Credit Card Feature: Purchase Protection

How you can benefit from purchase protection on your credit card. Enjoy peace of mind when making your purchases but be aware of any limitations and find out by checking the fine print.

The vast majority of gold and platinum credit cards offer purchase protection as a complimentary perk. You may also be able to purchase this feature on standard credit cards.

Purchase protection is one of those features, along with free travel insurance and extended warranties, that has come about as a result of the competition between credit card companies for your custom. In Australia especially, this is a key factor because Australia remains one of the few developed countries left in the world whose credit card industry has not reached saturation point.

Purchase Protection fine print:

Although the terms and conditions of purchase protection will differ from one credit card provider to another, it usually offers cover against theft, loss, or accidental damage that occurs within 90 days of the purchase date. The purchase protection may provide a replacement or a refund of the purchase price. There may also be eligibility criteria that apply, such as a minimum price paid for the item, so it is always a good idea to check the fine print to see exactly what protection is afforded. There may also be a limit on how much the insurance will pay out. Some credit cards even offer refund protection, meaning that the purchase price will be refunded by the card provider should a merchant refuse a refund on an eligible item.

Because many people do not particularly bother to read the fine print of their credit card contracts, nor even the smaller print easily viewable on the web page, it may not even be apparent to them that their card offers purchase protection. Again, if such a feature is important to you, and you can envisage a situation where you would make use of it, then you are advised to check out exactly what is and is not covered. If in any doubt about this, then call the credit card provider and quiz a representative directly. Do make sure you ask to be referred to the specific page in the terms and conditions so you can verify what you are being told. It would not be unheard of for a credit card advisor to offer advice that they are not 100% sure about rather than admit they don’t know.

Whilst purchase protection is not perfect and does not offer total protection in every situation, remember that it is only a perk and not the reason for having a credit card.

Check out today's featured offers:

Westpac Low Rate	Citibank Clear Platinum	Qantas AMEX Discovery	ANZ Platinum
0% p.a. for 6 months on purchases & balance transfers	2.9% p.a. for 12 months on balance transfers	$0 annual fee Up to 10,000 Bonus QFF Points	0% p.a. for 6 months on purchases & balance transfers

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Popular Credit Card Offers

			Interest Rate (p.a.)	Balance Transfer Rate (p.a.)	Annual fee	Cash Advance Rate (p.a.)
	Westpac Low Rate Card - 0% Offer	A credit card with a low rate offer on both balance transfers and purchases, plus a low annual fee.	0% for 6 months (reverts to 13.49% )	0% for 6 months	$45	21.49%
	Citibank Clear Platinum Card	Competitive interest rate on purchases and balance transfers offer.	11.99%	2.9% for 12 months	$99	21.74%
	St George Vertigo	Take advantage of this great offer from St.George with a low rate on purchases and a low balance transfer offer.	13.24%	0.99% for 12 months	$55	21.49%
	ANZ Platinum Credit Card	An introductory interest rate offer on balance transfers and purchases, plus a $0 first year annual fee.	0% for 6 months (reverts to 19.24% )	0% for 6 months	$0 annual fee for the first year( $87 thereafter)	20.99%