Cash or card in Dubai: Which is the best way to pay?

If Dubai is your next travel destination, you’re probably in the process of packing and working out your travel budget. No matter how much you plan on spending there, it’s important to know the financial habits of Dubai locals compared to the UK.

People mostly use cashless payment methods in Dubai, but cash is not out of the picture just yet. Less than 20% of payments are cash payments, but it’s still important to carry some, especially for tipping. We’ll cover this and go into more detail to help answer the question - which is more convenient, cash or card in Dubai?

We’ll also show you a cost-effective option for handling your spending in Dubai. For any international purchases, online or in person, you can rely on the Wise card. You can even withdraw cash like a local for low fees and great mid-market exchange rates.

How cash-centric is Dubai?¹

Dubai is actually quite the opposite of cash-centric. Credit cards are the primary payment method here and in all of the UAE. Cash, on the other hand, only accounts for around 18% of all purchases at points of sale.

Besides credit cards, other popular payment methods include debit cards and different types of digital wallets. Dubai residents have access to the world’s top mobile wallets, such as Alipay, WeChat Pay, Apple Pay and Google Pay.

Cash etiquette in Dubai²

Tipping isn’t compulsory in Dubai, but it is customary and greatly appreciated. If you decide to leave a tip, know that cash tips are preferred.

Some restaurants and cafes in Dubai already have a service charge included in the bill and it’s usually 10% to 15%. In that case, you don’t need to leave an additional tip, but many people still do it.

Want to work out exactly how much you should tip in dirhams? Use our exchange rate currency converter.

Cash or card in Dubai - the comparison

We’ve listed some situations where you’ll be paying for things in Dubai. Here’s whether you’ll be able to pay by card, in cash or both:

Paying for…	Card	Cash
Taxis³	Yes	Yes
Public transport	Yes	No⁴
Convenience stores	Yes	Yes
Restaurants	Yes	Yes
Desert safari tour	Yes⁵	No

Using your card in Dubai at an ATM⁶

ATMs in Dubai can be found everywhere, from shopping malls, metro stations, hotels to, of course, banks. Many UK banks have branches in Dubai, such as Barclays and HSBC, so if you have an account there, you should use their ATMs and avoid some extra fees.

If your credit or debit card belongs to one of the popular networks, you’ll be able to use it at any ATM in Dubai.

Will my UK debit card work in Dubai?⁷

Your UK debit card will most likely work in Dubai. However, extra fees for foreign transactions will probably apply.

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Can I use my UK credit card in Dubai?⁸

Yes, you can use your UK card in Dubai. Make sure that the card you bring is either a Visa or a Mastercard, since these are the most common networks.

Reasons to use cash in Dubai

Even though cashless payments make up the majority in Dubai, you should still have some paper money on you. Cards can’t be a good substitute for cash in every situation.

For instance, haggling is very common in the Middle East and you can only do it with cash. You’ll also use it for tips, so take that into consideration.

Reasons to use credit or debit cards in Dubai

When in Rome, do as the Romans do. People in Dubai prefer cashless payments in almost all aspects of life. There probably won’t be a place where you can’t use a card for paying and cards from major networks are recognized everywhere.

Also, it’s more convenient to carry one card than loads of cash.

Are contactless card payments common in Dubai?⁹

They are very common. In fact, out of all card payments in Dubai, more than 80% are contactless. Dubai residents also use digital wallets, both international and domestic, so tap-to-pay is the norm there.

Your Wise card can also be used for contactless payments in Dubai. If you don’t want to carry cards with you, you can get the Wise virtual card with the same features.

Other payment methods in Dubai

Besides traditional credit and debit cards, other payment methods are also available in Dubai.

Nol card¹⁰

The Nol card is used for paying for public transportation in Dubai. However, it can also be used when paying for different services.

You can use your Nol card to pay for taxis, enter the Etihad Museum and shop in 2,000+ stores all around the city. It’s much more than a public transport card and Dubai locals use it for everything from buying food to paying for parking.

Mobile wallets¹¹

Digital wallets are very popular in Dubai. They are a much safer and more convenient option compared to carrying around multiple physical cards.

People in Dubai use world-famous digital wallets for paying, but also some local ones. For example, PayIt is the first mobile wallet coming from the UAE. It’s used by over 1 million people and powered by First Abu Dhabi Bank. It even allows you to withdraw cash at ATMs and participate in cashback promotions.

For an additional layer of security, you could add your Wise virtual card to your wallet. It has all the benefits of a regular Wise card, but it exists in your phone only. You can freeze your Wise virtual card after every transaction, so top-notch security is guaranteed.

Buy now pay later options (BNPL)¹²

When making larger purchases, it can come in handy to split them up into instalments. Dubai residents use many buy now pay later services, but Tabby is one of the most popular ones.

Tabby is a buy now pay later (BNPL) service available in the UAE. It allows you to pay for purchases with 4 interest-free payments. It can be used with over 4,000 different brands, including IKEA, Nike, Amazon and many more.

What is the best way to pay in Dubai: cash or card?

Many predictions say that Dubai is on its way to become a completely cashless society in the near future. Cards and digital payments already make up the majority, while cash use is declining.

However, until that happens, it’s good to have at least some cash on you. Your phone can die and payment systems can malfunction, so it’s best to have a plan B. Also, tips and haggling require some paper cash.

Spend like a local in Dubai with the Wise card

Want to spend like a local in Dubai without worrying about exchange rates and hidden fees? The Wise card, from the money services provider Wise, might be just the thing you’re looking for.

The Wise card can be used for any international payment, from your accommodation costs to daily expenses. It automatically converts your pounds at the mid-market exchange rate with only a small, transparent currency conversion fee.

You can also use it to easily withdraw cash from the ATMs in Dubai. You can make 2 withdrawals of up to 200 GBP each month for free per account. After that, there is a charge of 0.5 GBP per withdrawal. There’s also a 1.75% fee on any amount you withdraw above 200 GBP.

Spend like a local with Wise 💳

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Cash or card in Dubai - FAQs

Here are some of the most frequent questions about using cash or cards in Dubai:

How much cash should I take to Dubai?

That largely depends on your spending habits and travel style. However, Dubai is rather cashless so you don’t need to bring too much.

Should you exchange money before going to Dubai?

There’s no need for that, you’ll find plenty of money exchange places once you get there. You could also rely on your Wise card and have it automatically convert the currency for you.

Do you need cash for a taxi in Dubai?

You can pay by card in Dubai taxis. You might need cash in case you want to leave your driver a tip.

Do I tip in Dubai?

Tipping is appreciated, but it’s not mandatory. If you decide to treat your service providers, know that leaving from 10% to 15% of the bill is the norm.

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Sources used:

1. The National News - Cash no longer king as UAE consumers switch to digital payments
2. MISTI - UAE Money Matters
3. Dubai Taxi - Your everyday Dubai taxi transportation
4. Introducing Dubai - NOL card
5. Desert Safari Dubai - Terms and conditions
6. Medium - Tips for using ATMs in Dubai
7. Exiap - 5 best travel cards for Dubai
8. Finder - Using a credit card in UAE
9. UAE Banks Federation - News
10. Roads and Transport Authority - About Nol cards
11. Economy Middle East - Top e-wallets in UAE
12. TimeOut - 5 buy now, pay later services to make the most of in Dubai in 2024

Sources last checked on date: 31-May-2024