ANZ have dropped their bombshell - Australia�s most popular frequent flyer credit card, the Qantas ANZ Visa card, has dramatically cut back on its benefits.
For example, as of October 31, cardholders will earn 1 frequent flyer point per dollar spent each month up to $1,500 for classic cardholders (or $2,500 for Gold cardholders). Thereafter cardholders will need to spend $2 to earn a point, up to a monthly limit of $5,000 for Classic cards (or $10,000 for Gold cards). Prior to these changes, one dollar spent earned one frequent flyer point and there was no monthly limit.
The changes were announced in a media release and at the bottom of the release was the following statement. �The Qantas ANZ Visa card is currently Australia�s most popular credit card.� We wonder for how much longer�
Tempting as it is to pick-up the phone, abuse the hell out of the unfortunate ANZ service representative who happened to answer your call, and immediately close your accounts - you should do your homework to see exactly what�s available. The changes will only really impact on those who spend more than $1,500 (or $2,500 for Gold cards). Also, bear in mind that there is no guarantee that the other banks will not follow ANZ�s lead and cut back on their benefits too.
If you choose to stick with ANZ, you can upgrade to their new Diners card. This card has no points cap, but is a more expensive option. As explained by one of our readers: �The alternative is to get the new Diners card to maximise my points earning, in addition to my Visa. As not all retailers accept Diners, I need to keep the Visa card and for the privilege of earning the same amount of points as I have in the past, I pay two credit card fees and two reward program fees.�
Alternatively you may decide to forfeit the points altogether and go for a significantly cheaper �no frills� cards (such as the ANZ First Visa at $26 per year) with no reward program.
Important consideration: Points will no longer be automatically credited to your Qantas Frequent Flyer account, and to keep your points from expiring you will need to have some �activity� in your account every 5 years.
Anecdotal evidence suggests that many thousands are ditching ANZ completely and taking their business elsewhere. We have
prepared A Guide to selecting �Frequent Flyer� credit cards
which will help you this process.
Included in the guide is a table comparing 18 of the
most popular �Frequent Flyer� cards. We find that while there are
differences in the cost components (such as annual fee and interest
rates), its really some of the other �hidden� factors (such as which
airlines you can transfer points to) that provide the greater
differentiation.