Your account is opened when your application is approved, so even if you don't activate the credit card you receive in the mail, you still have an open account and you'll still need to pay the annual fee associated with it. This applies to secured credit cards that come with fees as well.
Qualify for automatic membership fee waiver with a spend of at least ₱600,000 per succeeding year. No annual membership fee for life for up to six (6) supplementary accounts.
You still get charged even if you don't activate the card. Activation is just a security measure. In the eyes of the bank, you are already a cardholder and they charge for that.
They will still charge you and the fees will be owed even if you don't activate the card.
If you don't activate a credit card within a certain time and don't use it, your account may be closed automatically and be reported as 'closed by credit grantor', which could have a negative impact on your credit.
The CARD may be automatically activated after delivery to CARDHOLDER even if he or she has not requested it.
If no payment is made on or before Payment Due Date or payment made is below the Minimum Payment, a Late Payment Charge of 5% of the Overdue Amount or P300, whichever is higher, will be charged to your account. For dollar transactions, a late payment charge of 4.5% of the overdue amount or US$6, whichever is higher***.
Worldwide Acceptance. Bring and use your BDO Mastercard Credit Card all over the world. Your card is accepted in over 20 million locations in around 275 countries and territories.
If you don't use your credit card, the card issuer may close your account. You are also more susceptible to fraud if you aren't vigilant about checking up on the inactive card, and fraudulent charges can affect your credit rating and finances.
Experts generally don't recommend you ever cancel a credit card, unless you're paying for it (such as in the form of an annual fee) and not ever using it. And if this is the case, canceling a card once probably won't hurt you as long as you have a healthy credit history otherwise.
You could ask to speak to your credit card issuer's retention department and tell them that you want to cancel your card to avoid being charged the annual fee. If they're worried about losing your business, they may offer to waive the fee.
Key Takeaways
Credit card fees are not deductible for individuals and are deductible for businesses. Businesses can deduct all credit card fees as well as finance charges. Businesses are eligible to deduct credit or debit card processing fees associated with paying taxes, but individuals are not.
Consider a No Annual Fee Credit Card
When you can't find a way to avoid the annual fee, closing the card might be the best option. You could also look for a new credit card that doesn't charge an annual fee. You might find an option from a different credit card issuer that offers similar rewards rates or benefits.
The answer is straightforward: a credit card must be activated before use as a security measure.
Paying an annual fee for a credit card might be worth it depending on the card's rewards, cardholder benefits and whether you plan to carry a balance. You can use your existing spending habits to calculate if rewards and other benefits outweigh the cost of an annual fee.
If you skip card activation and don't use your card, you're still responsible to pay for the annual fee. Missing the annual fee payment can hurt your credit score since payment history is the most important factor in calculating your score.
Annual Fee:
PHP5,000 for Basic Card. PHP2,500 for each Supplementary Card (1st 5 Cards free for life)
Once you're logged in, tap More, then Manage Cards. Tap the card you would like to enable, then toggle off Disable Overseas Transactions. Confirm your transaction with biometrics or by entering your 6-digit PIN. You will get acknowledged when the debit card is successfully enabled for overseas transactions.
Free Membership Fee on the 1st year; Automatic fee waiver with a spend of at least ₱600,000 per succeeding year for the principal cardholder. Lifetime automatic waiver for up to 6 Supplementary cards.
CARDMEMBER may, at any time, terminate the Terms and Conditions or privilege to use the CARD by written notice or by calling BDO Customer Contact Center even without returning the CARD to ISSUER but the termination is subject to the immediate payment of any and all obligations incurred in connection with the use of the ...
A credit card's annual fee is the cost you pay to keep a specific card open. Generally, you'll pay the annual fee when you first get approved for your card, and again on every cardholder anniversary.
If you do not activate your card, your credit card will be closed by your issuer and you cannot use it for any kind of transactions. Therefore, even if your card comes with an annual fee, you do not have to pay it as your account will be closed.
For any clarifications, please call our BDO Contact Center at 8888-8000 or Domestic Toll Free Numbers at #8888-0000.