Citi finalises acquisition of Coles credit cards
Citi has bought Coles credit cards from Wesfarmers, but how will this change how you use them?
In November 2016, we reported that Coles had entered a 10-year agreement with Citi for the distribution of Coles-branded credit cards. Wesfarmers and Citi both announced that the acquisition wouldn’t be finalised until February 2017. True to their word, Citi announced that it has completed the transaction and is responsible for distributing Coles credit cards as of today.
When Citi initially confirmed the acquisition in 2016, Coles managing director John Durkan vowed that the supermarket’s new partnership would continue to provide simple and competitively priced products. No major changes have been revealed as of yet, and we probably won’t see any until the new financial year.
There are some changes we can predict, though. For example, you can expect that you will no longer be able to transfer balances from Citi credit cards to Coles credit cards as they’re owned by the same provider. As Citi allows applicants to transfer personal loans to credit cards, you also might be able to move loans to Coles credit cards with a low balance transfer offer. As Citi is the fifth largest credit card provider in Australia (after the big four), fingers crossed we can also expect more competitive interest rates, fees and features with the backing of a strong partner.
Currently, the Coles credit card lineup consists of five credit cards. If you want to cut standard card costs, you could take advantage of the Coles No Annual Fee MasterCard or Coles Platinum No Annual Fee Card. If you struggle to repay your balance in full each month and want to avoid high-interest costs, the Coles Low Rate MasterCard might be a better fit for you. Otherwise, if you’re a big spender and rewards seeker, the Coles Rewards MasterCard and the Coles Platinum Rewards MasterCard will earn you flybuys points as you spend. Each of these cards also offers $100 off a single Coles supermarket shop.
If you’re in the market for a new credit card and interested to see how Coles credit card products could change following the partnership with Citi, keep your eye on finder news for more details as they emerge.