What Is The Difference Between Platinum Credit Cards and Classic Credit Cards?

Information verified correct on October 21st, 2016

A platinum credit card is to a what an S-Class Mercedes is to a Ford Focus. Both will get you from A to B, but you’re bound to notice the difference in comfort with the S-Class, and other people will also sit up and take notice of the luxury marque.

Citi Clear Platinum Card

Platinum Credit Card

The Citibank Clear Platinum Card offers a low interest & balance transfer rate plus instant rewards & benefits right from day one. This card will truly give you a more rewarding lifestyle and platinum rewards.

  • $99 p.a. annual fee
  • 0% p.a. for 9 months (reverts to 14.99% p.a.) on purchases
  • 0% p.a. for 9 months on balance transfers
  • Cash Advance Rate of 21.74% p.a.
  • Up to 55 days interest free
  • Minimum Income Requirement of $35,000 p.a.

The main differences that set a platinum credit card above a classic card are:

  • Increased borrowing power with higher or unlimited credit limits.
  • Higher income to be eligible.
  • Often higher interest rates.
  • Greater benefits such as extended warranties and insurances.
  • Better rewards schemes.
  • Increased purchases protection.

The real difference between a platinum credit card and a classic credit card will only be noticed if the platinum credit card is being put to its full use. If it is only ever used for the occasional high street purchase (excluding a new BMW from the local showroom), and it is sitting in a wallet or purse solely because the owner has an income that has made them eligible to carry one, then, practically, the platinum credit card will be the worse card to have because it will be costing a much higher annual fee for no more purpose.

For a platinum credit card to be worth its annual fee, the owner of the card should live the kind of lifestyle that demands the benefits offered by such a card. They will need to be spending more, or at least potentially need that higher credit limit, and maybe travelling more.

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Benefits of the platinum credit cards

    • Higher credit limits - The main benefit of owning a platinum credit card is that you will be eligible for a much higher credit limit. Most platinum credit cards do not even specify an upper credit limit.
    • Complimentary travel insurance covers - Provided you use your platinum credit card to pay for foreign travel, that journey will be covered by complimentary travel insurance. You will also be covered up to a certain level for medical expenses whilst abroad, for the loss or theft of your possessions, and for any travel delays that cause you to be out of pocket, for example because you miss a flight.
    • Purchase protection insurance - A Platinum credit card will also include purchase protection insurance. This covers you against any purchased goods being lost, damaged or stolen, and can extend for up to three months from the date the purchase was made. It will also allow for the return of faulty or unwanted good in that time. Many shops only allow you to return goods within either seven or fourteen days.
    • Extended warranties - Another advantage of a platinum credit card can be the inclusion of an extended warranty above and beyond that provided by the manufacturer. If you enjoy the peace of mind of extended warranties, then this will save you having to fork out for one yourself.
    • Platinum concierge services - Platinum credit card owners should also enjoy the benefits of a Concierge service, as provided by either Visa or MasterCard. This service allows the customer to find pretty much anything they want at any time of the day or night.Platinum credit cards benefit from the same interest-free days as standard cards, and the same offers on balance transfers. Equally, they will boast some attractive reward schemes.

Learn more about platinum credit cards

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Credit Cards Comparison

Rates last updated October 21st, 2016
Purchase rate (p.a.) Balance transfer rate (p.a.) Annual fee
Virgin Australia Velocity Flyer Card - Balance Transfer Offer
Enjoy a 0% p.a. balance transfer offer for 18 months and also earn 2 bonus Velocity Points in the first 3 months on everyday spend.
20.74% p.a. 0% p.a. for 18 months $64 p.a. annual fee for the first year ($129 p.a. thereafter) Go to site More info
ME Bank frank Credit Card
Enjoy a low and consistent interest rate on purchases and cash advances, combined with no annual fee.
11.99% p.a. $0 p.a. Go to site More info
HSBC Platinum Credit Card
Receive a full annual fee refund and save $149 if you meet the $6,000 spend requirement. Enjoy a balance transfer offer and platinum card benefits such as complimentary insurances and concierge services.
19.99% p.a. 0% p.a. for 15 months $149 p.a. Go to site More info
NAB Low Rate Credit Card
The NAB Low Rate Card offers 0% p.a. on purchases and balance transfers for 15 months. This card also comes with a low annual fee.
0% p.a. for 15 months (reverts to 13.99% p.a.) 0% p.a. for 15 months with a one off 3% balance transfer fee $59 p.a. Go to site More info

* The credit card offers compared on this page are chosen from a range of credit cards CreditCardFinder.com.au has access to track details from and is not representative of all the products available in the market. Products are displayed in no particular order or ranking. The use of terms 'Best' and 'Top' are not product ratings and are subject to our disclaimer. You should consider seeking independent financial advice and consider your own personal financial circumstances when comparing cards.

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