Credit card activation and why it matters
Whether you’ve just signed up for a credit card through a promotion or simply receiving a replacement card, there is one important thing to do before you can start swiping or tapping away.
That is to activate your credit card. This is the first step to unlocking the benefits that a credit card brings to you.
Here are 4 things you need to take note of with regard to credit card activation and why it matters that you do so, promptly.
1. Card activation is neither difficult nor time consuming
It takes a few days between applying for a credit card and finally receiving it in the mail but activating your card takes much less than that!
In fact, the card activation process is almost an immediate process. All you need is about 5 minutes of your time to go through the guided card activation steps for the activation of DBS credit cards.
On top of it being a speedy process, card activation is also very seamless. There are a number of avenues you can use to activate your credit card. This includes activation through your digibank app or internet banking.
DBS offers more traditional ways to activate your credit card like through SMS. If you live near a DBS/POSB ATM you can complete your card activation there too.
Once your credit card is activated, you can start using it to enjoy your card benefits, be it cashback, rewards or miles, immediately. So, if you already have your credit card, activate it as soon as you can so that you don’t waste the opportunity to earn those perks.
2. Annual fees are not deferred until card activation
For all the benefits that credit cards provide, being charged annual fees isn’t one of them! This is just part and parcel of owning a credit card.
Some believe that annual fees are not charged until the date of activation of a credit card or the date a first purchase is made with it. However, that’s not true as the annual fee period commences from the date that a credit card is issued by a bank.
It doesn’t help to delay activating your credit card for too long as your account may be closed for security reasons.
If annual fees are a concern for you, you may request for a fee waiver via DBS digibot. Do note, however, that fee waivers are not guaranteed and it is at the discretion of the card issuer.
3. Take precautionary actions in case card is lost
In the days following your successful application for a credit card, you’re likely to receive it in the mail. For non-digibank users, a preliminary credit card PIN will also be mailed to you separately.
While mail doesn’t often get lost in transit, it can go missing once in a blue moon. This will result in you not receiving your credit card or the letter containing the PIN.
By using digibank or SMS, you can eliminate the chance that the letter containing your PIN is lost.
In addition, activation through digibank assures both you and the bank that the credit card and/or PIN is not lost in transit. In that case, the bank doesn’t have to activate the precautionary actions of deactivating your credit card to avoid it from being misused.
Having your credit card deactivated for security reasons can end up becoming a frustrating affair if you are trying to activate it to pay for your big-ticket purchase.
Moreover, you’re not likely to be able to get the credit card reactivated immediately to pay for your purchase and will likely have to defer such payments because you didn’t activate your card shortly after receiving it.
4. Missed opportunity to build up credit history
As we have already shared, when you do not activate your credit card, it means that you cannot make transactions yet, even if you have the physical card.
Moreover, delaying the time between receiving your credit card and activating it might put you in a position where you might forget whether activation was done. This in turn, can create the unwanted hassle of missing out on making big ticket purchases without being able to earn cashback, rewards points or miles.
This also results in missing the opportunity to build up your credit history. Transactions that are tagged to your credit card form part of your credit history, giving you an opportunity to improve your credit score, especially if you always make timely payment on your credit card bills.
Having a higher credit score will allow you to be pre-eligible for more financial products in the future.
Activate your credit card and start using it today!
Need help activating your new credit card? Here’s a quick guide that will help you with the activation.
You can choose from activating it on digibank Mobile app, digibank Online, SMS banking, DBS/POSB ATM and Video Teller Machine (VTM).