Shopping for a credit card can feel a bit like hunting for that one perfect coffee blend—it’s all about finding what suits your taste (or budget) best! But no worries, we’ve done the legwork for you.
Here, we’ll dive into the top credit cards in New Zealand that bring you the best rates, perks, and rewards. Whether you’re after travel points, cashback, or something low on fees, we’ve got you covered.
And hey, if you’re looking for even more ways to save and get the most out of your money, make sure to check out Find New Zealand, your ultimate guide to navigating Kiwi life like a pro!
1. American Express Airpoints Platinum Card
Best for: Frequent flyers who love perks and Airpoints!
| ANNUAL FEE | $195 |
| MINIMUM CREDIT LIMIT | $55,000 |
| PURCHASE INTEREST RATE | 19.95% |
| CASH ADVANCE INTEREST RATE | 21.95% |
| INTEREST FREE PERIOD | Up to 55 days |
| PERKS | Lounge Passes, Travel Insurance (Return Trip), Smartphone Screen Insurance, Purchase Protection Cover, Status Points, Discounted Koru Membership |
| OTHER | Minimum income of $65,000 |
Imagine turning everyday purchases into free flights—sounds dreamy, right? That’s exactly what this card offers. The American Express Airpoints Platinum Card makes racking up Airpoints super easy, and the extra travel perks are just icing on the cake.
Why You’ll Love It
- Earn Big Rewards: For every $59 you spend, you’ll earn 1 Airpoints Dollar. Bonus: they don’t expire!
- New Member Boost: Get 400 bonus Airpoints Dollars by spending $1,500 in the first 3 months.
- Travel Insurance Perks: Cover for domestic and international trips (as long as it’s a return ticket).
- Protection for Your Stuff: Enjoy 90-day purchase protection and smartphone screen insurance (up to $500).
Things to Keep in Mind
- High-Interest Rate: At 19.95%, you’ll want to pay your balance off monthly to avoid hefty charges.
- Limited Acceptance: Some stores in NZ don’t accept American Express.
- Income Requirement: You’ll need a pre-tax income of $65,000 to qualify.
| Pros | Cons |
|---|---|
| Highest Airpoints-earning rate in NZ Up to 55 days of interest-free shopping Free insurance for travel and purchases Perfect for Air New Zealand frequent flyers | High interest rate (ouch if you don’t pay in full) American Express isn’t accepted everywhere $195 annual fee |
2. ASB Visa Light
Best for: Budget-conscious Kiwis who want no annual fees and a solid balance transfer option
| ANNUAL FEE | $ 0 |
| MINIMUM CREDIT LIMIT | $1,000 |
| PURCHASE INTEREST RATE | 13.5% |
| CASH ADVANCE INTEREST RATE | 22.95% |
| INTEREST FREE PERIOD | Six months on purchases over $1,000 |
| PERKS | SmartRate, Zero-Percent Interest for Balance Transfers |
Sometimes, keeping it simple is the smartest move, and that’s exactly what the ASB Visa Light delivers. This card ditches the flashy perks in favour of practicality, offering no annual fees and a handy balance transfer feature to make paying off debt easier.
Why You’ll Love It
- Zero Account Fees: That’s right—no annual fee, no hidden costs, just a card that does the job.
- Smart Rate Perks: For purchases over $1,000, you get six months to pay it off with 0% interest. After that, the rate moves to a low 13.5%.
- Balance Transfers Made Easy: Transfer balances from other non-ASB cards at 0% interest for six months. A great option for tackling high-interest debt.
Heads-Up on the Fine Print
- You’re limited to two balance transfers per year with a cap of $20,000 each time.
- Make sure to pay off your balances promptly to fully enjoy the benefits of the Smart Rate feature.
- The card’s cash advance interest rate is a steep 22.5%, so avoid those ATM withdrawals!
| Pros | Cons |
|---|---|
| No annual fees—ever Low purchase interest rate of 13.50% 0% balance transfer interest for six months Handy Smart Rate for larger purchases | No rewards, Airpoints, or cashback perks High cash advance interest rate Can only transfer balances from non-ASB cards Limited to two balance transfers annually |
3. Kiwibank Low Rate Visa
Best for: Students, fresh grads, and anyone who wants a super low-interest card without the bells and whistles
| ANNUAL FEE | $30 charged as $15 every six months |
| MINIMUM CREDIT LIMIT | $500 |
| PURCHASE INTEREST RATE | 9.95% |
| CASH ADVANCE INTEREST RATE | 9.95% |
| INTEREST FREE PERIOD | Up to 55 days on purchases |
If you’re all about saving money and keeping things simple, the Kiwibank Low Rate Visa has your back. With one of the lowest interest rates in NZ at just 9.95%, this card is perfect for small purchases, emergencies, or those just starting out in the credit world.
Why It’s a Top Pick
- Lowest Interest Rate Around: At 9.95%, it’s hard to beat for everyday purchases and even cash advances.
- Affordable Annual Fee: Just $30 a year, billed in two $15 chunks—plus, students and grads get their first year fee-free!
- FraudWatch Protection: Your transactions are monitored for suspicious activity, giving you peace of mind.
Heads-Up on the Fine Print
- Low Credit Limit: Starting at just $500, it’s ideal for managing small spends but might feel limiting for bigger expenses.
- No Rewards or Perks: This card keeps it basic—don’t expect Airpoints, cashback, or other extras.
| Pros | Cons |
|---|---|
| Ultra-low interest rate of 9.95% Low annual fee (waived for students and grads in year one) Up to 55 days of interest-free purchases Low cash advance interest rate | Limited credit limit starting at $500 No rewards program or premium perks |
4. BNZ Advantage Visa Classic
Best for: Cashback or Flybuys rewards enthusiasts
| ANNUAL FEE | $40 |
| MINIMUM CREDIT LIMIT | $500 |
| PURCHASE INTEREST RATE | 20.95% |
| CASH ADVANCE INTEREST RATE | 22.95% |
| INTEREST FREE PERIOD | 55 days |
| PERKS | Cashback Rewards, Flybuys Points |
If you love getting something back from your spending, the BNZ Advantage Visa Classic is a solid option. With flexible rewards—choose between Cashback or Flybuys points—you can tailor it to fit your lifestyle while enjoying reasonable fees.
Why It’s a Top Pick
- Cashback Perks: Earn $1 Cashback for every $150 spent—perfect for paying down your balance or saving.
- Flybuys Fan? If you opt for Flybuys, you’ll earn 1 point for every $40 spent, redeemable at partner retailers or the Flybuys store.
- Welcome Bonus: Spend $1,500 in the first 3 months and enjoy $75 cashback or 500 Flybuys points as a reward!
Keep in Mind
- High Interest Rates: With a purchase rate of 20.95% and cash advance rate of 22.95%, paying your balance in full every month is key to avoid extra costs.
- Low Credit Limit: The $500 starting limit might feel restrictive, especially if you’re gunning for that welcome bonus.
| Pros | Cons |
|---|---|
| Flexible rewards: Cashback or Flybuys 55 days interest-free on purchases Low annual fee Easy online and mobile card management (compatible with Google Pay and Apple Pay) | High interest rates (20.95% for purchases and 22.95% for cash advances) Low starting credit limit |
5. The Co-operative Bank Fair Rate Credit Card
Best for: Simple, affordable credit with fraud protection
| ANNUAL FEE | $20 charged as $10 every six months |
| MINIMUM CREDIT LIMIT | $1,00 |
| PURCHASE INTEREST RATE | 12.95% |
| CASH ADVANCE INTEREST RATE | 12.95% |
| INTEREST FREE PERIOD | 55 days |
If you’re after a no-frills credit card with low rates and excellent fraud protection, the Fair Rate Credit Card might just fit the bill. With its modest fees and fair rates, it’s a dependable option for those who value practicality over perks.
Why It’s Worth Considering
- Affordable Annual Fee: Just $20 a year, billed in two $10 instalments.
- Fair Rates: A competitive purchase and cash advance interest rate of 12.95%.
- Balance Transfer Deal: Transfer balances from other cards at 0% interest for six months, making it easier to manage debt.
Fraud Protection You Can Count On
The card features 24/7 fraud monitoring and the Mastercard Zero Liability Policy, ensuring your purchases are secure. It’s a great choice for peace of mind.
Keep in Mind
- No Rewards Program: You won’t earn points or cashback.
- Floating Interest Rate: Although it has stayed at 12.95% since 2015, there’s no guarantee it won’t change in the future.
| Pros | Cons |
|---|---|
| Low annual fee Competitive interest rates (12.95%) 0% balance transfer interest rate for six months Fraud monitoring and Mastercard Zero Liability | No rewards or perks Higher-than-average foreign currency conversion fee (2.5%) Floating interest rate |
Things to Consider Before Applying for a Credit Card in NZ
Before diving into the world of credit cards, it’s crucial to find one that aligns with your lifestyle and financial goals. Here are some key factors to consider:
1. Know Your Types
Not all credit cards are created equal! Choose one that fits your needs:
- Balance Transfer Cards
Perfect for paying off debts from another card. These cards usually offer lower interest rates and fees to help you clear your balance faster. - Travel Cards
A must-have for globetrotters. Earn points like Airpoints Dollars or Flight Centre rewards, which can be redeemed for flights, hotels, rental cars, or even a cheeky bottle of wine. Many also offer perks like no foreign transaction fees, lounge access, or complimentary travel insurance. - Cashback Cards
Get rewarded for your spending! Cashback cards return a small percentage of your purchases, which you can use to pay off your credit card balance or shop at partner stores. - Low-Interest Cards
Ideal for frequent credit card users who want to avoid high fees. These cards typically come with affordable interest rates but may lack rewards or bonus offers.
2. Interest Rates
The interest rate on your card can make or break your budget. Rates can range from as low as 9.95% for low-interest cards to 20.95% for premium options. Most cards also include an interest-free period—a golden opportunity to avoid interest charges if you pay your balance in full.
3. Cash Advance Rate
Need to withdraw cash in a pinch? Keep an eye on the cash advance interest rate, which tends to be higher than purchase rates. Use this feature sparingly to avoid costly charges.
4. Bonus Offers
Many credit cards offer tempting sign-up bonuses like Airpoints Dollars, discounts, or cashback. But there’s a catch—you’ll usually need to meet spending requirements or be a first-time cardholder to qualify.
5. Terms and Conditions
We know, it’s not the most thrilling read, but understanding the fine print is vital. Hidden fees and surprises can be avoided by carefully reviewing the terms and conditions before you apply.
FAQ
1. What is a credit card?
A credit card allows you to borrow money from a bank or financial institution up to a pre-set limit in order to make purchases. You can either pay off the balance in full each month or carry it over, though if you carry a balance, interest will apply.
2. What are interest rates?
The interest rate is the amount a bank or credit card issuer charges on any unpaid balance on your credit card. It’s usually expressed as an annual percentage rate (APR), which can vary based on the card and your credit history. A lower interest rate means you’ll pay less for carrying a balance.
3. Does using a credit card in NZ mean I’m losing money?
Not necessarily! If you pay your credit card balance in full every month within the interest-free period, you won’t incur any interest charges. The key is to manage your spending and avoid carrying a balance to keep costs low.
4. Are NZ credit card rewards programs really worth it?
Credit card rewards can be worth it if you use the card responsibly. Rewards like cashback, travel points, or Flybuys can add up quickly. However, if you carry a balance and rack up high-interest fees, the rewards might not outweigh the costs. Be sure to choose a card with rewards that suit your spending habits and pay your balance off regularly.
Conclusion
At Find New Zealand, we aim to bring you the best options and information to help you make smart financial decisions. Choosing the right credit card can be a game-changer for managing your spending, earning rewards, or simply saving on interest rates. With so many great options available in New Zealand, it’s all about finding the card that fits your lifestyle and needs.
Remember, whether you’re after rewards, low-interest rates, or a straightforward card to keep your finances in check, the right choice will depend on your goals. Keep in mind the importance of reviewing interest rates, fees, and benefits before making your decision.
For more detailed comparisons and the latest insights on financial products, head over to Find New Zealand to explore a wealth of information tailored to Kiwis like you!
