Cashline: DBS’ Exciting New Personal Credit Facility

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Offers customers competitive pricing and exceptional value

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Provides competitive credit alternative with stable 12%

SINGAPORE, OCT 16 – DBS Bank announced the launch of its new unsecured revolving personal credit facility, Cashline. Cashline customers will enjoy a stable interest rate of 12% p.a. and have their first-year membership fees waived.

“We want to offer our customers a terrific value proposition with Cashline,” said Raymond Ang, Vice President of DBS Consumer Banking Group.

“In these challenging times, we want to offer a personal credit product that will provide customers a competitively priced credit alternative,” added Ang, “One that offers them non-gimmick and fair value interest rates.

“For example, customers can use Cashline to save on their credit card interest payments, which are usually pegged at double the Cashline rates.”

DBS’ consumer research has revealed that customers are no longer looking for short-term promotional rates in an unsecured personal credit facility. This finding goes against what is largely offered in the market today.

“Many customers will use Cashline as stand-by credit and a financial tool to balance their monthly cash flow needs. Based on our analysis, we also believe that 12% p.a. is a ‘fair-value’ rate for our customers, while remaining a profitable proposition for the bank after taking into consideration credit risk,” added Ang.

DBS is optimistic that customers will react positively to Cashline, and expects more than 50,000 new customers to sign up for Cashline by mid-2002.

To offer customers an exceptional value offering, DBS has worked with popular brand-name partners, like Motorola, Palm and Singapore Cable Vision, to put in place an attractive range of premiums as an incentive for customers to sign up for Cashline. Customers that use Cashline to sign-up for Singapore Cable Vision’s Discounted Package can expect to receive a top-of-the-line Motorola V60 mobile phone (that is exclusive only to DBS customers), and the latest Palm m125 handheld. Upon approval, DBS has engaged DHL Worldwide Express to deliver the premiums to customers’ doorstep.

Cashline customers will be the first and only mobile-users in Singapore to own the sleek GPRS-enabled and tri-band Motorola V60 mobile phone. Customers will not be required to sign on to any mobile phone plan and can use their existing SIM cards with the Motorola V60.

Cashline offers customers a revolving line of credit of up to two times his/her monthly income. Funds can be easily accessed via a checkbook or at any of the more than 900 ATMs throughout Singapore using an ATM card, and interest charged is only on the amount used. Existing DBS and POSB customers enjoy the convenience of having their ATM cards automatically linked to their Cashline accounts.

To qualify for Cashline, customers need to meet certain minimum criteria. For Singaporeans and Permanent Residents, they need to be aged between 21 to 60 years, residing in Singapore and earn an annual income of at least S$30,000.