Meh! "Important information about your ANZ Rewards credit card account"

[blueythecat]

The new revenues part is difficult in the payment space unfortunately, although a few immediately do come to mind.

Coles manage to increase points earn by 1 Flybuys point per Coles Insurance policy linked to a given Flybuys account as one example. If a financial institution offered an increased points earn rate for each piece of my business that I gave them, they'd have a compelling product even if the earn uplift was somehow capped.

If American Express can offer a card with an annual fee that is very easily offset by the included perks and has an earn rate of 4 points / dollar for the most common types of every day spend, there's clearly room for at least some innovation.

Excellent points. Too bad the major's aren't onto this as well. Churning can be very tiresome!!

 

[theevilmuppet]

Excellent points. Too bad the major's aren't onto this as well. Churning can be very tiresome!!

Excellent points. Too bad the major's aren't onto this as well. Churning can be very tiresome!!

Another has just come to mind, specifically for ANZ. Their lounge offering is terrible for the majority of travelers - I'd happily give it up for an incremental increase on the earn rate for either of the cards.

Also, I'm insured to the nth degree already. I don't need extended warranty and I'm obsessed with getting the best deal as it is, so you can keep the price protection feature as well.

Of the Interchange fee a Scheme Card issuer receives, the breakup is quite diverse:

* Fraud screening and protection
* Product insurance
* Transaction processing
* Customer support
* Statement issuance
* Reward points earn

If I could opt out of some of these and pay a fee for transactions over a certain amount to cover base costs in return for higher points earn, I'd jump at it.

 

[trippin_the_rift]

If I could opt out of some of these and pay a fee for transactions over a certain amount to cover base costs in return for higher points earn, I'd jump at it.

Traditional card product as we know it are dying and banks need to innovate to retain high profitability in card products.
While I've published an article on this; a few key areas in which banks can innovate to make card more compelling and generate more revenue are:

1. Charge a fee if you DON'T spend a minimum monthly amount on the card
2. Earn bonus points on interest charges and annual fees
3. Affinity partners who want to tap into your customer base / pay for benefits access
4. Pick and choose your own soft benefits, annual fee adjusts accordingly

There's 23 new revenue generating concepts I've developed that would work well for banks (this wasn't written for .AU market - but applies equally).
Along with credit porting - I think the future of credit products has huge opportunity for growth and banks to generate record revenues...

 

[woodborer]

I find it odd that new customers will have the current earn rate (as per the current updated website T+Cs) but existing customers are being downgraded to the new earn rate.

ANZ have rolled out this style of change before (capping of FF points was done in stages). I think HSBC made its changes in rounds as well, depending on application date. So, it's not really unusual for changes to be donethis way. The new custumers will get changed to the lower earn, but I imagine it will be later in the year.

 

[Oxy]

Sounds like there might be room in the market for a Build-Your-Own style credit card, select the features you want. Starts off earning 1.5p/$ for example, and everytime you add a feature like insurance, price protection, lounge access etc your earn rate drops.
I know I would be on board for a higher earn rate over other 'perks' that I rarely use anyway.

Or you could guarantee the bank a certain spend level P.A. to get a certain feature (I'm sure that would go down nicely in our protectionistic society ha!).

 

[akeno]

Similar for my Platinum cards....30% reduction in points for Amex and Visa earn in exchange for reduction in annual fee from $149 to $40. Doesn't quite cut it.

We’re writing to let you know about changes to your ANZ Rewards Platinum credit card account. From 14 March 2016:

• Your Annual Account Fee will be $40 which will apply when your next Annual Account Fee becomes due. - • You’ll earn 1 Reward Point[SUP]1[/SUP] for every $1 spent on eligible purchases made using your ANZ Rewards Platinum Visa card. • You’ll earn 2 Reward Points[SUP]1[/SUP] for every $1 spent on eligible purchases made using your ANZ Rewards Platinum American Express® card.

From great to just below avg so I'll be looking around as well. Weird too - their website is still quoting the old values for Black and Platinum. Be nice to join up today to find it all changes in 6 wks, unless the emails are targeted to people that spend too much???

"For ANZ Rewards, a Total Annual Fee of $89 applies which includes a $34 Annual Account Fee and a $55 Rewards Program Services Fee. For ANZ Rewards Platinum, a Total Annual Fee of $149 applies, which includes a $94 Annual Account Fee and a $55 Rewards Program Service Fee. For ANZ Rewards Black, a Total Annual Fee of $375 applies, which includes a $320 Annual Account Fee and a $55 Rewards Program Service Fee. For additional cardholders on ANZ Rewards, ANZ Rewards Platinum and ANZ Rewards Black, an annual Additional Cardholder Fee of $10 and an annual Rewards Program Services Fee of $55 will apply per additional cardholder on the account"

They are actually only reducing the card account fee component and not the rewards program fee component which is still $55 per card member on the account.

With the changes, the new card account fees for ANZ Rewards Card is $25 and for ANZ Platinum it is $40.

ANZ Rewards Card, TOTAL NEW ANNUAL FEE fee is $80 ($25 card account fee + $55 rewards fee). A SAVING of just $8 for those on this card :shock:.
ANZ Rewards Platinum Card, TOTAL NEW ANNUAL FEE is $95 ($40 card account fee + $55 rewards fee). A SAVING of $54.

 

[ninja-tim]

Just to make sure:

They are just reducing the points earn rate? and not the conversion rate? So we all can all warehouse our current points? ......for now?

 

[Hooizzit]

I'm fairly sure FF conversion is the same. Conversion to store gift vouchers has changed.

 

[infinity]

As far as I'm understand, the black has no change, only the visa one will change. Will it be better of switching to Westpac Altitude Black?

No Advice yet about my Black rewards card

What is the Visa earn after March?

 

[bullerdude]

No Advice yet about my Black rewards card

What is the Visa earn after March?

I just to a letter detailing the changes for mine, so it looks like they are getting it our progressively.

Earn rate will drop to effective .625p/$ velocity earn rate.

 

[kpc]

I just to a letter detailing the changes for mine, so it looks like they are getting it our progressively.

Earn rate will drop to effective .625p/$ velocity earn rate.

Yup got a letter from ANZ today: "from 14 March 2016, you'll earn 1.25 Reward Points (currenty 2) for every $1 spent on eligible purchases made using your ANZ Rewards Black Visa card"; effectively 0.625 Velocity points per $ spent!! No mention about any changes if you use the Amex card. With the cessation of points earnt on ATO spend from 27 February onwards, this is, as cove would say, "Titanium scissors time"...as i rush to complete my Dec BAS for one final parting gift to ANZ!!

 

[ragingsheep]

Traditional card product as we know it are dying and banks need to innovate to retain high profitability in card products.
While I've published an article on this; a few key areas in which banks can innovate to make card more compelling and generate more revenue are:

1. Charge a fee if you DON'T spend a minimum monthly amount on the card
2. Earn bonus points on interest charges and annual fees
3. Affinity partners who want to tap into your customer base / pay for benefits access
4. Pick and choose your own soft benefits, annual fee adjusts accordingly

There's 23 new revenue generating concepts I've developed that would work well for banks (this wasn't written for .AU market - but applies equally).
Along with credit porting - I think the future of credit products has huge opportunity for growth and banks to generate record revenues...

Link to article?

1. Points don't necessarily get cheaper the more you spend so if interchange falls and they keep earn up to the point where they're losing money on every dollar you spend, encouraging spending isn't actually helping. Also "punishing" people for not spending a minimum isn't going to go down well with the public.
2. Consumer protection groups, the ACCC and the Government under the Consumer Credit Protection legislation would absolutely kill any bank who would even dare suggest that they start offering points on interest rate charges.
3. It'll bring about incremental revenue, but no where near enough to offset costs elsewhere.
4. Most other "benefits" are fairly cheap because 1. The bank buys in "bulk wholesale" and 2. A lot of cardholders don't actually use any or more than 1 or 2 benefits. Again, not enough to offset the cost of points.

 

[lovetravellingoz]

Dear LittleFokker,

We’re writing to let you know about a change to your ANZ Rewards Black credit card account. From 14 March 2016:

• You’ll earn 1.25 Reward Points[SUP]1[/SUP] for every $1 spent on eligible purchases made using your ANZ Rewards Black Visa card.

Wife recently received her NEW ANZ Black. It still states 2 points per $ in the covering letter. Website does too.

Brochure states that any changed has to be notified in writing to her and so I assume that she will keep earning 2 points per $ till receiving notice in writing on any change to her earn.

Does anyone know what gives? Are "new" cardholders being given an extra grace period compared to "existing" cardholders?

 

[travelislife]

Wife recently received her NEW ANZ Black. It still states 2 points per $ in the covering letter. Website does too.

Brochure states that any changed has to be notified in writing to her and so I assume that she will keep earning 2 points per $ till receiving notice in writing on any change to her earn.

Does anyone know what gives? Are "new" cardholders being given an extra grace period compared to "existing" cardholders?

I am a new card holder from about 2 weeks ago and am still definitely on the 2 points for $ for Visa, haven't heard otherwise at this stage.

 

[kamchatsky]

I applied and had the new card a few days ago. No mention of reduction of points earned either.

 

[Sora]

It comes to effect March 14th, even if you're a new customer like me to this Awards Card, you are still under the umbrella of change. Everyone is unfortunately, just the way the cookie crumbles, the ANZ representative today tried to downplay it stating that it is only VISA that is affected and Amex stays the same with the 3 points - though it is starting to fit inline with Westpac and other banks so it was just a matter of time before this was to come to effect.

 

[Sora]

It comes to effect March 14th, even if you're a new customer like me to this Awards Card, you are still under the umbrella of change. Everyone is unfortunately, just the way the cookie crumbles, the ANZ representative today tried to downplay it stating that it is only VISA that is affected and Amex stays the same with the 3 points - though it is starting to fit inline with Westpac and other banks so it was just a matter of time before this was to come to effect.

On top, I called ANZ yesterday, they noted that the customers that signed up after September 2015 will retain the 2 point bonus structure, existing customers will be moved in to the new category of the change from 2 points to 1.25 points effective as March 14th 2016.

So since I signed up in February of 2016 I would still retain the 2 point value structure, yet to see how long it lasts of course

 

[infinity]

A point of note

ANZ Black still pays points on Bpay transactions whilst most others in this space have been canned

 

[johnny_yh2000]

A point of note

ANZ Black still pays points on Bpay transactions whilst most oters in this space have been canned

Sorry to ask a nooby question. When paying bills through BPay using credit card, does it count as a normal transaction or is it considered as cash advance?

 

[xsiq]

Sorry to ask a nooby question. When paying bills through BPay using credit card, does it count as a normal transaction or is it considered as cash advance?

Depends on the biller, Will not be treated as cash advance if the biller is willing to accept payments via credit card. Best to run a quick check on the bpay website with the biller code.