Summary of Using U.S. Credit Cards in China (WeChat, Alipay, Meituan, etc.)

About Payments in China

Cash payments are now rarely seen in mainland China, and some merchants may even be unable to make change. So here is a quick primer on common payment methods in China to make things easier when you go back. If you want the smoothest experience in China, I still recommend setting up Alipay or WeChat and linking a mainland Chinese bank card for payments. That said, both platforms now accept U.S. credit cards much better than before, so we will introduce that below.

Offline Payments

The most popular and common offline payment method in mainland China today is QR code payment. From supermarkets and jewelry stores to vending machines and grocery shopping, you can pay by scanning a code almost everywhere.

There are two types of QR code payments. In the first, the merchant posts a QR code in the store. When paying, you scan it with Alipay or WeChat, enter the amount, and complete the payment. Small merchants use this method more often because it is very convenient and requires no equipment; they only need to print out a QR code for customers. Usually the merchant will have an external speaker that automatically announces the payment amount after you pay.

The other type is where you show your WeChat or Alipay payment code, and the merchant scans it. The merchant has dedicated equipment connected to the cash register. After the scan is complete, you confirm the amount on your phone and the payment is done. This is generally used by somewhat larger and more formal merchants.

Of course, larger merchants may also accept credit cards, but they are not very friendly to foreign credit cards. They are more likely to work at large merchants in big cities, and even then the staff may not know how to process them. So I still recommend using QR code payments.

Online Payments

There are also two types of online payments. For example, Meituan, JD, and DiDi usually redirect you to Alipay or WeChat to complete the payment.

On a computer, web pages for shopping or various video memberships can usually also generate a QR code, which you can scan to complete the payment. For example, the image below shows the top-up page on Bilibili’s website.

Using U.S. Credit Cards

In fact, WeChat, Alipay, and Meituan have long allowed U.S. credit cards to be linked for payments. We have written similar articles before:

• WeChat Pay + U.S. Credit Cards: Full Guide + Risk Control System Introduction
• Summary of Merchants and Spending Limits for WeChat Pay + Foreign Credit Cards
• Alipay + U.S. Credit Cards + Risk Control System Introduction

However, in the past, most payments were with large online merchants through app redirects, such as Meituan, DiDi, JD, and so on. The limits and risk controls were also quite strict, and the cards would fail from time to time. Offline, especially at small merchants, they basically could not be used. Specifically, after scanning a code, the added card would not appear as an available payment method.

On June 28, Tencent Financial Technology Vice President Chen Qiru said at the Summer Davos Forum that starting in July this year, Tencent would gradually open the WeChat Pay merchant network to international credit and debit card networks such as Visa, making it easier for overseas users in mainland China to link their commonly used credit and debit cards to WeChat Pay. In fact, we noticed that since the beginning of this year, U.S. credit cards added to Alipay have been usable for QR code payments. Online QR code payments, offline QR code payments, and app redirects all work.

Mastercard has also posted the process and promotion for adding a card to Alipay on its official website:

• Official introduction

Alipay

Currently, Alipay’s rule is that for the vast majority of merchants, payments under 200 yuan are fee-free, while payments over 200 yuan incur a 3% fee. Also, the fee is not charged only on the portion above 200 yuan; it is charged on the entire payment amount. Basically, almost all offline stores that support QR code payments, including street snack stalls, can accept QR code payment with a U.S. credit card.

For online payments, you can actually split the payment into multiple 200 yuan payments so each one avoids the fee. The payment limit is still unknown. Based on a friend’s testing, the daily amount is at least above 1500 yuan.

Mastercard

When paying, you need to enter the CVV, which is the CVV on the back of your credit card. I recommend memorizing the CVV of the card you use most often, so you can also pay by scanning codes when you are out.

Finally, the transaction record appears as follows on a Chase card. It shows as Alipay and does not trigger Chase bonus rewards.

WeChat

WeChat currently still follows the previous model. It has better support for apps available within WeChat Services, such as mobile top-up and DiDi, under Me - Services - Lifestyle Services / Transportation. It can also be used on Qunar. The benefit is that there is no 200 yuan fee-free threshold; as long as it works, there is no fee. There is a certain daily limit. Based on my experience buying plane tickets on Qunar, the daily cap is roughly around 2000 yuan.

For example, DiDi can be paid with a U.S. credit card.

According to information from readers in the comments, after updating WeChat to the latest 8.0.39 version, you can use QR code payment with a U.S. credit card. You can try it out.

The fee rules are the same as Alipay: payments under 200 yuan are fee-free. I tested this by scanning a payment code on a domestic entertainment website, and I assume payment codes at small offline shops should also work.For amounts over 200 yuan, a 3% fee is charged on the full amount.However, it seems that WeChat’s own payment applications still have no fee, such as mobile top-up. In theory, splitting into multiple 200 yuan payments can also avoid fees. Maybe WeChat is trying to encourage this kind of spending.

WeChat has added a new restriction: if your WeChat account has already been real-name verified with a Chinese ID card, you can no longer add international credit cards for payments. Fortunately, international credit cards that have already been added, including US cards, can still be used for payments. If you are in the US, you can try registering a WeChat account with a US phone number and identity information to see whether you can add a US card. Also, WeChat has added a limit for personal payment codes: foreign cards can now be used for payments of up to RMB 1,000 per day, and transactions may be subject to risk controls depending on the situation. Please keep this in mind. Alipay has not yet restricted foreign cards, so I recommend adding a foreign card first. Alipay also has an HK version, so if it really stops working later, you can use the HK version to add a foreign card.

WeChat and Alipay Personal Payments and Collections

According to KUKU, personal collection QR codes generated by WeChat and Alipay can now also be paid by scanning the code with a US credit card, with the same fee-free threshold for amounts under RMB 200. WeChat has added a limit for personal payment/collection codes, which is now RMB 1,000 per day. Details are below:

• Tap the plus sign and select Pay/Receive

• It opens to the payment code, so remember to select QR code collection

• That will generate your collection QR code

• When another person scans the generated collection QR code, they can see that a US credit card can be used for payment, and payments under RMB 200 are fee-free

• The money collected will stay in WeChat, and you can withdraw it to a bank. If you do not factor in exchange-rate losses, it is basically free cash back from your US credit card.
• Alipay can also receive payments in the same way.
• It is still unclear whether repeatedly scanning each other like this will cause problems. WeChat Pay may flag it for risk controls, and frequent charges for the same amount could also be reported as fraud by the US credit card issuer.

Which Cards Are Suitable

Since these payments all go through domestic payment rails, you should definitely use a credit card with no foreign transaction fees. Also, purchases made through Alipay or WeChat are currently basically treated as a flat 1x across the board, so it is even better to choose a card with strong points earning or cash back. The following cards are all pretty suitable:

• No annual fee, 1.5% cash back on all purchases, and up to 2.75% cash back for premium users

• 1x UR, which is highly valuable

If you are interested, you can read our related articles in detail:

• Which US Credit Cards Are Best for Use in China?
• Introduction to Credit Cards Suitable for Spending Outside the US