Balance Transfer Credit Cards with Rewards Programs

Discover how to repay your debt interest-free while earning rewards

Balance transfers and rewards card are both attractive features, but imagine if you could take advantage of them both with one card. Take advantage of a lower interest rate to consolidate your debts and once you’ve paid it off, earn points on purchases to reward your spending. While these cards sound like a catch, there are some factors you should consider before submitting your application.

Balance transfer credit card offers with rewards points comparison

Rates last updated July 23rd, 2018
Name Product Bonus Points Rewards Program Rewards Points per $ spent Purchase rate (p.a.) Annual fee Product Description
Virgin Australia Velocity Flyer Card - Balance Transfer Offer
Velocity Frequent Flyer


0.66
20.74% p.a.
$64 p.a. annual fee for the first year ($129 p.a. thereafter)
Take advantage of 0% p.a. on balance transfers for up to 18 months. $64 in the first year ($129 p.a. thereafter), plus, bonus Velocity Points.
Citi Platinum Credit Card - 100k Bonus Points
100,000 bonus points
Citi Rewards Program


1
20.99% p.a.
$49 p.a. annual fee for the first year ($149 p.a. thereafter)
Earn 100,000 reward Points, enjoy a long-term balance transfer offer, a discounted first year annual fee and complimentary travel insurance.
Qantas Premier Everyday
40,000 bonus points
Qantas Frequent Flyer


0.75
19.99% p.a.
$0 p.a. annual fee for the first year ($49 p.a. thereafter)
Take advantage of up to 40,000 bonus Qantas Points, a $0 first year annual fee plus complimentary overseas travel insurance.
NAB Qantas Rewards Card
Qantas Frequent Flyer


0.5
19.99% p.a.
$95 p.a.
A Visa card that offers 0.5 Qantas points per $1 spent, complimentary purchase protection insurance and up to 44 interest-free days on purchases.
American Express Platinum Edge Credit Card
Membership Rewards Ascent


1
20.74% p.a.
$195 p.a.
Receive a yearly $200 Travel Credit and complimentary domestic and international travel insurance, plus 0% p.a. for 12 months on balance transfers.
American Express Explorer Credit Card
50,000 bonus points
Membership Rewards Gateway


2
20.74% p.a.
$395 p.a.
Receive 50,000 bonus Membership Rewards points, a yearly $400 Travel Credit and 2 entries per year to the American Express Lounge.
NAB Qantas Rewards Signature Card
90,000 bonus points
Qantas Frequent Flyer


1
19.99% p.a.
$295 p.a. annual fee for the first year ($395 p.a. thereafter)
Collect 90,000 bonus Qantas Points when you spend $4,000 within 60 days of account opening. Plus, a $295 annual fee in the first year.
Citi Rewards Classic Credit Card
Citi Rewards Program


1
20.99% p.a.
$49 p.a. annual fee for the first year ($99 p.a. thereafter)
Receive 1 point per $1 spent on eligible purchases, up to $50 cashback when you meet the minimum spend and a 15 month balance transfer offer.
NAB Rewards Classic Card
30,000 bonus points
NAB Rewards


0.75
19.99% p.a.
$95 p.a.
Get 30,000 bonus points when you meet the spend requirement, 0.75 NAB Rewards Points per $1 spent and a 0% p.a. balance transfer offer.
NAB Rewards Platinum Card
60,000 bonus points
NAB Rewards


1
19.99% p.a.
$195 p.a.
Collect 60,000 bonus points when you spend $2,500 within 60 days of account opening. Plus, receive complimentary travel and purchase insurances.
Bank of Melbourne Amplify Card
Amplify Rewards / Qantas Frequent Flyer


0.5
19.49% p.a.
$0 p.a. annual fee for the first year ($79 p.a. thereafter)
Take advantage of a 3% p.a. for 36 months balance transfer offer, Amplify or Qantas points per $1 spent and enjoy a $0 annual fee for the first year.
NAB Rewards Signature Card
90,000 bonus points
NAB Rewards


1.25
19.99% p.a.
$295 p.a.
Receive 90,000 bonus NAB Rewards points, worth over $450 in gift cards or 45,000 Velocity points when you meet the spend requirement.
Citi Rewards Platinum Credit Card
Citi Rewards Program


1
20.99% p.a.
$49 p.a. annual fee for the first year ($149 p.a. thereafter)
Earn reward Points per $1 spent, take advantage of a 0% p.a. for 26 month balance transfer offer, plus complimentary international travel insurance.

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What are the features of a balance transfer credit card with rewards?

Balance transfer credit cards with rewards offer a number of features, and while these can vary from card to card, the following should give you a fair idea of what to expect:

  • Balance transfer offer. Some cards charge 0% p.a. on balance transfers during promotional periods, and some others charge low balance transfer rates. The time period of these offers typically varies in between 6 and 18 months.
  • Earning reward points. The earn rate (how many points you’ll earn per dollar) you can expect will depend on the provider and rewards program. There may also be some terms and conditions such as bonus points with partnered retailers or restrictions on transactions (such as cash advances). It also pays to find out if your points expire, and if there’s a cap on the maximum number of points you can earn.
  • Redeeming rewards. Understand exactly how you can redeem your points. Certain rewards programs give you the option to choose between an array of merchandise, store vouchers, and travel vouchers; some allow you to use your points as cashback; and some even give you the option of transferring your points to your frequent flyer program account. You’ll want to make sure these rewards suit your lifestyle so you can get the most out of your card.

What are the pros and cons of using a balance transfer credit card with rewards?

Pros

  • Save money. By paying little to no interest on balance transfers for a given time period, you can save considerably in the form of interest, especially if you manage to pay off the entire transferred balance before the promotional period comes to a close.
  • Earn rewards. If you use your credit card frequently, you can benefit by earning rewards as per your spending.
  • Make use of extras. Many such credit cards come with complimentary purchase and travel insurance covers that you can use in different circumstances. Some cards also offer round-the-clock access to a concierge service that offers assistance in various matters.

Cons

  • High-interest rate. You can expect a balance transfer card with rewards to charge a high interest rate on purchases, and if you don’t keep paying your account’s closing balance in full each month, the money you pay as interest could outweigh the rewards you earn.
  • Annual fee. Most such credit cards charge ongoing annual fees, and just how much you have to pay in annual fees depends on the extras any given card offers.

What else will I need to consider when comparing this type of card?

When you’re comparing rewards credit cards with balance transfer offers, don’t forget the following:

  • Balance transfers don’t earn rewards. At the time of writing, no Australian credit cards offer rewards points on balance transfers.
  • The earn rate. The earn rate can vary from one rewards card to the next, so pay due attention to this aspect. Normally, platinum and premium cards offer better earn rates, and American Express usually compares better than Visa and Mastercard on this front.
  • The revert rate. At the end of the promotional period, any outstanding balance from balance transfers starts attracting the card’s purchase rate or cash advance rate. It’s usually the cash advance rate, which can be noticeably higher than the purchase rate.

Getting a balance transfer credit card with rewards can be a good idea if you have a roadmap in place and plan to pay off the entire transferred balance within the promotional period. Once you do, you can then look forward to earning rewards. The number of options on offer is a definite plus, so make sure you compare as many as possible before applying for any one.

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Frequently asked questions

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    5 Responses

    1. Default Gravatar
      harryFebruary 21, 2016

      Hi there I am interested in transferring from Westpac Altitude. I have 600,000 points do you lose them when I transfer? cheers H

      • finder Customer Care
        SallyFebruary 22, 2016Staff

        Hi Harry,

        Thanks for your question.

        If you transfer your balance to another card and close your Westpac Altitude card (and don’t have another card open with Westpac), you’ll lose your rewards points.

        You can convert your Westpac Altitude Points to other rewards programs, such as Velocity Frequent Flyer or Singapore Airlines KrisFlyer if you have an account with them. Transferring your points to another rewards program before closing the account is one way you can still get value from your Altitude points after you’ve closed your Westpac credit card.

        I hope this has helped.

        Cheers,

        Sally

      • finder Customer Care
        JonathanFebruary 22, 2016Staff

        Hi Harry, thanks for your inquiry!

        If you are transferring from your Westpac Altitude card you can still keep it active so your points are not lost. Transferring does not cancel the card.

        Cheers,

        Jonathan

    2. Default Gravatar
      LukeMay 18, 2015

      With the balance transfer rate of 0% for 16 months on the ANZ platinum card does that also include future balance transfers or only the initial one on application for the card

      • finder Customer Care
        JonathanMay 18, 2015Staff

        Hi Luke, thanks for your inquiry!

        The balance transfer promotional rate of 0% for 16 months is only available at the time of application. As per the terms and conditions “The offer must be requested at the time of applying for the credit card.” ANZ allows 95% of the available credit limit for balance transfers.

        Cheers,

        Jonathan

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