Credit card sign-up bonuses worth hundreds of dollars remain available to Australians, despite banks increasing annual fees and reducing perks following the Albanese government’s surcharge crackdown.
Sally Tindall, Canstar’s data insights director, said lucrative introductory offers were still available to customers prepared to compare cards carefully, as providers continued to seek new business.
Westpac’s Altitude Rewards Black card was at the top of Canstar’s database for rewards points, offering eligible new customers 200,000 points. Tindall said those points could be exchanged for $680 in gift cards.
For customers seeking frequent-flyer rewards, Westpac was offering up to 150,000 points, while American Express had offers of up to 120,000 points.
Credit card sign-up bonuses come with conditions
However, Tindall warned that the headline value of a reward could be reduced by annual fees and minimum-spending requirements.
Some banks are also distributing sign-up points over 12 months rather than providing them in a single payment. This could leave customers paying two annual fees before receiving all the advertised rewards, with some cards charging about $1,200 a year.
“Credit cards are littered with traps,” Tindall said.
Applicants must usually spend a specified amount within a set period to qualify. For the Westpac card, the required spending was $6,000, she said, adding: “If you can’t meet that, you’re not getting those sign-up points at all.”
Putting larger expenses, including council rates and other bills, on a new card may help customers reach the threshold, but Tindall urged applicants to read the conditions closely.
Who should avoid rewards cards?
Rewards cards may not suit people who regularly carry a balance and pay interest on their debt. “If you’re carrying around a debt on your credit card, rewards cards are not for you,” Tindall said.
She advised those customers to seek a low-rate card instead, warning that interest charges could quickly outweigh the value of any rewards earned.
