Earn points on balance transfers with Bendigo Bank
Bendigo Bank is currently the only Australian bank that lets you earn reward points when moving your balance to a new card.
A balance transfer credit card can be a smart way to consolidate your debts and get your finances in control. If you’re an avid points collector, though, you’ll know that you usually can’t earn points on balance transfers like you can with purchases. This is because balance transfers are usually considered cash advances and these transactions don’t regularly earn reward points.
Luckily for Bendigo Bank balance transfer customers, you can earn reward points if you do a balance transfer with any of its three rewards credit cards. So, you’ll earn 1 Rewards Point per $1 you transfer to the Bendigo Bank Platinum Rewards Visa, Ready Red credit card and the RSPCA credit card.
Unfortunately, these cards don’t have the most competitive balance transfer offers. The RSPCA Rescue Rewards Visa credit card is the only card that has a promotional balance transfer rate, offering 7.89% for the first six months. Meanwhile, the Ready Red credit card charges 19.74% and the Platinum Rewards Visa accrues 18.99% on balance transfers. So, conducting a balance transfer to these cards would only make sense if you could pay it off quickly, avoid interest and use the card for purchases to earn more points. Otherwise, the interest you’d attract on your balance transfer could easily outweigh the value of your reward points. If you are struggling to repay your balance because of high-interest rates on your existing card, getting a 0% balance transfer credit card and foregoing the chance to earn points will offer more value.
Let’s say you have compared your options and decided you want to balance transfer your credit card debt to a Bendigo Bank rewards credit card. How many points would you earn? The average Australian has a credit card balance of $3,073. So, if you were to move this amount, you could earn 3,073 points without making any purchases.
Unfortunately, while this might be a good way to kickstart your Bendigo Rewards balance, you won’t be able to redeem much with the points from your balance transfer alone. For example, it will cost you 3,667 points to redeem a $10 iTunes gift card from the Bendigo Bank Rewards store. So, in this case, your $3,073 balance transfer is worth less than a $10 gift card. However, the number of points you’ll earn will depend on the size of your balance, so the rewards value and what you can redeem will vary. Plus, the Bendigo Bank Platinum Rewards Visa offers cardholders a bonus 10,000 points on signup, which is another way to boost your balance when you first get the card.
Bendigo Bank offers cardholders a unique way to earn points when consolidating debt and conducting a balance transfer. However, if you want to repay your debt without collecting high interest, you might want to compare other 0% promotional offers. Otherwise, if you have the means to repay your balance quickly or are just looking to upgrade to a new card, a Bendigo Bank card could be a savvy way to move your debts and pick up points.