Rewards Updates: UOB taps rising Johor spend with cross-border rewards redemption scheme for Singapore cardholders

Source:

https://www.businesstimes.com.sg/international/asean/uob-taps-rising-johor-spend-cross-border-rewards-redemption-scheme-singapore-cardholders

ChatGPT:

UOB has launched a new cross-border rewards redemption scheme for its Singapore-issued credit card customers in Johor, marking the first such initiative by a local bank. From Sept 29, cardholders can redeem UNI$ reward points directly at over 150 participating outlets in Johor, including Subway, Jean Yip, and MOG Eyewear. The redemption rate is set at UNI$500 for S$5 in bill offsets, or the equivalent in Malaysian ringgit.

Jacquelyn Tan, UOB’s head of group personal financial services, said the initiative is part of the bank’s broader ambition to enhance cross-border engagement for customers, starting with rewards redemption. More merchants are expected to join, with eventual expansion to other UOB markets across ASEAN, including Thailand, Indonesia, and Vietnam. The launch took place at Aeon Mall Tebrau City in Johor Bahru.

The move comes amid rising spending by Singapore customers in Malaysia. Credit card billings grew 40% annually between 2022 and 2024, with a further 20% year-on-year increase in H1 2025. Johor spending consistently accounted for nearly half of all UOB credit card spend in Malaysia. Transaction volumes more than tripled over the period, even as average receipt sizes dipped slightly, suggesting more frequent cross-border trips by Singaporeans.

Dining has been the top spend category for Singapore cardholders in Johor, making up 15% of total billings in recent years, followed by supermarkets (10%) and apparel (9%).

Tan emphasized that UOB values frequent customer engagement over transaction size, as more activity generates richer data to personalize offers. The cross-border rewards programme aims to tap into these spending patterns while deepening loyalty among Singapore cardholders.

Opinion:

Not convinced it’s worth redeeming UNI$500 across the Causeway. 

Will wait and see what the influencers say, but my gut tells me it’s probably not a great deal.