Compare credit cards with introductory promotions
Sometimes a credit card provider will offer new customers a perk, such as lower rates or cashback, to encourage and reward the customer for joining with them. These are called credit card introductory offers.
These special bonuses are offered on signup to a credit card and can help encourage new borrowers to take out a credit card for the first time or encourage existing cardholders to switch from their current credit card to another.
CUA Low Rate Credit Card
Balance Transfer0% p.a. on balance transfers for 13 months. $0 annual fee for the first year
for 12 months then $49
Find and compare introductory promotion credit cards
Product Name Card
Interest Free Days
Purchase Rate Intro
Balance Transfer Intro
Go to site
for 12 months then $58
Interest Free Days
for 12 months then $49
Interest Free Days
for 6 months then 13.99%
Interest Free Days
for 12 months then $45
Interest Free Days
for 12 months then $199
Interest Free Days
Interest Free Days
Latest credit cards news
Millennials shop around for credit cards as spending patterns change
As spending habits shift due to COVID-19, millennials are shopping around for another credit card, with reward programs topping their wishlists.
What types of credit card introductory offers are available?
Some of the introductory credit card offers available in Australia include:
- Discounted interest rates on sign up.
- Bonus reward points and/or frequent flyer points.
- No annual fees or discounted annual fees.
- Cash back offers – typically a percentage of each purchase or a fixed amount.
- Balance transfer deals – charging low or zero interest on outstanding debt when you switch from one card to another.
Some credit cards may feature just one of these introductory offers, while others will provide a combination of bonuses.
How long will an introductory offer last?
The time frame of introductory promotions for credit cards depends on the credit card provider and the offer itself. They can either be given as an upfront, one-off bonus or last for a set period of months.
How long you may expect an introductory offer to last
|Type of introductory promotion||Length of offering|
|Low interest rates||5 – 15 months|
|Interest-free period||0 – 110 days|
|Annual fee waiver||1 year|
|Bonus rewards points||One time offer - between 7,500 – 200,000 on sign up|
|Qantas frequent flyer points||One time offer - between 7,500 – 150,000 on sign up|
|Cashback||Earn between $200 - $300 on eligible spends for 1 - 3 months|
Source: RateCity.com.au. Note: Data accurate as of 09.07.2020. Estimates are based off of the latest data and may be subject to fluctuation.
To keep enjoying bonus offers on your credit card, you may need to fulfil certain terms and conditions, such as spending a minimum amount on eligible transactions per month or per year.
What you need to know about introductory offers
To a new cardholder, credit card introductory offers can sound too good to be true. While there’s plenty to make you smile, you also need to be smart about the way you approach these deals.
Here are some of the key things you should keep in mind when searching for a new credit card and comparing introductory offers:
- Your introductory period isn’t forever: Keep note of how long an introductory period lasts, especially for low or zero per cent interest offers. If your rates are going to rise, or a credit card bonus offer is going to expire, you’ll want to be prepared.
- Revert rates: Typically, when an introductory low or zero per cent interest period ends, the credit card will revert you on to a much higher interest rate. Before this period is over, it’s important to know what you’ll be charged in interest, especially if you have any outstanding debt.
- Read the fine print: You don’t want to get caught off guard if a credit card offer sounds too good to be true. There may be conditions that need to be met that sound good on paper, but you cannot afford to meet in practice, such as spending a minimum amount within the first 3 months of having the card.
- Look beyond the special offers: Introductory offers are just one factor that’s worth comparing when it comes to credit cards. Some cards might saddle you with high rates and fees along with that generous introductory deal.
- Don’t hang on to a credit card that doesn’t work for you: If an introductory offer ends, and you’re no longer getting enough value out of your credit card, you may want to investigate other options. The card should work for you, not the other way around.
Pros and cons of introductory offers on credit cards
As with any financial product, there are always benefits and risks to taking out that loan, opening that bank account or using that credit card.
When it comes to introductory offers on credit cards, consider the following pros and cons:
- Big bonus point offerings may be exchanged for rewards items, such as furniture or white goods, or even flights, that you otherwise would have had to spend a lot more on to earn the points for.
- Zero per cent interest introductory periods may help card holders struggling with debt get the breathing room they need to pay off their outstanding balances.
- No annual fee, or discounted fee, offerings can help keep the initial costs down on your new credit card.
- There may be conditions that not all customers can meet, such as minimum spends.
- Low or zero per cent interest rate offers can revert to much higher rates.
- Some promotions are one-off only, meaning you can only use or spend them once.
Should I compare credit cards by introductory offers?
While it can be tempting to hop from credit card to credit card based on introductory offers, there are more things to consider when searching for the right credit card for your financial needs.
One of the first things you should think about is what type of credit card spender you are. This will help point you in the direction of the right kind of credit card for you. Are you a habitual spender, an everyday spender, an impulse spender or a big spender? To learn more about your spending profile, please read our comprehensive Credit Card Guide.
Once you’ve narrowed down the right credit card type for you, you’ll want to compare the following key things:
|What to compare||About|
|Purchase rates||The interest rate charged on purchases made with your card. The lower the rate, the lower your repayments and potential debt. However, high rates are often synonymous with more premium credit cards.|
|Cash advance rates||The interest rate charged on money withdrawn from ATMs.|
|Annual fee||Can range from $0 to $1,200. Will contribute to the ongoing cost of your card.|
|Overseas costs||Foreign transaction fees like currency conversion fees and overseas ATM withdrawals.|
|Interest-free periods||How long you have to pay off your card balance before you’re charged interest. The longer the period, the more time to make repayments.|
|Rewards perks||Airport lounge access, concierge services, discounted annual fees, free supplementary cards, affiliated store discounts, VIP seating at events and much more may be on offer. However, these perks typically come with higher rates or annual fees.|
|Card protections||Fraud protection, free domestic and/or international travel insurance, extended warranty, purchase protection insurance, rental car excess insurance and much more may be on offer.|
Today's top credit cards products
Find popular credit cards lenders from a wide range of Australian. View All >
The reason Equifax, Experian and Illion use different scores is because they are independent companies with their own different methodologies. As a result, a score of, say, 700 would mean different things at different credit reporting bureaus.
However, the one thing they have in common is that they divide their scores into five tiers. So if you receive a tier-two credit score from one bureau, you will probably receive a tier-two score from the others, as well.
Yes, as credit card providers look at your annual income amount as well as your occupation. Minimum income requirements tend to be between $30,000 – $40,000 for standard and rewards credit cards, however low income credit cards can have minimum income requirements as low as $15,000 per year.
If you have a bad credit score, you might encounter two main problems. First, the lower your credit score, the more likely you are to be rejected when you apply for a loan or any other credit product. Second, if your application is accepted, the less likely you are to qualify for the lowest interest rates.
There are two reasons you should check your credit rating: so you have a better understanding of your financial position, and so you can take action (if necessary) to improve your credit rating.
Lenders use credit ratings or credit scores to assess loan applications. The higher your score, the more likely you are to get approved, and the more likely you are to be charged lower interest rates and lower fees. Conversely, the lower your credit score, the less likely you are to get approved, and the more likely you are to be charged higher interest rates and higher fees.
Credit cards are a quick and convenient way to pay for items in store, online or over the phone. You can use a credit card as a cashless way to pay for goods or services, both locally and overseas. You can also use a credit card to make a cash advance, which gives you the flexibility to withdraw cash from your credit card account. Because a credit card uses the bank’s funds instead of your own, you will be charged interest on the money you spend – unless you pay off the entire debt within the interest-free period. If you pay the minimum monthly repayment, you will be charged interest. There are many different credit card options on the market, all offering different interest rates and reward options.
A credit card can be a useful financial tool, provided you understand the risks and can meet repayment obligations.
If you’re a credit card first-timer, review your options. Think about what kind of credit card would suit your lifestyle, and compare providers by fees, perks and repayments.
Once you’ve selected a card, it’s time to apply. Credit card applications can generally be completed in store, online or over the phone.
When you apply for a credit card for the first time, you must meet age, residency and income requirements. As proof, you must also provide documentation such as bank account statements.
A balance transfer credit card lets you transfer your debt balance from one credit card to another. A balance transfer credit card generally has a 0 per cent interest rate for a set period of time. When you roll your debt balance over to a new credit card, you’ll be able to take advantage of the interest-free period to pay your credit card debt off faster without accruing additional interest charges. If your application is approved, the provider will pay out your old credit card and transfer your debt balance over to the new card.
For most Australians, there are no great barriers to applying for and getting approved for a credit card. Here are some points that a lender will consider when assessing your credit card application.
Credit score: A bad credit score is not the be all and end all of your application, but it may stop you being approved for a higher credit limit. If your credit score is less than perfect, apply for the credit limit that you need, rather than the one you want.
Annual income: Most credit cards have minimum annual income requirements. Make sure you’re applying for a card where you meet the minimum.
Age & residency: You need to be at least 18 years old to apply for a credit card in Australia, and most require that you are an Australian citizen or permanent resident. However, there are some credit cards available to temporary residents.
Think of credit cards as a short-term loan where you use the bank’s money to buy something up front and then pay for it later. Unlike a debit card which uses your own money to pay, a credit card essentially borrows the bank’s money to fund the purchase. When you apply for a credit card, the bank assesses your income and assigns you a credit limit based on what you can afford to pay back. At the end of each billing cycle, which is usually monthly, the bank will send you a statement showing the minimum amount you have to pay back, including any interest payable on the balance.
Losing your credit card is a serious situation, and could land you in financial trouble. Here is a simple guide detailing what to do when you lose your credit card.
Lock you card – Contact your provider and inform them about your lost credit card. From here lock, block or cancel your card.
Keep track of transactions – Look out for unauthorised credit card transactions. Most banks protect against fraudulent transactions.
Address recurring charges – If your card is linked to recurring charges (gym membership, rent, utilities), contact those businesses.
Check credit rate – To ensure you’re not the victim of identity theft, check your credit rating a month or two after you lose your credit card.