Unlike the overcrowded online spending category, there are only 2 noteworthy cards in the Contactless spending category.
In this article, I will put them head to head, rank them and explain my choice.
Reminder for newbies
If you are new to miles accumulation, do not make the mistake that most newbies make.
If you just want to use one card for all your spending, there is no better card than HSBC Revolution.
It is almost pointless to pick 1 “general spending” card (like UOB PRVI Miles, DBS Altitude and Citi PremierMiles) that earns only 1.4 or 1.2 MPD on everything. You will be earning miles three times slower!
When you are ready to have more cards, pick from our list of the best cards in Singapore.
Why is the Contactless category important?
A large majority of physical stores in Singapore accept contactless payments. It is actually getting very hard to find stores that accept credit cards but not contactless payments.
For that reason, it can be seen as a “general spending” card for everyone who spends under $2,000 in-stores monthly.
Ranking the best credit cards for Contactless payments
2) UOB Preferred Platinum
UOB Preferred Platinum has been the undisputed king of contactless payments for many years now. But it is not perfect.
The good
+ Wide list of eligible merchants.
The bad
– Earn miles only in $5 blocks. This means that you will not get any miles if your total payment is under $5. Because of this $5 block, spending $5 or $9.90 in one receipt will earn you the same amount of miles.
– You will not earn any miles from major SMART$ merchants like: BreadTalk, Cold Storage, Giant, Cathay Cineplexes and Shell.
– Contactless payments have to be made via mobile device (Apple Pay, Google Pay) to qualify for 4 MPD.
Earn 4 mpd on two bonus categories:1) Mobile Contactless (e.g. Google Pay, Apple Pay)
2) Online Spending (some MCCs only)
More information
Key details of the UOB Preferred Visa Card
Ease of use :
Minimum annual income:• S’porean/PR: S$15,000 – S$30,000
• Foreigner: S$40,000Annual fee: S$196.20 (first year waived; request waiver every year)
Earn 4 mpd on two bonus categories, up to S$600 per calendar month each (total S$1,200):1) Mobile Contactless (e.g. Google Pay, Apple Pay)
2) Online Spending (selected MCCs only) No minimum spending
⚠️ 0.4 mpd earn rate on non-bonus spending
⚠️ Online Spending category is MCC-sensitive
⚠️ S$5 earning block
⚠️ 2-year miles expiry term
⚠️ Only 2 useful miles transfer partners
⚠️ 3.25% foreign transaction fee
1) HSBC Revolution
HSBC Revolution is attempting a revolution with their announcement earlier this month to remove annual fees from this card and awarding 4 MPD for Contactless and Online spending. This improvement will kick-start on 1 August 2020.
HSBC is also running a promotion offering a Samsonite luggage (worth $670) for new cardholders who spend a minimum of $800 within the first month.
The good
+ Earn miles for every dollar.
+ No annual fees.
+ Option to earn cashback instead of miles.
The bad
– Only merchants from certain categories will qualify. They are travel/hotels, retail stores, supermarkets, dining and taxi. This means that you will not receive 4 MPD in massage parlours, cinemas, hair/nail salons, telco shops and petrol stations.
Earn 4 mpd on contactless and online spending; boost earn rate to 8 mpd with a minimum deposit of S$50,000
More information
Key details of the HSBC Revolution Card
Ease of use :
Minimum annual income:• S’porean/PR: S$30,000 – S$65,000
• Foreigner: S$65,000Annual fee: No annual fee, ever
Earn 4 mpd on selected contactless and online spending, up to S$1,000 per calendar month
Boost bonus earn rate to 8 mpd (up to S$1,200 per calendar month) with a minimum deposit of S$50,000
No minimum spending
3-year miles expiry term
7 useful miles transfer partners
Free miles transfers to frequent flyer programs
Instant miles transfers
No annual fee, ever
⚠️ 0.4 mpd earn rate on non-bonus spending
⚠️ Poor transfer ratio to KrisFlyer
⚠️ Bonus categories are MCC-sensitive
⚠️ 3.25% foreign transaction fee
Conclusion
While HSBC Revolution has more exclusions, I see it as a slightly better card for contactless payments because of the following personal reasons:
- No annual fees to worry about.
- Earn miles for every dollar instead of $5 blocks. For example, buying a $2 drink at Cheers will give me 8 miles.
- Earn 4 MPD at Giant and Cold Storage.
- When making payment while dining out, I can simply pass my card to the waiter and let them know that I want it to be a contactless payment (PayWave). If I am using the UOB Preferred Platinum, I would have to pass my mobile phone to the waiter, make the payment myself at the cashier or hope that the restaurant has a wireless payment terminal.
If I have to choose one card, it would be HSBC Revolution. But I don’t have to choose one. I am keeping the UOB Preferred Platinum digitally in my phone for those rare trips to HSBC Revolution-excluded merchants.
