Banks told to stop playing Gen Z card

Complicated reward schemes and spending conditions can erode card benefits.

Banks should design credit cards that adjust to customers' changing spending habits rather than target younger generations with promotional offers that may lose their appeal as users age, according to financial comparison platform SingSaver Pte. Ltd.

“You should have a card which is in some shape and form more modular and adjusts to personal spending,” Ayush Goyal, managing director at SingSaver, told Asian Banking & Finance.

Goyal described credit cards marketed specifically to Generation Z as a marketing gimmick rather than a distinct product category.

He said banks should offer cards that remain useful throughout customers' lives, with rewards that adjust automatically as their spending habits change.

Complicated reward schemes, spending requirements, and hidden fees can undermine the value of attractive cashback rates, he said.

“Some of the banks have cards which have a very nice headline rate, but as you go into it, you realize that there are lots of caps and efforts that you need to track on a day-to-day basis,” Goyal said via Zoom.

Customers often struggle to keep track of minimum spending requirements, eligible purchases, reward limits, and expiry dates, regardless of age.

Goyal said banks should calculate rewards automatically when customers make purchases rather than require them to monitor which transactions qualify for higher rates.

Cardholders should also be able to access benefits suited to their changing needs without applying for another card or opening another account, he said.

Singapore's ageing population makes simpler credit card products increasingly important.

Residents aged over 65 accounted for 19.5% of Singapore's 6.21 million population in June 2026, according to the Department of Statistics.

Banks should consider customers’ ability to repay and make card benefits easy to understand as their financial needs change, Goyal said.