Telecom companies and internet service providers are spending a large amount for customer acquisition and wish to ensure that this customer will pay on time. Often they offer a smartphone with their plans and the customer has to pay for the expensive smartphone in installments. While a majority of customers are paying their monthly installment on time, it is observed that some customers default on the monthly installment which has to be paid for the smartphone. It is observed that most of the customers who default on the monthly payments are self employed, or small business owners. In contrast, employees of reputed large companies in Singapore receive their monthly salary and can easily pay the monthly installment.
Increasingly, the telecom providers in Singapore like other lenders and sellers of high value items like cars and property are realizing that employees of large corporations are paid well, and can easily repay credit card debt or any loan they take. In contrast, dealing with customers who are self-employed or small business owners is usually risky since they do not have a steady source of income. Hence the telecom companies are trying to attract customers who are employees of reputed corporations in Singapore. Some of the plans which is available only to these employees are the Corporate individual scheme (CIS) plans. The eligibility and considerations for choosing a CIS plan are discussed below.
The telecom company is offering the CIS plan only to employees of select companies in Singapore. These companies are usually reputed listed companies which are having a turnover above a certain amount. They also have a reputation of paying their employees on time, and salaries are higher. All employees above the age of 21 in these companies can apply for a CIS plan if they are Singapore citizens or permanent residents. Work permit holders employed in these companies can apply for a CIS plan by paying a deposit. They may also have to provide additional documents like a passport and employment pass which are valid for at least 6 months or more at the time of application for the CIS plan.
For all the CIS plans, the users will get a free SIM card and the registration is also free, helping them save money. The customers discount on the different data and voice plans of the telecom companies, usually at least 20% discount. The customer will also get free incoming calls, with free caller number display and auto roaming.
Additionally the user can also make unlimited phone calls to any three phone numbers of the same telecom provider which he selects. Typically most people will choose the numbers of their family members, though in some cases, their friends or office colleagues will also be listed.
Though the CIS plan also includes a smartphone which the customer can pay for in installments, there are some customers who also have a smartphone which they wish to use. These customers can opt for a SIM only plan, and pay a lower amount monthly. Employees who are using a plan from other telecom provider can port their phone number if they wish to avail of the CIS plan.