Credit cards can be a great way for young adults to build credit and earn rewards while managing their finances. However, with so many options available in Singapore, it can be overwhelming to choose the right one. Don’t worry, we’ve got you covered. In this article, we’ll cover the best credit cards for young adults in Singapore, so you can make an informed decision and get the most out of your spending.
When it comes to credit cards for young adults, it’s important to understand the basics. Credit cards allow you to borrow money from a bank to make purchases, with the agreement that you’ll pay back the amount borrowed plus interest. Choosing the right credit card can help you earn rewards such as cashback, miles, and other perks. However, it’s important to use credit cards responsibly and avoid spending beyond your means.
Now, let’s dive into the top choices for everyday spending, maximizing rewards and cashback, and lifestyle benefits and perks. We’ll also cover fees and charges to consider and answer some frequently asked questions. By the end of this article, you’ll have a better understanding of the best credit cards for young adults in Singapore and be able to choose the right one for your needs.
Key Takeaways
- Understanding credit cards for young adults is important before choosing the right one.
- Top choices for everyday spending, maximizing rewards and cashback, and lifestyle benefits and perks are available.
- Fees and charges must be considered before choosing a credit card.
Understanding Credit Cards for Young Adults
As a young adult, you may be considering getting a credit card. Credit cards can be a great tool for building credit and earning rewards, but it is important to understand the basics before applying.
Income and Eligibility
When applying for a credit card, you will need to meet certain income requirements. Most credit cards in Singapore require a minimum annual income of $30,000 or more. However, some cards may have higher income requirements or be targeted towards specific groups, such as students or working professionals.
It is important to note that your income may not be the only factor that determines your eligibility for a credit card. Credit card issuers will also look at your credit history, employment status, and other factors when deciding whether to approve your application.
Credit Card Basics
Credit cards work by allowing you to borrow money from a bank or credit card issuer. You can then use that money to make purchases, and you will be required to pay back the amount you borrowed plus interest.
When using a credit card, it is important to understand the terms and conditions. This includes the interest rate, annual fee, and any other fees that may apply. You should also be aware of the rewards program and any restrictions or limitations that may apply.
To make the most of your credit card, it is important to use it responsibly. This means paying your bill on time and in full each month, and avoiding carrying a balance. It is also a good idea to keep track of your spending and to stay within your budget.
By understanding the basics of credit cards and using them responsibly, you can build credit and earn rewards while avoiding debt and financial stress.
Top Choices for Everyday Spending
When it comes to everyday spending, you want a credit card that offers great rewards and benefits. Here are some of the top choices for young adults in Singapore:
DBS Live Fresh and OCBC FRANK
The DBS Live Fresh and OCBC FRANK cards are both great options for young adults who love to shop. With the DBS Live Fresh card, you can earn up to 5% cashback on online shopping, including purchases from popular retailers like Lazada and Zalora. You can also earn up to 5% cashback on dining and groceries, as well as 0.3% cashback on all other purchases.
The OCBC FRANK card is another great option for young adults who love to shop. With this card, you can earn up to 6% cashback on online shopping, including purchases from popular retailers like Amazon and Taobao. You can also earn up to 5% cashback on entertainment, dining, and groceries, as well as 0.3% cashback on all other purchases.
CIMB AWSM and UOB EVOL
The CIMB AWSM and UOB EVOL cards are both great options for young adults who love to dine out and enjoy fast food and coffee. With the CIMB AWSM card, you can earn up to 1% cashback on all dining and online shopping purchases, as well as 0.2% cashback on all other purchases. You can also enjoy exclusive deals and discounts at popular restaurants and cafes.
The UOB EVOL card is another great option for young adults who love to dine out and enjoy fast food and coffee. With this card, you can earn up to 8% cashback on dining, groceries, and online food delivery, as well as 4% cashback on fast food and coffee purchases. You can also enjoy exclusive deals and discounts at popular restaurants and cafes.
Overall, these credit cards offer great rewards and benefits for young adults in Singapore who love to shop, dine out, and enjoy everyday spending. Choose the card that best suits your needs and start earning rewards today!
Maximising Rewards and Cashback
As a young adult, you are always on the lookout for ways to maximise your rewards and cashback. Understanding reward structures can help you choose the best credit card that suits your lifestyle. Here are some tips to help you get the most out of your credit card rewards and cashback.
Understanding Reward Structures
Credit cards offer rewards in different forms, including cashback, miles, and points. Cashback rewards give you a percentage of your spending back in cash, while miles and points can be redeemed for travel, entertainment, and other rewards.
When choosing a credit card, you should consider the reward structure and how it aligns with your spending habits. Some credit cards offer higher rewards for specific categories, such as dining, entertainment, or online shopping. Others offer a flat rate for all spending categories.
Best Cards for Specific Categories
If you are looking for a credit card that offers the best rewards for specific categories, here are some options to consider:
- For dining and entertainment: The Citi Cash Back Card offers up to 8% cashback on dining, groceries, and petrol. The HSBC Revolution Card offers up to 5% cashback on dining, entertainment, and online purchases.
- For online shopping: The DBS Live Fresh Card offers up to 5% cashback on online shopping, including food delivery, Netflix, and Spotify. The UOB One Card offers up to 5% cashback on online shopping and Grab rides.
- For travel: The OCBC 90°N Card offers up to 4 miles per $1 spent on overseas spending, while the DBS Altitude Card offers up to 3 miles per $1 spent on online flight and hotel bookings.
- For general spending: The UOB One Card offers up to 5% cashback on all spending categories with a minimum spend of $2,000 per month.
Remember to check the cashback cap, minimum spend, and annual fee of each credit card to ensure that you are getting the best savings. Additionally, keep an eye out for card promotions that offer extra rewards or cashback when you sign up or spend a certain amount.
By understanding reward structures and choosing the best credit card for your spending habits, you can maximise your rewards and cashback.
Lifestyle Benefits and Perks
As a young adult in Singapore, you are always on the lookout for credit cards that offer lifestyle benefits and perks. Here are some of the best credit cards that offer such benefits:
Travel and Overseas Expenditure
If you love to travel, the KrisFlyer UOB credit card is the perfect card for you. With this card, you can earn 3 miles per $1 spent on dining and online shopping, and 1.2 miles per $1 spent on all other purchases. You can also enjoy exclusive privileges such as priority check-in and boarding, and complimentary travel insurance of up to $500,000.
For those who frequently make overseas spend, the HSBC Revolution card is a great option. You can earn 2 miles per $1 spent on online travel bookings and 1.2 miles per $1 spent on all other purchases. You can also enjoy exclusive deals and offers on travel, dining, and shopping.
Exclusive Deals and Offers
The KrisFlyer UOB card and HSBC Revolution credit card also offer exclusive deals and offers. With the KrisFlyer UOB card, you can enjoy up to 12% off hotel bookings on Agoda and up to 10% off hotel bookings on Expedia. You can also enjoy 10% off your bookings on Klook.
With the HSBC Revolution card, you can enjoy exclusive deals and offers on dining, shopping, and entertainment. You can get up to 16% off your food bills at selected restaurants, and up to 10% off your shopping bills at selected stores. You can also enjoy exclusive deals on movie tickets and other entertainment activities.
When you use these credit cards for foreign currency transactions, you can also enjoy bonus miles and cashback. So, whether you are a frequent traveller or a savvy shopper, these credit cards offer lifestyle benefits and perks that are sure to excite you.
Fees and Charges to Consider
When choosing a credit card, it’s important to consider the fees and charges that come with it. Here are some fees and charges to keep in mind when selecting a credit card that’s best for you.
Annual Fees and Waivers
One of the most important fees to consider is the annual fee. Some credit cards have no annual fee, while others charge a fee that can range from $50 to $500. If you’re a young adult just starting out, you may want to consider a credit card with no annual fee to avoid unnecessary expenses.
However, some credit cards offer annual fee waivers if you meet certain conditions, such as spending a minimum amount on the card each year. Make sure to read the terms and conditions carefully to see if you’re eligible for an annual fee waiver.
Other Common Fees
Aside from annual fees, there are other fees to consider when choosing a credit card. These fees can include cash advance fees, foreign transaction fees, late payment fees, and over-limit fees.
Cash advance fees are charged when you withdraw cash from your credit card. Foreign transaction fees are charged when you use your credit card outside of Singapore. Late payment fees are charged when you miss a payment deadline, while over-limit fees are charged when you exceed your credit limit.
Make sure to read the terms and conditions carefully to understand all the fees and charges associated with your credit card. Keep in mind that some credit cards may have a minimum spend requirement to avoid certain fees, such as late payment fees.
By considering all the fees and charges associated with a credit card, you can make an informed decision that’s best for your financial situation.
Frequently Asked Questions
What’s the top starter credit card for a budding professional in Singapore?
If you’re just starting out in your career and looking for a credit card that can help you build your credit score, the Citibank Clear Card is a great option. It has no annual fee and offers cashback on dining, movies, and Grab rides. Plus, it comes with a low credit limit, so you won’t be tempted to overspend.
Are there any credit cards in Singapore tailored specifically for university students?
Yes, there are a few credit cards in Singapore that are designed specifically for university students. One of the best options is the DBS Live Fresh Student Card, which offers cashback on online shopping, dining, and entertainment. It also comes with a low credit limit and no annual fee.
How can I get my hands on a credit card before I turn 18 in Singapore?
Unfortunately, you cannot get a credit card in Singapore before you turn 18. However, if you’re under 18, you can still get a debit card, which can be used for online shopping and other transactions.
Which credit card should I snag for the ultimate perks as a foreign young adult in Singapore?
If you’re a foreign young adult in Singapore, the HSBC Revolution Credit Card is a great option. It offers cashback on dining, entertainment, and online shopping, as well as discounts on travel bookings. Plus, it has no annual fee and no foreign transaction fees.
What’s the most smashing credit card combo for maximising benefits in Singapore?
If you want to maximise your benefits in Singapore, consider getting a combination of the Citibank Rewards Card and the UOB One Card. The Citibank Rewards Card offers rewards points on all purchases, while the UOB One Card offers cashback on all spending. Together, these cards can help you earn rewards and cashback on all your purchases.
At 21, which credit card in Singapore will set me up for success?
If you’re 21 and looking for a credit card that can help you build your credit score and earn rewards, the Standard Chartered Unlimited Cashback Card is a great option. It offers unlimited cashback on all spending, as well as discounts on dining and petrol. Plus, it has no annual fee for the first two years.