Credit Card for Students in Malaysia: Options Below RM24,000 Income

Bank Negara Malaysia (BNM) sets a hard floor of RM24,000 annual income for any principal credit card applicant, which means most full-time students cannot get a card in their own name. That does not lock you out entirely: secured credit cards, supplementary cards under a parent’s account, and prepaid products let students build financial habits and, in some cases, a credit record, before they cross the income threshold.

This guide explains the rules, your realistic options, and how to use whichever product you choose without triggering debt before your career starts.

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Why the RM24,000 floor exists

BNM introduced the RM24,000 minimum annual income rule to reduce credit card over-indebtedness among young earners. The current framework, set out in BNM’s Policy Document on Credit Card, restricts:

• Principal cards: applicants must earn at least RM24,000 per year (RM2,000 per month).
• Supplementary cards: no income floor is imposed on the supplementary holder, but the principal cardholder bears full liability for all spending.
• Credit limits for lower-income cardholders: if your income is RM36,000 per year or below, you may hold cards from a maximum of two issuers, and each issuer’s combined credit limit for you cannot exceed two times your monthly income.

These rules apply to all licensed card issuers in Malaysia. No bank can legally issue you a principal card below this threshold, no matter how good a salesperson they are.

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The four realistic paths for students

Path 1: Supplementary card under a parent’s account

The fastest, cheapest route. A parent (or spouse, once you are married) who already holds a principal card can add you as a supplementary holder. You receive your own card with your name on it. The principal cardholder’s credit limit is shared between both cards.

Key facts:

• You must be at least 18 years old to be added as a supplementary holder.
• There is a RM25 per year government service tax per supplementary card.
• Spending appears on the principal cardholder’s statement. They pay the bill.
• Your own CCRIS record may or may not be updated depending on the bank’s reporting practice. Some banks do report supplementary holders to CCRIS; others do not. Ask the issuing bank directly before assuming this builds your credit record.

Because the principal cardholder is on the hook for your spending, treat a supplementary card as a trust instrument. Agree on a monthly spending ceiling with the cardholder before you use it.

Path 2: Secured credit card

A secured card works by placing a fixed deposit (FD) as collateral with the bank. The bank freezes the FD and issues you a credit card with a limit equal to, or slightly above, the FD amount. When you make purchases and repay consistently, you demonstrate creditworthiness, and most banks report secured card behaviour to CCRIS.

This is the most direct way for a student to build an independent credit record before hitting the RM24,000 income threshold.

Feature	Typical Range
Minimum fixed deposit required	RM500 to RM2,000
Credit limit	80% to 100% of FD
Interest rate on revolving balance	Up to 18% p.a. (BNM cap)
Annual fee	RM0 to RM100
FD interest earned	Paid normally, even while the FD is pledged

BSN Classic and several Islamic banks offer secured card products with relatively low FD minimums. Always verify the current minimum with the bank directly, as product terms change.

Practical tip: the FD continues earning interest while pledged. Use the card for small, predictable purchases (groceries, petrol) and pay the full statement balance before the due date every month to avoid interest and to register as a reliable payer.

Path 3: Part-time income that meets the threshold

If you work part-time and your documented annual income reaches RM24,000, you qualify for a principal card under standard rules. Banks typically accept:

• EPF contribution slips (your employer must be contributing)
• Latest 3 months’ salary slips
• EA form or income tax return (Form B or BE via LHDN e-filing)
• Bank statements showing consistent credit entries

Some students on scholarships, research assistant positions, or structured internship programmes with monthly allowances exceeding RM2,000 can document this income and apply. Be honest on the application. Submitting false income declarations is a fraud offence.

Path 4: Prepaid cards and e-wallets as a training ground

Prepaid cards (Visa or Mastercard prepaid products issued by banks and fintechs) and e-wallets such as Touch ‘n Go eWallet, Boost, or GrabPay do not build a CCRIS record. However, they serve a genuine educational purpose: you can only spend what you load, so there is no debt risk. They also familiarise you with card-based payments, cashback mechanics, and budgeting before you have access to revolving credit.

When you eventually qualify for a principal or secured card, you will already understand how statement cycles and payment due dates work.

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What a CCRIS record means for your future

CCRIS (Central Credit Reference Information System) is maintained by BNM and records your credit facilities, outstanding balances, and payment history for 12 months. Every bank pulls your CCRIS report when you apply for a home loan, car loan, or hire-purchase.

Starting your record early, while stakes are low, gives you a longer track record when it matters. A secured card held for two to three years with clean repayments is a tangible asset when you later apply for a mortgage.

AKPK, established by BNM, provides free financial literacy programmes for young adults through its POWER! Programme, including sessions on reading a CCRIS report and how repayment behaviour shapes future borrowing capacity.

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Costs to understand before you apply

Cost	Amount
Government service tax (principal card)	RM25 per card per year
Government service tax (supplementary card)	RM25 per card per year
Interest rate on revolving balance	15% to 18% p.a. (BNM tiered cap)
Late payment penalty	Up to 1% of outstanding balance per month (BNM cap)
Cash advance fee	Typically 5% of amount withdrawn, minimum RM20

The single most expensive mistake students make is treating the credit limit as income. It is not. Every ringgit you do not pay in full at month end begins accruing interest at up to 18% per year. A RM500 balance carried for 12 months at 18% costs you roughly RM90 in interest, with nothing to show for it.

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How to build responsible habits from day one

1. Set a personal limit well below the card limit. If your secured card has a RM1,000 limit, cap your own monthly spending at RM300 until you have three months of clean payment history.
2. Pay the full statement balance, not just the minimum. The minimum keeps you out of default but lets interest compound at up to 18% p.a. See our guide on credit card finance charges for the exact maths.
3. Set a reminder three days before the due date. One missed payment drops you to Tier 3 interest and stays on your CCRIS record for 12 months.
4. Do not apply for multiple cards at once. Each application triggers a credit inquiry. Multiple inquiries in a short window signal financial stress to future lenders.
5. Check your CCRIS and CTOS reports once a year. BNM allows free CCRIS checks at any BNM branch or via eCCRIS. CTOS provides one free report per year. Read our full guide on how CCRIS and CTOS work in Malaysia.

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Key takeaways

• BNM mandates a minimum RM24,000 annual income for principal credit card holders. Students below this threshold cannot hold a card in their own name.
• A supplementary card under a parent’s account is the easiest entry point but does not always build your own credit record.
• A secured credit card, backed by a fixed deposit of as little as RM500, is the most direct way to start building an independent CCRIS record as a student.
• Part-time workers whose documented income reaches RM24,000 per year qualify for a standard principal card.
• Prepaid cards and e-wallets carry no debt risk and serve as useful training tools, but they do not contribute to a CCRIS record.
• Pay the full statement balance every month. Interest at 18% per year erases any cashback benefit within weeks.

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Frequently asked questions

Can a full-time university student in Malaysia get a credit card?

Not a principal card unless you have documented annual income of RM24,000 or more. Most full-time students do not meet this threshold. Practical options are a supplementary card under a parent’s account, or a secured card backed by a fixed deposit.

Does a supplementary card build my credit score in Malaysia?

It depends on the bank. Some banks report supplementary holder activity to CCRIS; others report only the principal cardholder. Ask the issuing bank directly before assuming your spending history is being recorded under your IC number.

What is the minimum fixed deposit for a secured credit card in Malaysia?

Entry-level secured cards typically require RM500 to RM2,000. The credit limit is usually 80% to 100% of the pledged amount. Confirm current minimums directly with the bank, as product terms change.

Will applying for a credit card affect my future loan applications?

Every application creates a CCRIS inquiry. Multiple inquiries in a short period can signal financial stress to future lenders. Apply only once you have confirmed you meet the eligibility criteria.

What should I do if I am struggling with credit card debt?

Contact AKPK for free counselling. Their Debt Management Programme restructures repayments with creditors at reduced or zero interest. Call 1800-88-2575 or visit akpk.org.my.