Are you planning a trip to Singapore and wondering whether it’s better to carry cash or a card? You’re not alone. Many tourists face this dilemma when travelling to Singapore, a country that is known for its efficient and safe payment landscape. While cash is still widely used in Singapore, credit and debit cards are becoming increasingly popular. So, which option is better for you?
In this article, we’ll help you understand Singapore’s payment landscape and weigh the pros and cons of carrying cash versus using cards. We’ll also discuss the financial considerations for travellers, navigating Singapore’s ATMs and banks, practical tips for tourists, and everyday expenses in Singapore. By the end of this article, you’ll have a better idea of which payment method is right for you and how to make the most of your money while travelling in Singapore.
Key Takeaways
- Singapore’s payment landscape is efficient and safe, with both cash and card options widely accepted.
- Carrying cash has its pros and cons, while using cards offers advantages such as convenience and security.
- Travellers should consider financial factors such as exchange rates and fees when deciding between cash and cards.
Understanding Singapore’s Payment Landscape
If you’re planning a trip to Singapore, you may be wondering whether it’s better to carry cash or a card. Understanding Singapore’s payment landscape can help you make an informed decision.
Singapore is one of the most cashless societies in the world, with the highest adoption rate of cashless payments in Southeast Asia at 97% in 2022 [TODAY]. This means that you can easily pay for most things with a card, including public transportation, food, and shopping.
Visa and Mastercard are widely accepted in Singapore, so you can use your debit or credit card for most transactions. In fact, credit cards accounted for 38% of in-store transactions in 2023 [2C2P]. However, it’s always a good idea to carry some cash with you, especially for small transactions or in case of emergencies.
You can withdraw cash from ATMs located all over Singapore. However, keep in mind that some ATMs may charge a fee for foreign card transactions. Make sure to check with your bank before travelling to avoid any surprises.
Overall, carrying a card in Singapore can be more convenient and secure than carrying cash. With the high adoption rate of cashless payments and widespread acceptance of Visa and Mastercard, you can easily pay for most things without worrying about carrying cash. However, it’s always a good idea to carry some cash with you in case of emergencies or for small transactions.
Pros and Cons of Carrying Cash
Carrying cash has its advantages and disadvantages. Here are some pros and cons of carrying cash in Singapore:
Accessibility of Money Changers
One of the advantages of carrying cash is that it can be easily exchanged at money changers. In Singapore, money changers can be found at most shopping centres and tourist spots. This makes it convenient for you to change your foreign currency into Singapore dollars. However, you need to be careful when selecting a money changer as some may charge higher fees or give you a lower exchange rate. It is recommended that you compare the rates of different money changers before making a transaction.
Exchange Rates and Value
Another advantage of carrying cash is that you can get a better exchange rate compared to using a credit card. When you use a credit card, the exchange rate is determined by the card issuer and may include additional fees. On the other hand, when you exchange cash, you have more control over the exchange rate and can choose to exchange at a time when the rate is favourable. Additionally, when you carry cash, you are more aware of the value of your money and may be less likely to overspend.
However, there are also some disadvantages to carrying cash. One of the main disadvantages is the risk of loss or theft. If you lose your cash or it is stolen, you will not be able to recover it. Additionally, carrying large amounts of cash may make you a target for theft. Another disadvantage is the inconvenience of carrying cash. You need to ensure that you have enough cash with you at all times, and you may need to carry a bulky wallet or purse.
Overall, carrying cash has its pros and cons. It is important to weigh the advantages and disadvantages before deciding whether to carry cash or use a credit card in Singapore.
Advantages of Using Cards
If you’re wondering whether to carry cash or a card in Singapore, cards offer several advantages. Here are some of the key benefits of using cards for payments:
Convenience of Card Payments
One of the most significant benefits of using cards is the convenience they offer. With a card, you don’t need to carry cash around, which can be bulky and heavy. Instead, you can make payments quickly and easily with just a swipe or a tap. This is particularly useful when you’re out shopping or dining, as it means you don’t need to worry about having enough cash on hand.
Many cards, such as Visa and Mastercard, are widely accepted in Singapore, so you can use them at most merchants. Some cards even offer additional perks, such as cashback or rewards points, which can help you save money on your purchases.
Safety and Security Benefits
Another advantage of using cards is the safety and security they provide. Carrying large amounts of cash can be risky, as it can make you a target for theft or robbery. With a card, however, you can make payments without carrying cash, which can reduce the risk of theft.
In addition, most card payments are protected by security measures such as PIN codes and two-factor authentication. This makes it more difficult for fraudsters to steal your money or use your card without your permission.
Debit cards are particularly secure, as they are linked directly to your bank account. This means that you can only spend the money that you have in your account, which can help you avoid overspending or getting into debt.
Overall, using cards for payments in Singapore offers several advantages, including convenience, safety, and security. Whether you choose to use a debit card or a credit card, you can enjoy the benefits of card payments and make your life easier.
Financial Considerations for Travellers
Travelling to Singapore can be an exciting experience, but it’s important to be prepared for the financial aspects of your trip. Whether you prefer cash or card, there are a few things to keep in mind to ensure you get the best value for your money.
Understanding Foreign Transaction Fees
When using your card in a foreign country, you may be charged foreign transaction fees. These fees are typically a percentage of the purchase price and can add up quickly. To avoid these fees, you may want to consider using a card that doesn’t charge foreign transaction fees. Check with your bank or credit card provider to see if they offer this service.
Another option is to use a multi-currency card, which allows you to load multiple currencies onto one card and avoid foreign transaction fees altogether. These cards often offer competitive exchange rates, making them a great option for frequent travellers.
ATM Withdrawal Strategies
If you prefer to use cash, you’ll need to consider your ATM withdrawal strategy. Using an ATM in a foreign country can come with its own set of fees, including foreign transaction fees and ATM withdrawal fees. To avoid these fees, you may want to consider using a service like Wise, which offers low-cost international transfers and ATM withdrawals.
When withdrawing cash, it’s important to keep in mind the exchange rate. Some ATMs may offer a less favourable exchange rate, so be sure to check the rate before withdrawing cash. It may also be a good idea to withdraw larger amounts of cash at once to minimise the number of times you need to use an ATM and pay fees.
Overall, whether you prefer cash or card, it’s important to be aware of the financial considerations when travelling to Singapore. By understanding foreign transaction fees and ATM withdrawal strategies, you can make the most of your money and enjoy your trip to the fullest.
Navigating Singapore’s ATMs and Banks
When it comes to accessing your money in Singapore, ATMs are your convenient cash companion. They are abundant throughout Singapore and accept most types of debit and credit cards. However, be mindful that there’s usually a fee for each withdrawal, which can vary depending on your bank and the ATM’s network.
To avoid excessive fees, it’s best to use ATMs that are part of your bank’s network. You can also check with your bank to see if they have any partnerships with banks in Singapore that offer fee-free withdrawals.
When using ATMs, be sure to keep an eye out for any suspicious devices attached to the machine that may be used to steal your card information. It’s always a good idea to cover the keypad when entering your PIN number to prevent anyone from seeing it.
If you prefer to use cash, you can easily exchange your currency for Singapore dollars at a major bank or ATM. It’s generally best to do so in Singapore to get the best exchange rates. If you’re stuck at Changi Airport and need Singapore dollars desperately, you may want to exchange just enough for transportation to your hotel (around S$50).
Overall, Singapore is a safe and trustworthy place to use your debit card or withdraw cash from ATMs. Just be sure to take the necessary precautions to protect your card and PIN number, and check with your bank to minimize fees.
Practical Tips for Tourists
Best Practices at Changi Airport
As soon as you land at Changi Airport, you can withdraw cash from one of the many ATMs available. However, make sure to check with your bank about any foreign transaction fees or surcharges. Some banks may also have partnerships with local banks in Singapore, which may allow you to withdraw cash without incurring any fees.
Another option is to use your credit or debit card to make purchases directly. Most shops and restaurants at Changi Airport accept cards, but it’s always a good idea to have some cash on hand, especially for small purchases or tips.
Handling Surcharges and Fees
When using your card in Singapore, be aware of surcharges and fees. Some merchants may charge a percentage-based fee for credit card transactions, which can quickly add up. To avoid these fees, consider using cash for smaller purchases.
Additionally, some ATMs in Singapore may charge a fee for foreign transactions. To avoid these fees, look for ATMs that are part of your bank’s network or that have partnerships with your bank.
Overall, it’s a good idea to have a mix of cash and cards when travelling in Singapore. Cash is useful for small purchases and tips, while cards can be more convenient for larger purchases and offer additional benefits such as travel insurance and rewards points.
Remember to always check with your bank about any fees or surcharges before travelling, and be aware of any additional fees charged by merchants or ATMs. With these tips in mind, you can enjoy your trip to Singapore without worrying about payment methods.
Everyday Expenses in Singapore
If you are planning to visit Singapore, you need to know what to expect when it comes to everyday expenses. Singapore is a vibrant city-state with a diverse range of attractions and activities to enjoy. Here are some of the things you need to know about everyday expenses in Singapore.
Paying for Accommodation
Singapore has a wide range of accommodation options, from budget hostels to luxury hotels. When it comes to paying for accommodation, you can use either cash or a debit card. Most hotels and hostels accept both forms of payment. However, if you are staying in a budget hostel, it is recommended that you carry cash as some may not accept debit cards.
Dining and Meals
Singapore is famous for its food, and there are plenty of dining options to choose from. When it comes to paying for meals, you can use either cash or a debit card. Most restaurants and food outlets accept both forms of payment. However, if you are dining at a hawker centre or food court, it is recommended that you carry cash as some may not accept debit cards.
It is important to note that some restaurants and food outlets may charge a fee for using a debit card. Therefore, it is advisable to check with the establishment before making a payment.
Overall, carrying cash or a debit card in Singapore depends on your personal preference and the type of establishment you are visiting. It is always good to have a mix of both, so you have the flexibility to pay for your expenses in the most convenient way possible.
Frequently Asked Questions
What’s the most convenient way for tourists to pay for things in Singapore?
Singapore is one of the most cashless societies in the world, so it’s easy to get by with just a card. Credit cards and debit cards are widely accepted in most establishments, including shops, restaurants, and tourist attractions. You can also use your card to pay for public transport, such as the MRT and buses. But if you prefer to use cash, there are plenty of ATMs around the city where you can withdraw Singapore dollars.
Are credit cards widely accepted by taxis in Singapore?
Yes, credit cards are accepted by most taxis in Singapore. However, some taxis may charge a 10% surcharge for card payments, so it’s always a good idea to carry some cash with you just in case.
Should I bring a substantial amount of cash when travelling to Singapore?
It’s not necessary to bring a substantial amount of cash when travelling to Singapore. As mentioned earlier, credit cards and debit cards are widely accepted in most establishments. However, it’s always a good idea to have some cash on hand for emergencies or for places that do not accept cards.
Can I freely use my debit card around Singapore for transactions?
Yes, you can freely use your debit card around Singapore for transactions. Most establishments accept debit cards, and you can also use your debit card to withdraw cash from ATMs.
Where’s the best place to exchange currency in Singapore?
The best place to exchange currency in Singapore is at the money changers in Changi Airport. They operate 24/7 and offer some of the best rates in the city. You can also find money changers in most shopping malls and tourist areas, but be sure to compare rates before exchanging your currency.
What are the benefits of using cards over cash for my expenses in Singapore?
Using cards over cash for your expenses in Singapore has several benefits. First, it’s more convenient as you don’t have to worry about carrying around a lot of cash. Second, it’s safer as you don’t have to worry about losing your cash or getting robbed. Third, you can easily track your expenses as most card transactions are recorded in your bank statement. Finally, you can earn rewards points or cashback when you use your credit card for your expenses.
