Amex tops credit card user satisfaction survey

Singaporeans with American Express (Amex) credit cards are more likely to be happy customers than people holding other plastic, according to a new study.

It placed Amex top in a ranking measuring card satisfaction among users, with POSB coming in second and OCBC, third.

The survey by JD Power measured how satisfied customers were with their credit card issuer in six areas: interaction, credit card terms, billing and payment, rewards, benefits and services, and problem resolution.

Amex performed particularly well in five of the six study factors, including interaction, billing and payment, and credit card terms, noted global market research firm JD Power yesterday.

It added: "POSB performs particularly well in the billing and payment, credit card terms and benefits and services factors, while OCBC performs particularly well in interaction and rewards."

The poll also found that few customers fully understood important terms such as foreign currency and transaction fees, interest rates and annual fees.

Those familiar with such terms were more likely to spend greater amounts.

The study found that such customers spend an average of $1,068 monthly on their card compared with $837 for those who either do not or only partially understand their card's terms.

JD Power director Gordon Shields said: "In a highly saturated credit card market like Singapore, it is important for card issuers to not only promote the rewards and benefits of their product, but also to ensure that relevant information on interest rates and other fees and charges are clearly outlined."

He added that customers with a greater understanding of their credit card terms are also more satisfied overall, and, in turn, tend to spend more on their primary card.

The firm also found that cardholders find it harder to learn how to earn and redeem rewards amid the various reward programmes.

Only 32 per cent of cardholders said they completely understood how to earn rewards, and 47 per cent were fully clued in on how to redeem them.

Singapore cardholders prefer cashback or rebate rewards the most but hotel stays, airline tickets and access to special events and experiences are more exciting.

They were least interested in rewards such as making a donation or gifts like a vacuum cleaner.

JD Power, which polled 2,849 customers in Singapore in August and last month, modelled the survey on similar studies it has done for almost a decade in the United States.

A version of this article appeared in the print edition of The Straits Times on October 21, 2015, with the headline 'Amex tops credit card user satisfaction survey'. Print Edition | Subscribe