Debit cards gain favour among debt-wary consumers

Credit card preferences also shifting, with cashback gaining traction, say lenders

Banks are seeing shifts in the way people use credit cards, with higher uptake of cashback cards at some banks even as customers hold on to their miles in the hope of travel eventually resuming. The miles and reward points earned on many of the major
Banks are seeing shifts in the way people use credit cards, with higher uptake of cashback cards at some banks even as customers hold on to their miles in the hope of travel eventually resuming. The miles and reward points earned on many of the major banks' cards do not expire. PHOTO: ISTOCKPHOTO
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Consumers are increasingly opting for debit cards as the pandemic has made them more wary of chalking up credit card debt.

Lenders are also seeing shifts in the way people use credit cards, with cashback gaining traction even as customers hold on to their miles in the hope of travel eventually resuming.

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A version of this article appeared in the print edition of The Straits Times on June 22, 2021, with the headline Debit cards gain favour among debt-wary consumers. Subscribe