Cash or card in South Korea: Which is the best way to pay? UK guide

Planning a trip to South Korea? As you work on your travel budget, it’s helpful to understand how locals prefer to pay.

Cards are the most commonly used payment method in South Korea, but digital options like mobile wallets are growing rapidly as the country is steadily becoming more cashless. While cash is still used, it's becoming less common and digital payments are taking over entirely in some areas. We’ll cover this and go into more detail to help answer the question - which is more convenient, cash or card in South Korea?

We’ll also show you a cost-effective way to handle your finances in South Korea with Wise. For all 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 at the great mid-market exchange rate.

How cash-centric is South Korea?

South Koreans prefer cashless payment methods, especially credit cards, which are used in nearly 60% of transactions. Together with debit cards, they account for around 70% of all payments.¹

Mobile wallets are gaining popularity and are expected to become the dominant payment method in the coming years. This is partly due to the growing popularity of local apps like Kakao Pay. Cash is currently used in only about 10% of transactions, and this figure is expected to decrease even further.¹

Cash etiquette in South Korea

Many UK tourists are surprised to learn that tipping can be considered rude in South Korea. This stems from the belief that good service is a basic expectation, rather than something that should be rewarded. Additionally, service providers in South Korea don’t rely on tips to make up for their wages.²

However, due to foreign influence, tipping has become acceptable in certain situations. You can tip staff at upscale hotels and restaurants, as well as your tour guides.²

It’s also important to tip discreetly, ideally by placing the money in an envelope. You can either leave the envelope for the recipient to find or give it to them with both hands.²

Cash or card in South Korea - the comparison

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

Paying for…	Card 💳	Cash 👛
🚕 Taxis3	Usually, yes	Yes
🏪 Convenience stores4	Usually, yes	Yes
🚌 Public transport	Only transit cards5	Depends on the transport6
🥟 Street food vendors	Sometimes7	Yes
☕ Cafes and bars8	Usually, yes	Yes
🍽️ Restaurants8	Usually, yes	Yes

Want to work out exactly how much things cost? Explore our live South Korean won exchange rate currency converter.

Using your card in South Korea at an ATM

There are two types of machines in South Korea: ATMs and cash dispenser machines (CDs). CDs don’t accept deposits, but they allow you to withdraw money. They’re often more convenient for tourists, as they typically have English-language options.⁹

Korean ATM limits vary, but they’re usually between 300,000 and 700,000 KRW per day.⁹

💡 Tip: Always choose to withdraw from the local currency at an ATM to avoid additional fees.

Will my UK debit card work in South Korea?

Yes, you can use your UK-issued card in South Korea. However, it's a good idea to check for your card’s logo at the checkout or ask if they’re accepted, just to be sure.¹⁰

Can I use my UK credit card in South Korea?

Just like with debit cards, you can use your UK credit card in South Korea. Visa and Mastercard are commonly accepted, but be sure to check if your card's logo is displayed at the checkout.

Reasons to use cash in South Korea

Although cash is becoming less common in South Korea, it is still essential or preferred in certain situations. For example, the only way to top up your transit card is with cash, so having some Korean wons on hand is important.

Cash is also needed for smaller purchases or when shopping at street vendors. While some traditional markets such as Gwangjang or Namdaemun markets in Seoul may accept cards, cash could still be the only option depending on the area you’re in.

Reasons to use credit or debit cards in South Korea

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Besides being safer and more convenient, cashless payments have become the norm in South Korea. Cards like Visa and Mastercard are widely accepted, along with several popular digital wallets.

While it’s a good idea to keep a small amount of cash on hand for certain situations, cards are generally the better primary payment method. You’ll be able to use them almost everywhere, and you won’t have to worry about being left with leftover foreign currency.

Are contactless card payments common in South Korea?

Contactless card payments and digital methods are very popular in South Korea. You can make purchases of up to 50,000 KRW without needing to insert your card or sign for the payment.¹¹

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

Get your Wise virtual card 💳

Other payment methods in South Korea

Besides the traditional cards and cash, other payment methods are available in South Korea.

T-Money Card

The T-Money card is a prepaid transit card that can be used on buses, subways, taxis and even at many convenience stores across South Korea. It offers discounts on bus and subway fares, including transfer discounts between the two. You can also use it for shopping at traditional markets in Seoul, such as Sinwon and Gildong.⁵

The card costs 3,000 KRW and can be purchased at subway stations, convenience stores or tourist centers. You can load it with any amount you choose. It's a popular payment method and a convenient way to go cashless in South Korea.⁵

For visitors who plan to use public transit frequently, the T-Money Mpass may be a better option. It provides up to 20 rides a day on buses and subways and can also be used for taxis and other purchases. The Mpass is valid for one month from the date of purchase and expires at midnight on the last day.⁵

Keep in mind that you’ll need cash to top up your T-Money card, as it can’t be recharged with a credit or debit card.¹²

Mobile payment

Local digital wallets are particularly popular in South Korea, especially Kakao Pay and Naver Pay.

Kakao Pay is more than an e-wallet. It allows users to pay their bills and send money to their contacts, since it’s integrated with the Kakao Talk messaging app. Almost 70% of the Korean population has this app installed.⁴

Naver Pay offers similar features. In addition to shopping, sending money, and QR payments, it also provides cashback options.

While globally popular wallets like Apple Pay and Samsung Pay are available in South Korea, Apple Pay is rarely accepted due to the country’s different payment technology.¹³ Be sure to check with the vendor beforehand to see if this option is available.

For additional 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, too.

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

If you're still unsure whether to use cash or card in South Korea, a card may be the better option. The use of cash is gradually declining and cashless methods such as cards and mobile wallets are becoming increasingly popular and widely accepted.

However, there are still situations where you will need cash, so it's important not to overlook it entirely. For instance, you'll need cash to top up your transit card as this cannot be done with a card.

Spend like a local in South Korea with Wise

Locals in South Korea are using cash less and less, and this trend is expected to continue. Meanwhile, card and digital payments are becoming more popular. However, both payment methods are still used in different situations.

If you want to spend like a local in 150+ countries, including South Korea, without worrying about exchange rates and hidden fees, the Wise card might be just the thing you’re looking for.

The Wise card can be used for all international payments, including accommodation costs and daily expenses. It automatically converts the currency at the mid-market exchange rate with only a small, transparent currency conversion fee*.

Learn more about the Wise card 💳

You can also use it to easily withdraw cash from the ATMs in South Korea. Each month, you can make 2 withdrawals of up to 200 GBP for free. 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.

Cash or card in South Korea - FAQs

To summarise, here are some of the most frequent questions about using cash or cards in South Korea.

Do most places in South Korea accept cash?

Yes, cash is still accepted in South Korea.

Can tourists in South Korea use Kakao Pay?

Yes, Kakao Pay allows tourists to use their mobile payment services at Kakao Pay affiliated stores across the country.¹⁴

Are there cardless ATMs in Korea?

Yes, many banks in South Korea have ATMs that can be used by scanning a QR code with your phone.¹⁵

Can I use my UK debit card in Seoul?

Yes, your UK debit card should work in Seoul.

What is the most popular payment method in South Korea?

Cards, especially credit cards, are the most popular payment method in South Korea.

Do taxis in Seoul take cash?

Yes, most taxis in Seoul accept cash.

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Sources used:

1. Statista - POS payment methods in South Korea
2. Crown Currency - tipping in South Korea
3. Seoul Metropolitan Government - taxis in Seoul
4. Komoju - South Korea payment methods
5. Visit Seoul - transportation
6. Seoul Metropolitan Government - modes of transport
7. Korea.net - Myeong-dong vendors accepting cards
8. Go Go Hanguk - ways to go cashless in Korea
9. Frommer’s - money in South Korea
10. Finder - travel money in South Korea
11. In My Korea - how to pay in Korea
12. T-Money - foreigner guide
13. Korea Herald - Apple Pay in South Korea
14. Korea Times - Kakao Pay for foreigners
15. Pulse - cardless ATMs

Sources last checked on date: 24-Jan-2025