Singapore legislation
Regulation 5
Regulation 5
References in relation to credit limits
Subregulation 1
For the purposes of these Regulations, a reference to the aggregate credit limit of a cardholder (other than a supplementary cardholder) with a card issuer is a reference to the sum of all of the following amounts:
the sum of the credit limits of all credit cards issued to the cardholder, by the card issuer and, if one or more supplementary credit cards have been issued under such credit cards having separate credit limits from the principal cards, of all such supplementary credit cards;
the sum of the credit limits of all charge cards issued to the cardholder by the card issuer and, if one or more supplementary charge cards have been issued under such charge cards having separate credit limits from the principal cards, of all such supplementary charge cards;
the sum of the credit limits of all fully unsecured non‑card credit facilities granted to the cardholder by the card issuer;
the sum of the credit limits of all partially secured non‑card credit facilities granted to the cardholder by the card issuer.
Subregulation 1A
For the purposes of these Regulations, a reference to the aggregate credit limit of a supplementary cardholder with a card issuer is a reference to the sum of the following credit limits granted by the card issuer to the supplementary cardholder:
the sum of the credit limits of all supplementary credit cards issued to that supplementary cardholder under a credit card of the same principal cardholder;
the sum of the credit limits of all supplementary charge cards issued to that supplementary cardholder under a charge card of the same principal cardholder.
Subregulation 2
For the purposes of these Regulations, a reference to the maximum credit limit of a Singapore cardholder with a card issuer is a reference to an amount not exceeding —
in a case where the Singapore cardholder only holds fully unsecured or partially secured credit cards or charge cards issued by the card issuer, his overall credit limit;
in a case where the Singapore cardholder only holds fully secured credit cards or charge cards issued by the card issuer, the amount of the deposit or deposits in the name of the Singapore cardholder which secure the credit limits of the credit cards or charge cards; and
in a case where the Singapore cardholder holds both fully secured credit cards or charge cards, and fully unsecured or partially secured credit cards or charge cards, all issued by the same card issuer, the higher of the following amounts:
the Singapore cardholder’s overall credit limit;
the amount of the deposit or deposits in the name of the Singapore cardholder which secure all the fully secured credit cards or charge cards referred to in this sub‑paragraph.
Subregulation 3
For the purposes of these Regulations, a reference to the overall credit limit of a Singapore cardholder with a card issuer of a credit card or charge card held by the Singapore cardholder, means —
unless specified in sub-paragraph (b) —
2 times the monthly income of the Singapore cardholder, where the annual income of the Singapore cardholder is less than $30,000 (or its equivalent in foreign currency); or
4 times the monthly income of the Singapore cardholder, where the annual income of the Singapore cardholder is $30,000 (or its equivalent in foreign currency) or more; and
$2,500, where the Singapore cardholder —
is above 55 years of age;
has an annual income of not more than $15,000 (or its equivalent in foreign currency); and
has total net personal assets exceeding $750,000 but not exceeding $2 million (or its equivalent in foreign currency).
Subregulation 4
For the purposes of these Regulations, a reference to the aggregate unsecured credit limit of a Singapore cardholder with a lender that is a card issuer of a credit card or charge card held by the Singapore cardholder, is a reference to the sum derived from the formula A − B, where —
A is the sum of —
the credit limits of all fully unsecured credit cards (other than guaranteed credit cards, corporate cards and business cards) issued to the cardholder by the card issuer and, if one or more supplementary credit cards have been issued under such credit cards having separate credit limits from the principal cards, of all such supplementary credit cards;
the credit limits of all partially secured credit cards (other than guaranteed credit cards, corporate cards and business cards) issued to the cardholder by the card issuer and, if one or more supplementary credit cards have been issued under such credit cards having separate credit limits from the principal cards, of all such supplementary credit cards;(iii)the credit limits of all fully unsecured charge cards (other than guaranteed charge cards, corporate cards and business cards) issued to the cardholder by the card issuer and, if one or more supplementary charge cards have been issued under such charge cards having separate credit limits from the principal cards, of all such supplementary charge cards;(iv)the credit limits of all partially secured charge cards (other than guaranteed charge cards, corporate cards and business cards) issued to the cardholder by the card issuer and, if one or more supplementary charge cards have been issued under such charge cards having separate credit limits from the principal cards, of all such supplementary charge cards;(v)the credit limits of all fully unsecured non-card credit facilities granted to the cardholder by the card issuer; and
the credit limits of all partially secured non‑card credit facilities granted to the cardholder by the card issuer; and
B is the total amount of credit granted by the lender to the Singapore cardholder under any credit card, charge card, supplementary credit card, supplementary charge card, or non-card credit facility mentioned in sub-paragraph (a), whether utilised or not, solely for any one or more loans specified in regulation 6(9).
Subregulation 5
For the purposes of these Regulations, a reference to the aggregate unsecured credit limit of a Singapore cardholder with a lender other than a lender specified in paragraph (4) is a reference to the sum derived from the formula A − B, where —
A is the sum of —
the credit limits of all fully unsecured non-card credit facilities granted to the cardholder by the lender; and
the credit limits of all partially secured non-card credit facilities granted to the cardholder by the lender; and
B is the total amount of credit granted by the lender to the Singapore cardholder under any non-card credit facility mentioned in sub-paragraph (a), whether utilised or not, solely for any one or more loans specified in regulation 6(9).
Subregulation 6
To avoid doubt, where —
a lender grants a loan for the purpose specified in regulation 6(9)(h); and
the aggregate of the amounts referred to in regulation 6(9)(h)(i) exceeds 80% of the amount to be paid by the Singapore cardholder for the subscription of the shares,then the entire amount of share financing loan for the subscription of those shares mentioned in regulation 6(9)(h)(i)(A) must not be included in the amount mentioned in paragraph (4)(b) or (5)(b), as the case may be.
Subregulation 7
To avoid doubt, where —
a lender grants a loan for the purpose specified in regulation 6(9)(i); and
the aggregate of the amounts referred to in regulation 6(9)(i)(ii) exceeds one year’s emoluments of the Singapore cardholder as an officer or employee of the lender,the loan amount (other than in relation to loans granted for any of the purposes specified in regulation 6(9)(a) to (h)) mentioned in regulation 6(9)(i)(ii)(A) must not be included in the amount mentioned in paragraph (4)(b) or (5)(b), as the case may be.
Subregulation 8
For the purposes of these Regulations, a reference to the total approved unsecured credit limit of a Singapore cardholder is a reference to the sum of all aggregate unsecured credit limits of the Singapore cardholder with every lender.