Taiwan credit card trends: zero-interest installments vs. cashback

Consumers in Taiwan face a growing trend where many banks are discontinuing cashback rewards for transactions converted into zero-interest installment plans. Currently, approximately 15 major banks, including CTBC, Fubon, and Taishin, have removed additional rewards for such transactions.

When choosing between zero-interest installments and one-time payments for large expenses or insurance premiums, users must weigh the benefit of preserving cash flow against the loss of potential rewards. For insurance payments, options include 12-month zero-interest plans or immediate cashback. For example, Bank SinoPac offers 12-month zero-interest installments for certain premiums, while Taishin Bank provides specific cashback incentives for new insurance customers.

Key considerations for cardholders include checking if rewards like cash, points, or miles are still applicable after installment conversion, verifying if specific registration is required, and noting any limits on reward caps or eligible merchant categories.