Singapore legislation
Regulation 18C
Regulation 18C
Concessionary amount
Subregulation 1
Subject to paragraph (8), a card issuer that permits any amount to be charged to a fully unsecured or partially secured credit card or charge card issued to a Singapore cardholder does not contravene regulation 14(2) or (3), 16(2) or 17(2)(a) if the amount is charged in the circumstances in paragraph (2) (called conditions X) or in the circumstances in paragraph (3) (called conditions Y).
Subregulation 2
Conditions X are —
the card issuer has permitted a debt consolidation amount to be charged under regulation 18B(1) to a credit card or charge card issued to the Singapore cardholder;
the Singapore cardholder has not repaid the debt consolidation amount to the card issuer; and
the Singapore cardholder’s cumulative total outstanding unsecured amount is equal to or more than the Singapore cardholder’s overall credit limit.
Subregulation 3
Conditions Y are —
the card issuer has permitted an amount to be drawn down under paragraph 18B(1) of Notice 635, issued by the Authority under section 55 of the Act, on an unsecured non-card credit facility granted to the Singapore cardholder;
the Singapore cardholder has not repaid the amount drawn down under paragraph 18B(1) of Notice 635, issued by the Authority under section 55 of the Act, on an unsecured non-card credit facility granted to the Singapore cardholder; and
the Singapore cardholder’s cumulative total outstanding unsecured amount is equal to or more than the Singapore cardholder’s overall credit limit.
Subregulation 4
A card issuer that issues a fully unsecured or partially secured credit card or charge card to a Singapore cardholder does not contravene regulation 16(6)(a), 17(2)(b) or 17A(2)(b), if the credit card or charge card is issued solely to enable an amount to be charged under paragraph (1) to the credit card or charge card.
Subregulation 5
Despite regulation 10(5), where a Singapore cardholder requests a card issuer for a fully unsecured or partially secured credit card or charge card solely to enable an amount to be charged under paragraph (1) to the credit card or charge card, the card issuer need not obtain any indication or consent required by regulation 10(5).
Subregulation 6
A card issuer that increases the aggregate credit limit granted to a Singapore cardholder does not contravene regulation 11(1)(a), 16(6)(b) or 17(2)(c), if the increase is solely to enable an amount to be charged under paragraph (1) to a credit card or charge card issued to the Singapore cardholder.
Subregulation 6A
Regulation 17A(2)(a) does not apply to an increase of the credit limit of a relevant card or facility referred to in regulation 17A(3) if the increase is solely to enable an amount to be charged under paragraph (1) to a credit card or charge card issued to the Singapore cardholder.
Subregulation 7
A card issuer that increases the credit limit for a guaranteed credit card or guaranteed charge card does not contravene regulation 11(1)(b), if the increase is solely to enable an amount to be charged under paragraph (1) to the guaranteed credit card or guaranteed charge card.
Subregulation 8
Paragraph (1) applies only if the amount to be charged under that paragraph, together with the aggregate of all outstanding amounts charged under that paragraph to credit cards or charge cards issued to the Singapore cardholder, does not exceed the Singapore cardholder’s monthly income.
Subregulation 9
To avoid doubt, paragraph (8) does not prevent a card issuer from setting, in respect of a credit card or charge card issued to a Singapore cardholder for the purpose of enabling an amount to be charged under paragraph (1), a credit limit lower than the monthly income of the Singapore cardholder.