Beyond deposits: S’pore digital banks are targeting your wallet with new credit cards and rewards
They are launching credit cards with stockback, cashback and ecosystem rewards.
Singapore’s digital banks are stepping up efforts to attract customers by launching new credit cards and embedding their ecosystems into everyday spending. Trust Bank introduced what it called the first stockback credit card on August 13, allowing users to earn stock, unlimited cashback, or bonus cashback on purchases. GXS Bank followed suit on August 17 with a cashback card that integrates with Grab and Singtel ecosystems.
Analysts view these credit card offerings as part of digital banks' strategy to become primary card choices for consumers, expanding their retail banking presence. The aim is to leverage ecosystem partnerships to drive spending and acquire new customers. Tamma Febrian, director of financial institutions group at Fitch Ratings Singapore, noted that digital banks are expanding beyond deposits and investing to offer rewards as a customer-acquisition cost.
Trust Bank CEO Dwaipayan Sadhu highlighted the growing interest in micro-investing among younger investors, but many remain hesitant due to lack of confidence. Trust’s Freedom card offers stockback rewards, automatically investing accumulated rewards into selected US stocks or ETFs once they reach $10. The bank has seen a 100% increase in credit card sign-ups since launching the Freedom card.
GXS Bank’s head of retail, Jenn Ong, explained that frequent users of Grab or Singtel would benefit from the card’s cashback offers, encouraging deeper engagement with the services they already use. The bank can offer tailored sign-up perks, such as discounts on Grab rides or subscriptions, at near-zero customer acquisition costs.
MariBank, another digital bank, launched the Mari card two years ago, leveraging Sea’s digital ecosystem, including e-commerce platform Shopee. Cardholders earn Shopee Coins on eligible Shopee purchases, reinforcing the link between Sea’s financial and e-commerce businesses. The bank stays committed to a simple and frictionless value proposition, while continuously offering promotions to boost engagement.
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