When choosing the best credit card for your use, there are plenty of rationales that you need to consider. As added bonuses, welcome offers are often the deal breakers to narrowing down your choices and making the right decision. However, along with these credit card perks, many of us easily overlook the payment processing network that comes with the card. 

Visa, Mastercard and American Express are some of the top processing networks used universally. In Singapore, the commonly used credit card and debit card networks are Visa and Mastercard. As these networks come with different benefits, it is important for you to know which one you are signing up for. 

But what is a credit card network? Isn’t that already provided by the bank you apply at?

Credit Card Network vs Credit Card Issuer

If you are applying for a credit card from either Citibank, Standard Chartered or HSBC, you are most likely dealing with credit card issuers. These banks act as the credit card providers that check your eligibility based on the required criteria. 

The processing networks used by most of the banks in Singapore are Visa and Mastercard. Both these credit card networks provide payment transaction services for the merchants but do not issue credit cards. They make sure credit cards’ transactions are smooth without dealing with the credit card users directly. Hence, the banks are in charge of keeping detailed records of their credit card holders.  

Meanwhile, American Express is a payment processing network that issues AMEX credit cards. In simpler terms, it means that you will only be liaising with American Express from the time you apply for a credit card to your monthly payments. Sadly, there are only a few banks in Singapore providing AMEX credit cards. In some situations, you may need to apply directly to American Express for a certain type of credit card plan.

Understanding Visa, Mastercard and AMEX

Looking at the general understanding on Visa, Mastercard and American Express credit cards, all three are more likely the same in terms of providing services to their users. However, detailed knowledge on each credit card processing network is essential in determining your choice when applying for a credit card.

• The acceptance ratio

In Singapore, both Visa and Mastercard are accepted by almost all merchants. These payment networks offer almost the same benefits for contactless payment methods. Therefore, it should not be a problem if your credit card is Visa or Mastercard as you can use for both in-store and online payments. 

As for American Express credit cards, they offer premium benefits in most of the larger retailers in Singapore. Therefore, you might find it difficult to use your AMEX card in smaller or private stores and businesses. 

Globally, all three payment processing networks are accepted depending on the region you are about to swipe your card at. In terms of popularity, Visa and Mastercard are widely accepted by more than 200 countries. In fact, both provide ATM withdrawal services across the globe. 

Even if AMEX credit cards have fewer acceptance worldwide, you can always check if the place you are about to travel or buy things from accepts this credit card. 

• Consumer privacy and card protection

Staying away from fraudulent card usage is surely one of the biggest concerns of any credit card users. The American Express credit cards offer great benefits with their security measures. Compared to Visa and Mastercard, the AMEX card comes with a 90-day purchase and refund protections. 

Nevertheless, Visa and Mastercard are not less protective than AMEX. Their monitoring services include protecting your privacy from the misuse of online sellers. Hence, your personal details are safe when you use these credit cards for online purchases. 

Visa, Mastercard and AMEX credit cards’ protection policies are also applied worldwide. Most of the consumer protection measures are similar. Except that Visa does not provide zero liability protection on ATM transactions that take place prior to fraud reports. 

Overall, all these credit cards come with their protective measures against privacy breach of the users. In the US, these credit cards can even offer you extended purchase warranty. However, the terms and conditions may vary in Singapore. 

• Overseas transactions and card replacement

Do you regularly travel abroad or purchase goods from overseas? You might have been looking for the best card to surpass all those additional exchange rates and fees. If this is your main concern, then you would certainly enjoy using the AMEX credit card that is directly issued from American Express. 

You might have to reconfirm the AMEX acceptance prior to your payments. If the card is accepted, then you get to enjoy the fixed and lowest overseas card fees of 2.5%. 

Whereas Visa and Mastercard’s overseas transaction fees depend on the banks issuing the credit cards. These banks can charge more than 3% of transactions fees inclusive of foreign exchange and administrative fees. 

For travellers with many experiences of misplacing the cards, Visa offers the quickest replacement in just one business day. 

But if you are looking for the best customer support for both Singapore and foreign transactions, the best choice would be AMEX. American Express is known for their 24-hour Global Assist internationally. This service helps you with travel arrangements and in emergency card replacements.  

So, which one? Visa, Mastercard, or American Express Card?

You can make your choice depending on the way you intend to use the credit card on a daily basis. If you prefer enjoying good payment transaction services, you can choose either Visa or Mastercard credit card. Any bank in Singapore can sign you up for its exclusive deals. Still, for premium experiences, you can opt for AMEX cards that come with great benefits.