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Multi-currency platforms and banks said overseas spending is an area of priority because travel is part of their customers\u2019 lifestyles.<\/span><\/p>\n \u201cWhile competition has increased, we see this as a positive development that encourages continued innovation across the industry,\u201d a Trust Bank spokesperson said.<\/span><\/p>\n \u201cUltimately, consumers benefit from better products, greater transparency and more choice.\u201d<\/span><\/p>\n DBS head of payments and unsecured lending Chan Sow Han said it may also make sense to travel with more than one payment option.\u00a0<\/span><\/p>\n \u201cThere is no single card or wallet that will be optimal for every traveller or every transaction,\u201d she said. \u201cWe encourage customers to look at the total value of the payment method, rather than focusing on one headline feature.\u201d<\/span><\/p>\n With Singaporean holidaymakers spoilt for choice, here are some factors to consider when choosing what to pay with.<\/span><\/p>\n For travellers trying to keep their costs as low as possible, favourable FX rates and foreign transaction fees are one thing to keep an eye out for.<\/span><\/p>\n Some cards rely on Mastercard or Visa rates, while others use the mid-market rate \u2013 the middle point between the buying and selling prices of two currencies on the global market.<\/span><\/p>\n For Singaporeans\u2019 top seven travel destinations, MariBank said it offers special, market-leading exchange rates to beat the competition. Those countries are Malaysia, Indonesia, Thailand, Japan, South Korea, China and Australia.<\/span><\/p>\n Travellers may also want to check what kind of cashback is offered, which can vary depending on the destination, the card and whatever ongoing campaigns there may be \u2013 keeping in mind that these time-bound promotions are temporary.<\/span><\/p>\n The DBS UnionPay Platinum Debit Card offers up to 5 per cent cashback in China, while UOB FX+ Debit cardholders can get 1 per cent cashback on mobile contactless spend in Malaysia, Thailand, Indonesia and Vietnam from Sep 1 to the end of the year.<\/span><\/p>\n Trust Bank and MariBank also offer cashback on overseas spend.<\/span><\/p>\n Those who want to get rewards in the form of miles would choose cards from the banks, such as the\u00a0<\/span>UOB PRVI Miles Card, the DBS Altitude Card or the OCBC 90\u00b0N card.<\/span><\/p>\n These cards offer accelerated miles for every foreign dollar spent, though cardholders must factor in the banks’ foreign transaction fees, which can eat into the overall value of the rewards.<\/span><\/p>\n Depending on the destination, some payment methods might be more suitable than others.\u00a0<\/span><\/p>\n Places like Japan and Taiwan still rely on cash, while QR code payments are used heavily in China and Southeast Asia.<\/span><\/p>\n The three local banks offer scan-to-pay features on their apps, while other options may need to be combined with WeChat or Alipay to be used in China.<\/span><\/p>\n UOB said the number of scan-to-pay and peer-to-peer payment functions in foreign countries has grown strongly.<\/span><\/p>\n \u201cThis reflects customers\u2019 preferences for a free, convenient and safer alternative to carrying large sums of cash in a foreign country,\u201d said Ms Jacquelyn Tan, head of group personal financial services at the bank.<\/span><\/p>\n The type of transaction also matters, with MariBank\u2019s head of consumer business Huo Haiyan recommending credit cards for retail and hotels.\u00a0<\/span><\/p>\n \u201cCredit cards offer consumers additional protections that they may not get with a payment wallet, such as the ability to raise chargebacks for any potential fraudulent merchant transactions,\u201d she said.<\/span><\/p>\n For travellers who\u00a0need to withdraw money overseas, fees may apply depending on what card or app\u00a0<\/span>they use.<\/p>\n Using a credit card would incur cash advance fees, and administrative fees may also be charged for debit cards.<\/span><\/p>\n Revolut, Wise and YouTrip offer fee-free ATM withdrawals\u00a0<\/span>of between S$100 (US$79) to S$400 per month,\u00a0though the operator may impose its own fee.\u00a0<\/span><\/p>\n Consumers should also consider their preference when it comes to debit versus credit cards.\u00a0<\/span><\/p>\n For debit cards, their account needs to be topped up, but they are able to lock in exchange rates by purchasing the foreign currency ahead of time.<\/span><\/p>\nMORE BANG FOR YOUR BUCK<\/h2>\n
THE BEST FIT<\/h2>\n