Is the new Qantas Frequent Flyer Diners Club card worth hopping about?

Diners Club have launched a new Qantas Frequent Flyer card with a World MasterCard combo. There are already a number of rewards cards available that are linked to the Qantas frequent flyer program, so we took a closer look to see if it’s worth hopping on board this new offer from Diners Club.

The rewards scheme
The Frequent Flyer Diners Club card is clearly peacocking with its impressive rewards scheme offer. The card has one of the most most generous Qantas point offers. You’ll get 1.5 rewards points per dollar spent for the first $60,000 every year and then 1.25 points for every dollar after $60,000. Most other cards only offer 1 point for every dollar spent. And don’t forget this card comes with all of the Diners Club perks such as access to hundreds of airport lounges worldwide, travel insurance and discounted limousine services.

Why the MasterCard combination?
In addition to the straight Diners Club Card, you’ll also get a Diners Club Card with World MasterCard. This means if the retailer doesn’t take Diners (though you’ll find around 15 million businesses and 800,000 ATM’s that do) you can charge your purchase to the MasterCard. However, the rewards you’ll earn on MasterCard are not quite as generous with 1 point to every $1 spent before $60,000, and 0.75 rewards points per a dollar after $60,000.

Is there a catch?
The catch with the Frequent Flyers Diners Club card is the $260 annual fee. If you were to spend an average $16,000 on your card you would earn around $245 worth of Sydney to Melbourne flights, leaving you $15 shy of the annual fee and that’s presuming you make all your purchases on The Diners Club Card. It gets even more pear shaped when you charge to MasterCard.

The picture does change slightly if you spend over $60,000 where the Qantas Diners Club Card would earn $919 in Sydney to Melbourne flights, leaving you $659 ahead after deducting the annual fee.

Also to be taken into consideration is the fact that the Diners Club is a charge card not a credit card, meaning you not only need to spend big to gain on the rewards but you also need to repay big at the end of every month.

How does the Qantas Frequent Flyer Diners Club card compare?
Other cards may not have the impressive points rewards scheme (most just 1 point to every dollar spent) but if you pick one with no annual fee, all the points you earn will go straight into your pocket and if you spend less than $60,000 a year there are alternatives where you could earn greater rewards in comparison.

For average spenders the best card right now for Qantas frequent flyer points is the Qantas American Express Discovery Card  which earns 1 Qantas frequent flyer point per a dollar spent, but has no annual fee. So for the same scenario as above, this card earns $163 worth of flights.

Here’s a look at 5 alternative options we found for QANTAS Frequent Flyer cards, for the more modest spenders out there.

Card Provider Points Per Dollar Spent Total Annual Fee Rewards value minus fees
Based on an annual spend of $16,000
*Qantas American Express Discovery Card 1 point / $1 $0 $163
*Westpac Earth 1 point / $1using AMEX 0.5 point / $1 using MasterCard $75 $88
*ANZ Frequent Flyer Credit Card 1 point / $1 using AMEX0.5 point / $1 Using Visa $95 $68
*Bankwest Qantas Frequent Flyer Credit Card 1 point / $1 $99


The verdict?
The new Frequent Flyer Diners Club card with World MasterCard is a good card for those who have a jet setting lifestyle that will see them make the most of the Diners Card program privileges and fly with Qantas. This card delivers more value in Qantas rewards if you have higher spending habits than the average card user.

Is the new Qantas Frequent Flyer Diners Club card worth hopping about? was last modified: November 26, 2012 by Kevin Boyle

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