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Miles vs Cashback Credit Cards in Singapore: Which Is Better?

Miles or cash1 / 4
CashbackMoney back
MilesFree flights

Money back or flights?

Flights can be worth more, if you fly.

Quick questions 2

Is cashback or miles better for someone new to credit cards?

If you do not travel much, a cashback card is simpler and the value is guaranteed. If you do travel and want to aim for better seats, a single miles card for your largest spending category is a gentle way to start.

Can I convert cashback into miles?

Generally no. Cashback is credited as money. Some bank rewards programmes let you choose between cash rebates and miles, but that choice belongs to the points programme, not to cashback cards.

Read the full guide

It is the first question almost everyone asks. The honest answer is that both can be the right choice. What matters is how you spend, how you travel, and how much effort you are willing to put in. Here is how to think it through.

How each type of card works

Cashback cards return a percentage of eligible spending as a statement credit or cash. The value is fixed and immediate: a dollar of cashback is always worth a dollar.

Miles cards earn bank points or airline miles that you redeem for flights and upgrades. The value is variable. It depends entirely on what you redeem them for.

How much is a mile worth?

There is no official value. Many Singapore enthusiasts use a rough benchmark of around 1.5 to 2 cents per mile when redeemed on premium cabin flights, and noticeably less when used on economy seats, merchandise, or vouchers.

That gap is the whole argument for miles. If you redeem well, a card earning a few miles per dollar can beat a cashback card on value. If you redeem poorly, or never redeem at all, cashback wins easily.

Tip: A quick sanity check: multiply a card's miles per dollar by the value you expect to get per mile. Compare that number with a cashback card's percentage on the same spend.

Choose miles if you...

  • Travel at least once or twice a year and are flexible on dates.
  • Want premium cabin flights you would never pay cash for.
  • Are happy to learn a few card rules and use two or three cards for different spending.
  • Can plan redemptions ahead, since award seats are limited on popular dates.

Choose cashback if you...

  • Rarely fly, or always fly budget economy where miles stretch less far.
  • Prefer a guaranteed, simple return you can see on every statement.
  • Do not want to track transfer partners, expiry dates, or award availability.
  • Have spending that clusters in categories cashback cards reward well, such as petrol or groceries.

Costs people forget to count

Both types come with fine print that eats into the headline value:

  • Minimum spend. Many cashback cards only pay their top rate once you hit a monthly minimum.
  • Caps. Both miles and cashback cards cap how much bonus you can earn each month. See how bonus caps work.
  • Conversion fees. Moving bank points into airline miles often costs a fee per transfer.
  • Expiry. Airline miles can expire. Cashback usually does not.

You do not have to pick just one

Plenty of people carry both: a cashback card for categories where it clearly wins, and miles cards for everything else. The key is knowing which card to use at the moment you pay, which is exactly what CardMatchly is built for. Read more on building a multi-card strategy.

General information, not financial advice. Banks set their own rates, limits, fees and rules, and change them from time to time, so check with the bank before you apply. CardMatchly is independent and is not paid by any bank.