The best value credit cards* offer leading features to help you save money and manage your spending more effectively.
The type of credit card that will suit you depends largely on your spending patterns and your annual income. What might be the perfect credit card choice for you may not necessarily meet the requirements of another person. A card with a higher credit limit and low interest on purchases can suit you better if you shop often while a card with frequent flyer rewards and travel insurance would be more suited for a regular traveller. If you service your credit card payments each month, a credit card with a shorter repayment period and lower interest charges would be more suited for you.
A good credit card will allow you to earn high reward points that you can redeem for additional air miles, cash back at stores or even discounts from retailers. The more competitive credit cards also save you money by charging low annual fees and excluding currency conversion charges when you shop online.
Comparing Credit Cards
Rates last updated October 22nd, 2016.
- ANZ Low Rate
A new offer of $100 Back and 0% p.a. for the first 6 months on purchases.
October 12th, 2016
- ANZ Low Rate Platinum Credit Card
A new offer of $250 Back and 0% p.a. for the first 6 months on purchases.
October 12th, 2016
- Westpac Low Rate Card
Promotional BT period has been changed from 18 to 16 months and is valid until 30 January 2017.
October 12th, 2016
Know your credit card types and value they can offer
When deciding which credit card will have the most value for you, there a few variations to consider:
- Balance transfer offer credit cards - With these types of credit cards, you will be able to transfer your current credit card balances to your new card and pay them off at a lower interest rate. These transfers can be made during specific periods when interest rates on balance repayments can be reduced to as low as 0% p.a. Some credit cards even allow you to take advantage of an extended balance transfer offer period, helping you save more on interest charges on your credit card payments.
- Platinum credit cards - These offer you a higher credit limit than other standard cards while they also give you additional perks such as improved fraud protection, purchase protection and superior travel and emergency insurance. With a platinum credit card, you can also benefit from extended warranties on certain purchases and premium services through concierge services.
- 0% p.a. purchase rate credit cards - These credit cards have an introductory period within which you pay no interest on purchases. Most lenders allow new cardholders to use their new credit cards for a period of one year before the standard interest rate on the card starts to apply on purchases.
- Rewards credit cards - These cards are designed to reward spending by allowing clients to accumulate reward points when they make purchases. These points can then be redeemed for a variety of rewards or used to offset annual credit card fees. If you are a frequent shopper or traveler, such a credit card may suit you. Before choosing a specific rewards credit card, inquire about the details of its rewards program and the transactions that are eligible for reward points while using the card.
- Introductory offer credit cards - With these cards, you are offered an incentive of not paying interest on any purchases for a specified introductory period after you get the card. The introductory offer period can run for up to 12 months depending on the type of credit card you get.
- Frequent flyer credit card - If you are a frequent jetsetter, you could benefit more from this type of credit card because it allows you to accumulate reward points that you could redeem for discounted flights, flight upgrades, and additional flight miles. Some airlines even offer you extra travel perks such as access to priority flight booking.
- No annual fee credit cards - These cards offer you all the basic features of a credit card without attracting any annual fee.
How to compare credit cards
Credit card companies now offer you a wide range of credit card choices in Australia, all with different features and terms and conditions. In order to choose the right one, you need basic knowledge on how to compare different credit cards. Here are the standard features present in all credit cards that you can look at while comparing different cards:
- Annual fees - If you are planning on owning a credit card that you use only for emergencies and not for regular spending, choose one that has low or no annual fees. Most such cards will only offer you basic credit card features, but the low annual fees will make them ideal if they are used only a few times a year. If you are a regular spender, you might be better off with a card with affordable annual fees and a rewards program that allows you to accumulate bonus points that can offset the annual charges on the card.
- Interest rates - Different credit cards have different applicable standard rates on purchases. If you are going for a premium card such as a gold or platinum card, you will be charged higher interest because of the prestigious nature of the card. Your financial situation should be your major consideration when picking out a credit card, because you want to get one that you can comfortably afford to service with your income. Interest charges on a credit card can accumulate quickly, so be sure to read the fine print on your credit card application to determine how much interest you will pay. Some credit cards will offer you an introductory period offer with lowered or waived interest charges on certain transactions to encourage you to use your card more. Some cards will also offer you an interest-free period on holidays or other special occasions.
- Foreign exchange rates - The outstanding credit card companies are sensitive to their clients’ online shopping needs. Shopping from online retailers who are located overseas can be a headache because of the currency conversion fees charged on such transactions. Certain credit cards won’t charge you such fees or will offer a favourable exchange rate for frequent online shoppers. While comparing credit cards to use for internet shopping, consider the security features the card will have to protect your credit card details while you are online.
- Protection policies - Go for a credit card that will offer you superior fraud protection, especially on online purchases. You should also ensure that your card offers features such as purchase protection for damaged or stolen goods and improved warranties on costly items.
Things to consider
- Never ignore your personal needs - When applying for a credit card, your financial situation should always be the first consideration. Upgrading to a more prestigious card may mean more annual and interest charges that may increase your monthly payments and lead you further into debt. Choose a credit card that you are comfortable with and that suits your spending behaviour and income.
- Never ignore the conditions on the card - The first thing you should do when signing up for a credit card is to look at the terms and conditions. This will allow you to note the repayment period and introductory period on the card and figure out the standard interest rate that your card will revert to after the promotional period is over.
- Never ignore the repayment period - Some cards may offer you a longer repayment period with a higher interest rate, or a short period with lowered interest charges. Be sure to factor in your payment preferences and how often you are able to pay your outstanding balance so that you can choose a card that suits your finances and repayment capabilities.
Eligibility and how to apply for a credit card
Owning a credit card that meets your needs can be hugely convenient, so it’s important to compare the features on different cards before settling on one that’s best for you. Our guide offers a wide selection of credit cards you can choose from. Once you find one that fits your personal needs, click ‘Go to site’ to sign up for it.
Here are the eligibility requirements you will have to satisfy when applying for most standard credit cards:
- You must be over the age of 18
- You must have a good credit rating
- You must be an Australian resident
The following documents are also required when filling out your credit card application:
- Your employer’s address
- Your Australian driver’s license
- Details of your annual income and any other liabilities you currently have
When it comes to credit cards, your income level and spending preferences are what will determine which card suits you. Comparing benefits and features on different cards will enable you to choose the card that works best for your needs. Check out the different cards in our guide and apply for the credit card for you today.Back to top
Frequently Asked Questions
What resources will I need to compare?
There are a number of resources available to you when comparing your credit card options. The finder.com.au review and product pages will provide you with object and comprehensive comparisons of a variety of credit cards available throughout Australia. You will also need to read over the Product Disclosure Statement and Terms and Conditions provided on bank provider website. If you have any specific questions that aren’t answered by any of these documents, you can send your question to finder.com.au or contact the bank provider’s customer service team.
How do I know which credit card is the best value?
The best value credit card will depend on your specific needs. Always keep your financial position and what you want out of the credit card in mind when making a comparison.
How do I know if I'm eligible for the best value credit card*?
Every credit card comes with eligibility criteria that you need to fulfill if you wish to apply. Most credit cards will list their eligibility requirements on their website, so make sure to read through those before you commit to a card.