0% Purchase Rate Credit Cards

Want to make purchases now and pay no interest for up to 15 months? Compare 0% purchase rate credit cards to find the right card for you.

Credit cards can be a great way to pay for products and services when you don’t have the money. Unfortunately, the money you repay usually accrues interest which can add up in the long run. Some cards help alleviate this financial burden by providing their cardholders with interest-free days on purchases if they pay their account’s closing balance in full each month. Other providers allow new cardholders to take advantage of 0% purchase interest rates through introductory offers that are usually in place for the first few months.

Use this page to compare your options and determine whether a 0% purchase rate credit card is the right choice for you.

Comparison on 0% Purchase Rate Credit Cards

Rates last updated December 7th, 2016
Purchase rate (p.a.) Balance transfer rate (p.a.) Annual fee Interest Free Period
NAB Low Fee Card
Get 0% p.a. on balance transfers and purchases for 15 months.
0% p.a. for 15 months (reverts to 19.74% p.a.) 0% p.a. for 15 months with a one off 3% balance transfer fee $30 p.a. Up to 44 days on purchases Go to site More info
Virgin Australia Velocity Flyer Card - 0% Interest Offer
Earn Velocity Rewards points with your purchases and pay no interest with 0% p.a. for 12 months on purchases and 0% p.a. for 6 months on balance transfers.
0% p.a. for 12 months (reverts to 20.74% p.a.) 0% p.a. for 6 months $129 p.a. Up to 44 days on purchases Go to site More info
NAB Low Rate Credit Card
The NAB Low Rate Card offers 0% p.a. on purchases and balance transfers for 15 months. This card also comes with a low annual fee.
0% p.a. for 15 months (reverts to 13.99% p.a.) 0% p.a. for 15 months with a one off 3% balance transfer fee $59 p.a. Up to 55 days on purchases Go to site More info
NAB Premium Card
Benefit from Premium credit card advantages including travel insurance, higher credit limits and VIP Lost Card Cover. 0% p.a. for 15 months on purchases and balance transfers.
0% p.a. for 15 months (reverts to 19.74% p.a.) 0% p.a. for 15 months with a one off 3% balance transfer fee $90 p.a. Up to 44 days on purchases Go to site More info
NAB Velocity Rewards Premium Card
0% p.a. on purchases and balance transfers for 15 months and 25,000 bonus Velocity Points when you make an everyday purchase in the first 90 days of opening your account. You gain both Visa and American Express cards which are linked to one single account and annual fee.
0% p.a. for 15 months (reverts to 19.99% p.a.) 0% p.a. for 15 months with a one off 3% balance transfer fee $150 p.a. Up to 44 days on purchases Go to site More info
NAB Qantas Rewards Premium Card
Get 25,000 bonus Qantas Points plus enjoy a low promotional offer of 0% p.a. for 15 months on purchases and balance transfers.
0% p.a. for 15 months (reverts to 19.99% p.a.) 0% p.a. for 15 months with a one-off 3%% balance transfer fee $250 p.a. Up to 44 days on purchases Go to site More info
NAB Velocity Rewards Card
This card offers a 15,000 bonus Velocity Points plus a low interest rate of 0% p.a. on purchases and balance transfers for 15 months.
0% p.a. for 15 months (reverts to 19.99% p.a.) 0% p.a. for 15 months with a one off 3% balance transfer fee $95 p.a. Up to 44 days on purchases Go to site More info
NAB Qantas Rewards Card
Enjoy an introductory offer of 0% p.a. for 15 months on balance transfers and purchases, plus 15,000 bonus Qantas Points on eligible spend.
0% p.a. for 15 months (reverts to 19.99% p.a.) 0% p.a. for 15 months with a one off 3% balance transfer fee $95 p.a. Up to 44 days on purchases Go to site More info
NAB flybuys Rewards Card
Earn flybuys rewards points on your everyday purchases. Also enjoy a 0% p.a. on purchases and balance transfers for 15 months.
0% p.a. for 15 months (reverts to 19.99% p.a.) 0% p.a. for 15 months with a one off 3% balance transfer fee $95 p.a. Up to 44 days on purchases Go to site More info
ANZ Platinum Credit Card - Exclusive Offer
Receive a low introductory offer of 0% p.a. on purchases for 3 months and 0% p.a. on balance transfers for 12 months. Also, enjoy an annual fee waiver in the first year.
0% p.a. for 3 months (reverts to 19.74% p.a.) 0% p.a. for 12 months $0 p.a. annual fee for the first year ($87 p.a. thereafter) Up to 55 days on purchases Go to site More info
Citi Clear Platinum Card
A low rate platinum credit card with a low interest rate on purchases and balance transfers.
0% p.a. for 9 months (reverts to 14.99% p.a.) 0% p.a. for 9 months $99 p.a. Up to 55 days on purchases Go to site More info
ANZ Low Rate
$100 Back plus 0% p.a. for the first 6 months on purchases from approval.
0% p.a. for 6 months (reverts to 13.49% p.a.) $58 p.a. Up to 55 days on purchases Go to site More info
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How do 0% purchase credit cards work?

A 0% purchase rate credit card is one that charges 0% p.a. interest on purchases made within a given time period that begins from the card’s activation. This time period typically varies from three to 12 months, but since there is no hard and fast rule, and because these offers come and go from time to time, referring to ongoing promotions at the time you wish to get a new card is always a good idea.

Such cards are ideal for individuals who wish to make large purchases or several small purchases, which they cannot pay off in full during the next payment cycle. This type of card gives you the ability to buy now and pay later without the burden of interest, provided you pay the entire amount before the promotional period ends. At the end of the promotional period, any outstanding balance starts attracting the card’s standard purchase rate.

How to use 0% purchase credit cards

The money you use for purchases through a 0% p.a. purchase rate credit card essentially works as an interest-free loan, and to make the most of it you should follow certain simple measures:

  • Make purchases quickly
    The interest-free period on purchases begins from the moment you activate your card, and stays in effect for a provided time period. As a result, the sooner you make a purchase or more, the longer you get to repay the money without paying any interest.
  • Periodical payments
    An introductory 0% p.a. purchase rate does not imply that you don’t have to make any repayments during the promotional period. You would still receive a statement each month, and you would be required to make at least the minimum required payment each month. If you miss making even a single payment, you can expect the promotional rate to end immediately.
  • Repay the amount within the offer period
    You should ideally try to pay more than the minimum monthly payments, because once the promotional period ends any outstanding balance starts attracting interest.
  • Avoid cash advances
    Cash advances in any form, whether you withdraw money from an ATM or use your card at a gambling table, start attracting interest from day one. So you'll want to avoid them if you don’t want to pay high interest.
  • Don’t exceed your credit limit
    If this happens, your credit card provider can withdraw the promotional purchase rate.
  • Think twice about balance transfers
    Some such cards offer promotional balance transfer rates as well. If you do plan to use such a card for balance transfers, know that both offers run independently of each other, and there’s a good chance that the purchase rate offer may be forfeited if you have a balance on your account.

How to compare 0% purchase credit cards

When you’re comparing cards with 0% p.a. purchase rate offers pay due attention to the following aspects:

  • Length of interest-free period
    The longer you get to repay the money you spend on purchases without having to pay any interest, the better.
  • Standard rate
    This is the interest outstanding balances from purchases attract after the promotional period comes to a close. Bear in mind that the purchase rate can vary significantly from one card to the next.
  • Annual fees
    The presence and cost of the annual fee will vary from card to card. If there is an annual fee in place, make sure that it doesn’t override the savings of you’d make through the interest-free offer.
  • Additional features
    Some cards offer extra features, so you’ll want to compare these to make sure that the additional perks are of value to you. For example, you may be interested to find out if your card offers interest-free days on purchases once the initial interest-free period expires. On the other hand, some cards may offer a rewards program or may come with complimentary travel or purchase insurance cover. Compare your options and make sure that the additional features suit what you want and need from your card.
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What are the pros and cons of using a 0% purchase credit card?

Pros

  • Save money. This, without a doubt, is the biggest benefit of getting a 0% p.a. purchase rate credit card. As long as you abide by the terms and conditions you don’t have to pay any interest during the promotional period.
  • Get what you want. If you’ve desired something for a while but can’t pay for it in one go and don’t want to pay any interest, using such a card gives you the ability to buy just about anything you want without paying interest.

Cons

  • Requires budgeting. You can’t expect a credit card debt to pay itself off, and if you don’t budget your repayments in advance, you could end up with an outstanding balance after the promotional period ends. If this happens you’ll have to start paying interest, which, over time can add up to a tidy sum.
  • Invalidate the offer. Things you do can work in invalidating the offer, so it’s important that you review the offer’s terms and conditions at the onset. You can invalidate the offer by making a late payment, missing a payment, or exceeding the card’s credit limit.
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Frequently Asked Questions

Can anyone apply for a 0% p.a. purchase rate credit card?

Australian citizens or permanent Australian residents over 18 years of age who don’t have poor creditworthiness can consider applying for 0% p.a. purchase rate credit cards.

If I pay the outstanding balance in full before the promotional period ends and want to close my account, will I have to pay any additional fees?

As long as you pay your credit card account’s balance in full, you don’t have to pay any fees to close your account.

I’ve been using a 0% p.a. purchase rate credit card for two months, and the promotional rate lasts for three months. If I make a purchase now, will I get three interest-free months to repay it?

Unfortunately, the answer to this is no. The interest-free days begin from the date of your card’s activation, and if you’re already two months in, a purchase you make now would give you no more than a month as interest-free time.

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American Express Essential Credit Card
American Express Essential Credit Card

Interest rate

14.99

Annual fee

0
ME Bank frank Credit Card
ME Bank frank Credit Card

Interest rate

11.99

Annual fee

0
HSBC Platinum Credit Card
HSBC Platinum Credit Card

Interest rate

19.99

Annual fee

149

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6 Responses to 0% Purchase Rate Credit Cards

  1. Default Gravatar
    Marjie | August 3, 2016

    Can I apply for a free interest card as a pensioner? What are my chances of getting one for $1000?

    • Staff
      May | August 3, 2016

      Hi Marjie,

      Thanks for your inquiry.

      Yes, pensioners can apply for a credit card with 0% interest on purchases so long you can provide the necessary proof of income (pension) and documentation. You can find more information on our guide for credit cards for pensioners on this page. Also, your credit limit, for instance, $1,000, will be determined by the bank based on their assessment of your financial circumstance.

      Cheers,
      May

  2. Default Gravatar
    anne | May 15, 2014

    i’m looking for a cc with 0% interest for 12 months minimum with NO international trans fees can you please advise me.

    Thank you

  3. Default Gravatar
    scott | April 28, 2013

    is there any fee’s, cost or penalties for cancelling a credit card once you have payed back the amount owed.
    for example; I get a credit card make a purchase and pay it off within the interest free period and then cancelled the card. will i get stung with any fee’s?

    • Staff
      Jacob | April 28, 2013

      Hi Scott. Thanks for your question. Provided that you’ve paid the card off in full, there are no penalties for closing the account. Jacob.

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