SINGAPORE: A new United Overseas Bank (UOB) account was launched on Tuesday (Apr 18) that allows customers to earn KrisFlyer miles when they save or spend.
The KrisFlyer UOB Account, which will be available from Wednesday, allows customers who prefer to spend on a debit card or who are in the early stages of their careers and may not be eligible for a credit card to accumulate KrisFlyer miles, the bank and KrisFlyer said in a joint press release.
The rate of miles accrual depends on the account balance of customers. For instance, customers with between S$3,000 and S$100,000 in their accounts earn 1.4 miles for each dollar spent using their Krisflyer UOB debit cards, while at the other end of the spectrum, those with at least S$350,000 in their accounts earn 5.4 miles for every dollar spent.
Customers need to spend a minimum of S$500 dollars per calendar month to earn miles on their spending, both parties added.
According to UOB, travel accounted for 22 per cent of all spending made through UOB credit and debit cards in 2016, with 37 per cent spent on flights. More than half - specifically, 60 per cent - of the spending on flights were on flights under the Singapore Airlines group, it said.
The bank aims to open at least 200,000 KrisFlyer UOB accounts over the next five years, it said.