While it may only have a relatively small population for a country, the thriving city state of Singapore has a very competitive credit card industry with a number of Singapore, Asian and international card issuers offering a range of cards such as the RBS Platinum card.  It’s hard to get around Singapore without exposure to credit card offers, there are posters and promotions everywhere and many of the major stores or restaurants have alliances with certain card issuers.

When looking for a Singapore credit card, here are some of the main things to know;

Rates/APR: While the market is competitive it is very different from markets such as Europe and the USA where interest rates (APR) play a big factor in decision making. In Singapore the default purchase rate is offered at the same 24% APR on the vast majority of cards. While it may seem like there is nothing to compare when it comes to rates then you should check if discounts apply on large purchases from any partner stores or what the grace period is between purchasing goods and the interest charges kicking in. At the rate of 24% APR you will pay a lot of interest each year if you use credit cards as a long term way to pay goods off - try and keep your sepnding in check so you can afford to pay the bill off each month.

Annual Fees: Singapore credit cards have a nominal annual fee but it is normal for this to be waived for a number of years to new card holders. Make sure you are aware of how long the fee waiver will last for and what the annual fee will jump to at the end of this time so you don’t get caught out. If you move cards every few years or speak to your card issuer you may be able to avoid paying fees on many cards.

Rewards: Rewards are key to credit card offers in Singapore and finding the best credit card is all about finding a card that offers the best rewards to suit your spending pattern and lifestyle. While you can certainly find cards offering the standard reward schemes such as frequent flyer points in Singapore it is common to get access to special offers and rebates at restaurants, clubs and partner retailers across Singapore. In Singapore the premium style cards such as Platinum cards are very popular due to the prestige they offer and you will find these cards often offer special privileges such as insurances or card holder services not available on standard cards.

Rewards and privileges are the main way that the different Singapore credit cards compete with each other so the schemes are a core part of the product, not just something added on as a bonus.

Funds Transfer: Finally, one more thing to check if you have outstanding debt on other credit cards is if they allow a credit card funds transfer where you move the balance of other cards to your new card at a lower APR. Not all cards offer this facility but it becoming more common.

Applying for a credit card can be done quickly and easily online with most banks although many will require some extra information before they will approve and send out your credit card. Temporary residents can still apply for most credit cards in Singapore but often a higher minimum income level is required.

Finance article by R Greenwood founder of creditcardapr.com.sg which compares credit cards in Singapore including credit card rewards for Singapore consumers.