Cathay United Bank, a division of Taiwan-based Cathay Financial Holdings, has formed a strategic alliance with loyalty technology firm Kaligo Solutions to provide new reward points transfer services to its credit cardholders.

Kaligo’s points transfer solution called TransferConnect will enable six million Cathay United Bank credit card customers to switch their rewards to various airlines and hotel rewards programmes.

The multiple points utilisation channels offered by Kaligo are expected to boost card spend, enhance rewards use and improve the bank’s customised marketing capabilities.

TransferConnect is a loyalty currency exchange platform designed to link financial services brands with rewards programmes for frequent travellers.

The platform requires a single technical integration and provides access to several global partners of airline and hotel rewards programmes within its network.

Earlier this month, Kaligo formed a similar partnership to connect China-based Shanghai Pudong Development Bank (SPDB) loyalty schemes to frequent traveller programmes. Available via SPDB’s mobile application, the rewards exchange service is accompanied by notifications on real-time status.