Over 40% of Singaporeans pay FX fees when travelling abroad: report

Majority of travellers still use cash, only about half use credit cards.

Over 40% of Singaporeans paid unnecessary foreign transaction (FX) fees charged by their bank or credit card issuer for purchases made overseas, according to a report by Revolut.

More than 30% were charged currency conversion fees at banks or currency exchange services for converting currency.

“One of the biggest pitfalls when travelling abroad is being charged unnecessary FX fees. Most banks in Singapore charge up to 3.25% per transaction,” Raymond Ng, CEO at Revolut Singapore, said. 

Close to half (48%) of travellers in the city-state used credit cards for payments, with 44% of them relying on a dynamic currency conversion, incurring additional fees. Meanwhile, seven in 10 still used cash during travels.

One in five believe they will spend more on travel this year. Changi Airport already saw an 80% YoY increase in departing passengers in 2023, a trend expected to continue.

More than half (54%) said they determined travel budgets by estimating costs for transportation, accommodation and activities, while 47% considered the duration and daily allowance and 35% based it on available savings or disposable income. One in four set fixed amounts based on previous travels.

Roughly 30% considered themselves budget travellers, about 20% said they were experiential travellers and only 3% identified themselves as luxury travellers.

The report surveyed 1,000 Singaporeans aged 18 to 65 and over.