Debt and credit

How To Choose The Right Credit Card in Singapore

Singapore houses a unique and wide array of spenders, who range from small to heavy buyers. Besides, there are so many ways to splurge money in the city, from travelling to shopping to dining, and so on. Staying in Singapore, it’s essential that you strategies your spending habits and finances in order to save money.

Moreover, Singapore has an extensive market for credit cards, where you can easily find yourself lost. The city supports a large variety of population with disparate attitude and lifestyles.

There are several credit cards available in the market that have a unique target audience. There are cards that suit people who frequently make business trips or fly far-off, there are various cashback cards that can be used for everyday shopping, and cards that are ideal for foodies and people who frequently dine out. Cashback cards are pretty popular amidst the majority of the people living here.


Analysing your spending habits

Keeping track of your spending habits and analysing the patterns could tell you what card would best suit you. You could be a person who spends a lot on groceries, or often goes to departmental stores. There are several credit cards that will earn you cashback and rewards on your daily shopping at several merchants. For instance, Citibank has the Citibank SMRT card which promises up to 5% savings on groceries.

Shopping could be the only thing where you spend most of your hard-earned money. OCBC Titanium Rewards Credit Card card would provide you with a plethora of benefits if you are the regular shopper. There are also separate cards dedicated to online shopping.

Banks in Singapore also offer cards that accommodate other requirements of customers. This could include savings on dining, travel, fuel, and more. You have to figure out for yourself what is the most you usually spend on, and choose your card accordingly.

Different types of credit cards you can choose

There are different types of cards available to Singaporeans. Some of them are listed below:

  • Cashback cards: These cards are among the most popular in the Singapore market. Holding on to these types of cards could earn you great cashback offers on different things you buy. These cards can usually be used across a wide range of categories, which include groceries, shopping, and more. The American Express True Cashback card is a great card for cashback, guaranteeing you 1.5% cashback on all purchases throughout the year.
  • Miles cards: If travelling overseas for business reasons or leisure is your thing, you must opt for an air miles card. This particular type of card earns you great offers and discounts for your future journeys and help you save significantly on your trips. The UOB PRVI Miles Card is a great example of this type, promising you with a quick rate of earning miles, with no minimum spend and cap on the miles earned.
  • Shopping cards: Shopping cards are ideally dedicated to people who “shop till they drop.” There are several credit cards available in the Singapore market that help shoppers earn cashback or redeem points at various outlets, every time they shop. The DBS Black Card is one such card offering 5% cashback across all shopping categories, both within singapore and overseas.
  • Dining cards: Singaporeans love to eat, and this type of cards is dedicated to foodies. These credit cards differ from cashback, as they aim to provide you with discounts and cashback on your dining experiences. POSB Everyday Card is one such card offering Singaporeans up to 14% rebate on dining and everyday essentials.
  • Other cards: Besides these cards listed above, there are several other cards offered within Singapore market that fits specific customer requirements. There are cards that help you save big on fuel costs, and then there are cards for grocery, online shopping, and entertainment, among others.

Which card should you choose?

As mentioned earlier, you have to know what kind of spender you are. If you travel abroad very frequently it only makes sense to apply for a miles card. On the contrary it would make no sense to hold on a miles card if you travel overseas once in a blue moon.

Cashback cards will make a lot of difference in your financial planning if you spend regularly in departmental stores, groceries, and more. Similarly, if you commute using your own vehicle most of the time, a petrol card would be more helpful.

And then, there are cards which help you redeem points or save huge amount of money on things you shop for. Entertainment and dining cards are also favourites among many Singaporeans.

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