Why Are These Credit Cards the Most Popular in Singapore?

Introduction

Welcome to my blog, The Investing Iguana. I'm Iggy, and I help people make smart financial decisions.

In today's post, I'm going to talk about the best credit cards in Singapore. Credit cards can be a great way to earn rewards, save money, and enjoy perks like cashback, air miles, discounts, and more. But with so many credit cards out there, how do you choose the right one for your needs?

That's what I'm going to help you with in this post. I'll compare the best credit cards in Singapore based on different categories, such as cashback, miles, rewards, dining, groceries, petrol, and more. I'll also look at the eligibility requirements, annual fees, and other features of each card. And I'll give you some tips on how to use your credit cards wisely and avoid paying unnecessary interest and fees.

So whether you're a new credit card user or you're looking to switch to a new card, I encourage you to read this post. I'm confident that you'll find the information you need to choose the best credit card for you.
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​Cashback Credit Cards

Cashback credit cards are one of the most popular types of credit cards in Singapore. They give you a percentage of your spending back as cash rebates that you can use to offset your bill or redeem for vouchers. Cashback credit cards are great for people who want to save money on their everyday expenses and don’t care much about travel or other rewards.

However, not all cashback credit cards are created equal. Some have higher cashback rates than others, but they may also have higher minimum spending requirements or lower cashback caps. Some also have different cashback categories that may or may not suit your spending habits. So you need to do your homework and compare the different options before applying for one.
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Citi Cash Back+ Card: This card gives you a flat 1.6% unlimited cashback on all your spending with no minimum spend or cap2. Plus, you can get a bonus 8.4% cashback on your first S$3,000 spend in the first three months of card approval. That’s a total of 10% cashback on your first S$3,000 spend! This card is ideal for people who have large or irregular expenses and want a simple and consistent cashback card.

UOB Absolute Cashback Card: This card gives you a flat 1.7% unlimited cashback on all your spending with no minimum spend or cap. This is slightly higher than the Citi Cash Back+ Card, but it doesn’t have the bonus cashback offer for new customers. This card is ideal for people who want the highest unlimited cashback rate in the market and don’t mind missing out on the sign-up bonus.

Citi Cash Back Card: This card gives you up to 8% cashback on dining, groceries, and petrol worldwide with a minimum spend of S$800 per month. However, the cashback is capped at S$25 per category per month. This means that you can earn up to S$75 cashback per month or S$900 per year with this card. This card is ideal for people who spend a lot on food and fuel and want to maximise their cashback in these categories.

Miles Credit Cards

Miles credit cards are another popular type of credit cards in Singapore. They give you air miles or points that you can redeem for flights, hotels, vouchers, and other rewards. Miles credit cards are great for people who love to travel or aspire to travel more and want to enjoy perks like lounge access, priority boarding, free baggage allowance, and more.

However, not all miles credit cards are created equal either. Some have higher miles earn rates than others, but they may also have higher annual fees or lower redemption values. Some also have different miles earn categories that may or may not suit your travel preferences. So you need to do your homework and compare the different options before applying for one.
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Citi PremierMiles Card: This card gives you 1.2 miles per S$1 spent locally and 2 miles per S$1 spent overseas. You can also earn up to 10 miles per S$1 spent on selected online hotel bookings. Plus, you can get a welcome bonus of 45,000 miles when you apply and spend S$9,000 in the first three months of card approval. This card is ideal for people who want a flexible and generous miles card that can be used for both local and overseas spending.

DBS Altitude Card: This card gives you 1.2 miles per S$1 spent locally and 2 miles per S$1 spent overseas. You can also earn up to 10 miles per S$1 spent on selected online flight and hotel bookings. Plus, you can get a welcome bonus of 38,000 miles when you apply and spend S$6,000 in the first three months of card approval. This card is similar to the Citi PremierMiles Card, but it has a lower minimum spend and bonus miles offer. This card is ideal for people who want a flexible and decent miles card that can be used for both local and overseas spending.

UOB KrisFlyer Card: This card gives you 3 miles per S$1 spent on dining, food delivery, transport, travel, online shopping, and purchases with Singapore Airlines group. However, the miles are capped at 5,000 per month. Plus, you can get a welcome bonus of 15,000 miles when you apply and spend S$3,000 in the first three months of card approval. This card is ideal for people who are loyal to Singapore Airlines and want to earn more miles for their local spending.
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Rewards Credit Cards

Rewards credit cards are another type of credit cards in Singapore. They give you points that you can redeem for vouchers, cash credits, merchandise, and other rewards. Rewards credit cards are great for people who want more variety and flexibility in their rewards and don’t care much about cashback or miles.

However, not all rewards credit cards are created equal either. Some have higher points earn rates than others, but they may also have higher minimum spending requirements or lower redemption values. Some also have different points earn categories that may or may not suit your spending habits. So you need to do your homework and compare the different options before applying for one.
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HSBC Revolution Card: This card gives you 4 points per S$1 spent on online and contactless payments with no minimum spend or cap. You can also earn 1 point per S$1 spent on all other payments. Plus, you can get a welcome gift of a Samsonite luggage or S$150 cashback when you apply and spend S$500 in the first month of card approval. This card is ideal for people who want a versatile and low-maintenance rewards card that can be used for both online and offline spending.

OCBC Titanium Rewards Card: This card gives you 10 points per S$1 spent on shopping categories such as clothes, shoes, bags, electronics, gadgets, personal care, and more with no minimum spend but a cap of 120,000 points per year. You can also earn 1 point per S$1 spent on all other payments. Plus, you can get a welcome gift of a Fitbit Versa 3 or S$150 cashback when you apply and spend S$500 in the first month of card approval. This card is ideal for people who love to shop and want to earn more points for their shopping spending.

UOB Lady’s Card: This card gives you 10 points per S$1 spent on a category of your choice such as beauty & wellness, fashion, family, travel, or transport with no minimum spend but a cap of 60,000 points per year. You can also earn 0.4 point per S$1 spent on all other payments. Plus, you can get a welcome gift of a Dyson Supersonic hair dryer or S$150 cashback when you apply and spend S$500 in the first month of card approval. This card is ideal for women who want to customise their rewards based on their lifestyle preferences.

​Other Credit Cards

Besides cashback, miles, and rewards credit cards, there are also other types of credit cards in Singapore that cater to specific needs or niches. For example, there are credit cards for dining, groceries, petrol, entertainment, travel insurance, golf privileges, and more. These credit cards may offer higher discounts or benefits for these categories than the general credit cards.

However, these credit cards may also have higher eligibility requirements or annual fees than the general credit cards. They may also have lower discounts or benefits for other categories than the general credit cards. So you need to weigh the pros and cons of these credit cards and see if they match your spending patterns and goals.

American Express Platinum Card: This card gives you up to 50% off at over 60 restaurants in Singapore with the Love Dining program. You can also enjoy complimentary drinks at selected bars with the Chillax program. Plus, you can get access to over 1,200 airport lounges worldwide with the Priority Pass membership. This card is ideal for people who love to dine out and enjoy premium experiences.

POSB Everyday Card: This card gives you up to 15% cash rebates on groceries, online food delivery, petrol, transport, utilities, and more with no minimum spend or cap. You can also use this card as an ATM card and a EZ-Link card. Plus, you can get a welcome gift of S$150 cashback when you apply and spend S$800 in the first two months of card approval. This card is ideal for people who want to save money on their everyday essentials and enjoy convenience.

CaltexGO Mastercard: This card gives you up to 25% fuel savings at Caltex stations in Singapore with no minimum spend or cap. You can also earn 3% cashback on all other spending with a minimum spend of S$300 per month. Plus, you can get a welcome gift of S$120 cashback when you apply and spend S$500 in the first month of card approval. This card is ideal for people who drive a lot and want to save money on petrol and other expenses.
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​How to Choose the Best Credit Card for You

Now that you have an idea of the different types of credit cards in Singapore, how do you choose the best one for you? Well, there is no one-size-fits-all answer to this question. The best credit card for you depends on your personal preferences, spending habits, income level, and financial goals.

However, here are some general tips that can help you narrow down your choices:

1. Know your spending patterns: Analyse your monthly expenses and see where you spend the most. For example, if you spend a lot on dining, groceries, and petrol, you may want to look for a credit card that offers high cashback or discounts for these categories. If you spend a lot on travel or online shopping, you may want to look for a credit card that offers high miles or points for these categories.
2. Know your eligibility criteria: Check the minimum income requirement, annual fee, and other conditions of each credit card that you are interested in. For example, if your income is below S$30,000 per year, you may not qualify for some of the premium credit cards that offer higher rewards or benefits. If your income is above S$120,000 per year, you may qualify for some of the exclusive credit cards that offer more perks or privileges.
3. Know your reward preferences: Decide what kind of rewards or benefits you value the most. For example, if you want to save money on your bills or redeem vouchers, you may prefer cashback credit cards. If you want to travel more or enjoy perks like lounge access or free baggage allowance, you may prefer miles credit cards. If you want more variety and flexibility in your rewards or redeem merchandise or other items, you may prefer rewards credit cards.
4. Compare and contrast: Once you have a shortlist of credit cards that suit your needs and preferences, compare them based on their features and benefits. For example, compare their earn rates, redemption values, minimum spending requirements, cashback caps, annual fees, sign-up bonuses, and other factors.

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​How to Use Your Credit Card Wisely

After choosing the best credit card for you, the next step is to use it wisely. Using your credit card wisely means that you can maximise your rewards and benefits while minimising your interest and fees. Here are some tips on how to use your credit card wisely:

• Pay your bills on time: This is the most important tip of all. Paying your bills on time means that you can avoid paying late payment fees and interest charges. It also means that you can maintain a good credit score and improve your chances of getting approved for loans or other credit products in the future.
• Pay your bills in full: If possible, pay your bills in full every month. Paying your bills in full means that you can avoid paying any interest at all. It also means that you can avoid accumulating debt and falling into a debt trap.
• Use your credit card for planned purchases: Use your credit card for purchases that you have budgeted for and can afford to pay off. Don’t use your credit card for impulse buys or unnecessary expenses that you can’t afford to pay off. Using your credit card for planned purchases means that you can earn rewards and benefits without overspending or going into debt.
• Use your credit card for big-ticket items: Use your credit card for big-ticket items that you can split into instalments or enjoy interest-free periods. For example, use your credit card for travel bookings, furniture, appliances, or electronics that you can pay off over several months or years. Using your credit card for big-ticket items means that you can enjoy convenience and savings without paying interest or fees.
• Use your credit card for online or overseas transactions: Use your credit card for online or overseas transactions that offer better exchange rates, security, or protection. For example, use your credit card for online shopping, hotel bookings, or flight tickets that offer lower prices, fraud prevention, or travel insurance. Using your credit card for online or overseas transactions means that you can enjoy convenience and peace of mind without paying extra charges or risks.

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Conclusion

Choosing the right credit card can be a daunting task, but it's important to do your research and choose a card that's right for you. By following the tips in this blog post, you can use your credit card wisely and responsibly and get the most out of it.
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