Commbank Credit Card Changes + potential Discover Card offering

[Supersonic Swinger]

I understand the need to reduce benefits but I don’t understand why it is so convoluted with the Yello nonsense. As the email says in my case "you are currently not eligible to receive Yello points". Then going from no fee to a monthly fee, redeemable with some weird restuarant and travel programs that I don't want to spend time understanding. Do they actually want to reduce their customer base, or do they think they will gain customers as we all switch our banking to CBA to get Yello points (LOL)?

Hey CBA!

Here's a novel idea - instead of gamifying customer loyalty through seeking 'engagement' by setting all sorts of arbitrary hoops to earn worthless 'points' in some 'reward' program, why don't you engender loyalty by providing compelling products, paying competitive interest rates and offering outstanding customer service?

Ah a 'hacks' website that deliberately doesn't report the actual hacks.

That website is so bad nowadays. Just a paid shill.

That useless website is the owner of AFF... They are trying to minimise the pushback from their corporate customers...

 

[grandir]

I may be interested in the proposed Charge Card when the details are released but until then every transaction is a (points) loss just retaining eligibility

I too am genuinely interested in their proposed charge card idea. I've always preferred the idea of a charge card over a credit card - you get all the benefits of a credit card (points, travel perks, insurance etc) without the negatives with the biggest one being it doesnt limit / affect your borrowing capacity.

It baffles me that charge cards are literally non-existent in Australia (except Amex Plat). For most points chasers / maximisers like those on forums like these, charge cards are just objectively better than the equivalent product in the form of credit. And yes I know the main "drawback" of a charge card is you must pay off balance in full every month but as I said, it goes without saying that for people like us on these forums, we're already doing that with our CCs so it's hardly a "drawback" at all

 

[Viridis]

.It baffles me that charge cards are literally non-existent in Australia (except Amex Plat).

….. and curiously the UK converted its Amex Plat to a credit card (not aware of any charge cards there anymore) and the US Plat seems to operate a hybrid model operating like the Aussie Platinum but with an inbuilt/subset credit facility

 

[grandir]

….. and curiously the UK converted its Amex Plat to a credit card (not aware of any charge cards there anymore) and the US Plat seems to operate a hybrid model operating like the Aussie Platinum but with an inbuilt/subset credit facility

Most charge cards will still have a hidden limit - that's what happened with me when I held the now defunct Diners Club card and I tried to purchase a custom built PC after having the balance of 2x business class tickets for myself and my partner at the time to Europe.

I called up DC and they said that it was an "in-built system check for large purchases" but said that since I called, they would happily give me a "one time pass" of the check.

 

[Viridis]

Most charge cards will still have a hidden limit - that's what happened with me when I held the now defunct Diners Club card and I tried to purchase a custom built PC after having the balance of 2x business class tickets for myself and my partner at the time to Europe.

I called up DC and they said that it was an "in-built system check for large purchases" but said that since I called, they would happily give me a "one time pass" of the check.

Oh yes, I do understand that …. I Amex have the facility in the App to check if a large purchase will be approved; which I did before popping my car on it

What I meant was that the US Amex allows you to defer payment of some of the balance. If I were to put an $80k car on that one I would need to pay $60k off but could treat the remaining $20k as if the card were a credit card

Apologies if I’m explaining stuff you already know

 

[centeredcalm]

Oh yes, I do understand that …. I Amex have the facility in the App to check if a large purchase will be approved; which I did before popping my car on it

What I meant was that the US Amex allows you to defer payment of some of the balance. If I were to put an $80k car on that one I would need to pay $60k off but could treat the remaining $20k as if the card were a credit card

Apologies if I’m explaining stuff you already know

Although off topic from the CBA cards, AMEX do still offer this on business cards and used to offer it on personal cards here to as the "Flexible Payment Option" feature. It is just like the US cards you're referring to, except they refer to it there as Pay Over Time, and it still has a separate limit that is applicable.

 

[Jousams]

WHY. ARE. THE. CBA. CHANGES. SO. HARD. TO:
A) FIND ON THEIR WEBSITE
B) UNDERSTAND

 

[henrus]

A) FIND ON THEIR WEBSITE

Opened up their website, clicked credit cards and get this banner on the bottom.



I agree on the hard to understand but with so many products and combinations in the market it's not easy.

 

[albyd]

Major changes coming to CBA credit card where it change the way you earn points. It would consider your other business with CBA for points earn:

Commonwealth Bank reimagines rewards for everyday banking, helping customers save on shopping, utility bills and travel

For the first time, more than nine million CommBank Yello customers can earn points across their home loans, savings, cards and insurance and redeem them with some of Australia’s best-known brands.

www.commbank.com.au

Also CBA is exploring issuing new premium charge card based on Discover network:

CommBank to expand card suite with new exclusive premium offering

CommBank is giving customers greater choice through a new premium charge card offer.

www.commbank.com.au

I don't know anyone who has ever had a Discover Card.....

Ironically Point Hacks produced a page outlining the CBA credit card changes, but looks like it has been withdrawn.

CBA punishes Qantas customers in reward points overhaul

The bank has struck a new partnership with Virgin ahead of a move by the RBA to cut the fees that can be charged for credit card transactions.

www.smh.com.au

CBA overhauls rewards program, shifting customers from Qantas to Virgin

The country’s biggest bank is offering Australians more opportunities to earn points across retail and travel.

www.afr.com

UPDATE: CBA has provided the updates on webpage here.

Credit Card Updates - CommBank

Upcoming changes to CommBank credit cards

www.commbank.com.au

Won’t the RBA simply kybosh (not sure that is a word) these Discover cards if they gain significant volume much like the bank issued Amex cards? I remember there was also an ANZ issued Diners Cljb card. That died a quiet death. I’m sure the guys who thought this up earn more than I do so will have gamed this all out already. If this becomes popular and other banks start issuing Discover cards (acceptance will need to be much better than Diners), then, won’t the RBA just stamp it out calling it out for what it is?

 

[centeredcalm]

I remember there was also an ANZ issued Diners Cljb card.

That was still a card issued by Diners Club Australia though, simply had ANZ branding on it and earned ANZ Rewardspoints much like a cobrand card, the same as the short lived Westpac Altitude cobranded cards that were issued by AMEX.

Won’t the RBA simply kybosh (not sure that is a word) these Discover cards if they gain significant volume much like the bank issued Amex cards?

It's less likely unless they go after three party card systems more generally which will include Amex since CBA have an exclusivity agreement with Discover.