts of money. This way the cardholder earns the bank hefty amounts of interest.
What are the qualification criteria?
Owners of platinum, black and purple credit cards have annual incomes ranging from R300 000 to R750 000.
Conclusion About Credit Cards Being a Status Symbol
Affluence is a reliable indicator of a globe-trotting lifestyle and banks have built-in credit card enticements for this segment of the population.
The successful and the wealthy are more likely to be frequent flyers than the man-in-the-street, so access to private airport lounges is a big attraction.
Discounted are travel and holiday packages are another plus factor.
One can obtain free financial advice 24/7.
Depending on the bank chosen, other enticing offerings include a Take Me Home service allowing cardholders to enjoy a night out before being safely chauffeured back to their homes, enhanced card fraud protection and extended warranties on goods purchased using credit cards.
All these benefits depend on annual income.
Whether the card is platinum, black or purple, the message is loud and clear to all onlookers.
The card holder is a high flyer whose annual income of between R300 000 and R750 000 has earned the right to enjoy maximum benefits and privileges.
So as the adage goes – if you’ve got, flaunt it!
All info was correct at time of publishing