DBS Altitude needs>2000/month to waive the annual fee, or pay 193 for annual fee and receive 10000 miles. Can I cancel the card after 1 year and reapply? Will it affect my credit score? Would you give $193 for 10000 miles a consideration? Thanks!? - Seedly

DBS Altitude Visa Signature Card

Credit Card

Asked by Anonymous

Asked on 25 May 2018

DBS Altitude needs>2000/month to waive the annual fee, or pay 193 for annual fee and receive 10000 miles. Can I cancel the card after 1 year and reapply? Will it affect my credit score? Would you give $193 for 10000 miles a consideration? Thanks!?

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Aik Kai
Aik Kai
Top Contributor

Top Contributor (Aug)

Level 5. Genius
Answered on 30 May 2018

Quite a few questions here. Let me break it down.

1) Yes, you can cancel the card after 1 year and re-apply. But you won't get any sign up bonus from your 2nd application onwards and your future application might be rejected. Banks have records and they are free to approve or reject your subsequent applications.

2) Credit score is affected by a lot of factors but in short, it won't affect much as long as you have no outstanding payments.

3) $193 for 10k miles means different thing for different people. To me, I would gladly pay the annual fee. It is not everyday you get to purchase 10k miles at 2 cents per mile, which if you redeem the miles for premium cabin travel, presents a very good value. I am not sure if you are a miles chaser but this 10k miles for $193 every year should form part of your miles strategy. 10k miles don't sounds a lot but in the grand scheme of things, 10k miles is something good to have.

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Wayne Lim
Wayne Lim

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Level 2. Rookie
Updated on 07 Jun 2019

1) Yes, I believe you can cancel the card and reapply.

2) Credit score has many other factors that contribute to your overall score, I'm not too sure how drastic the score will be affected but I won't worry too much as long as I pay my bills regularly.

3) It depends on how you value your miles. $193 for 10000miles is valuing it at 2cents per mile. If you value it at 2cents, then you are buying it for your percieved value. Depending on how you redeem your miles, it can be worth more than 2cents, YMMV, so do some research first.

But anyways, I guess your concern is, can I keep this card after 1 year without much cost? You can always call it for a credit card waiver, no harm trying right?

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Kenneth Lou
Kenneth Lou

30 May 2018

Thanks for sharing Wayne :) haha really cool analysis and sounds like you have experience on this card.
Wayne Lim
Wayne Lim

31 May 2018

Hey Kenneth! Yeah, I read up alot on various credit cards:) + learning from the community really helps!
Yong Kah Hwee
Yong Kah Hwee
Top Contributor

Top Contributor (Feb)

Level 6. Master
Answered on 23 Sep 2018

Cancelling and then reapplying again would be subjected to the bank's approval. You'll probably not be able to get the card again. I would just pay the premium, because 10000 miles is extremely worth it for the amount that you pay

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No cancelling does not affect your credit score but what about your points ?

i think it is better to pay for the miles and continue using the card.

sometimes the bank wants to reward you by asking you to pay the annual fees don’t take it in a negative light.

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YY Yin Yu
YY Yin Yu

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Level 3. Wonderkid
Answered on 07 Jun 2018

I will just want to add on a little bit on point 1 and 3.

  1. I used to have DBS Altitude and never hit >2000/month. Managed to get it waived when i requested. From my experience with bank (HSBC, OCBC), if i ever cancel their card before, my credit card application will usually be rejected. However, if you apply again after few years says 3 years, it is usually approve. I never late in payment.

  1. Milelion.com wrote an article about 'the value of a mile'.

http://milelion.com/airlines/what-is-the-value-of-a-mile/

I did a check and agree with the implied value of a mile.

  • Economy- 1.5-3 cents per mile
  • Premium Economy- 1.5-2.5 cents per mile
  • Business- 3.5-4.5 cents per mile
  • First- 6-7 cents per mile

If you plan to use the miles to redeem a business class ticket, then it is worth paying $193 for 10,000 miles. So, my general rule of thumb is not to pay for mile if the cost is >2 cent per mile. What's yours?

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