There are no annual fee cards, low interest rate cards, and rewards credit cards to consider and each one has its benefits. This is why our comparison tables are set up so that you can compare similar credit cards, their features and key benefits side by side. Click on the filter to see all the flavours of cards that are available to compare on Mozo.
What’s the difference between the purchase rate and the balance transfer rate?
The purchase rate of the card is the interest rate you will pay for purchases that you make on your credit card. It will be applied to any balance not paid back in full by the due date of your credit card statement.
A balance transfer rate will only apply to you if you are transferring a credit card balance from another bank’s credit card, to the new credit card.
What digital credit card options are available?
In addition to smartphone payment options like apple pay, google pay and samsung pay, some banks have digital wallet apps which means that you won’t have to use a physical card at all.
There are even wearable options now available so all you have to do is swipe a ring, fitness tracker or watch at the payment terminal.
Is it better to have a credit card with the same bank as my everyday bank account?
No, you should choose a credit card that suits your needs. And the great thing about banking in Australia is that you’ve got lots of credit card providers to choose from. Before online banking and instant payments, it might have been convenient to have some of your banking products bundled with the same provider, but these days you can use online banking anytime of the day or night so you can pay your credit card bill, check your statement and transfer money between accounts instantly.
How do I apply for a credit card online?
The process for applying online is easy, and convenient as you can do it at a time that suits you, not the opening hours of the bank - you could even get same day approval. If you are not an existing banking customer with the chosen credit card provider you will likely need to prove your identity and provide some information on your financial situation.
Once you have found the right credit card offer for you on Mozo, you can click on the Go to Site button where we connect you directly with the credit card provider so that you can apply straight away.
Page last updated February 18, 2020
Credit card comparisons on Mozo - rates updated daily Mozo has robust processes to ensure our site is updated to reflect the latest information from providers. There may be the odd occasion where updates are delayed, so please confirm information before purchasing.
With a low interest rate, no annual fee and, if per account, you meet the eligibility criteria, no ING International Transaction Fees when you shop overseas or online. Automatic repayments from eligible ING accounts.
Virgin Money Virgin Australia Velocity Flyer Card - Balance Transfer Offer
Get in the air with a $129 Virgin Australia Gift Voucher each year. Earn 3 extra Velocity points per $1 spent on top of the standard earn rate for the first 3 months (capped at 10,000 points per month. 0% p.a. for 22 months on balance transfers.
Receive 100,000 bonus Qantas Points when you apply online by 14 April 2020, are approved and spend $3,000 on your new Card within the first 3 months. New Card Members only. Credit Card Provider of the Year in the Mozo Experts Choice Awards 2019.^ T&C’s apply
0% p.a.for 12 monthsand then 20.74% p.a.(1.00% balance transfer fee)
0% p.a. on balance transfers for 26 months (2% BT fee applies). Streamline your budget with a low ongoing interest rate of 12.99% p.a. Plus, enjoy complimentary overseas travel insurance as well. T&Cs Apply
0% p.a.for 26 monthsand then 12.99% p.a.(2.00% balance transfer fee)
Earn up to 1.75 Velocity Points. Have limited stress with the Velocity Escape with no annual fees and receive 0% p.a. on balance transfers for the first 12 months, a one-off credit plan establishment fee of 1% applies. Credit Card Provider of the Year in the Mozo Experts Choice Awards 2019.^ T&C’s apply
0% p.a.for 12 monthsand then 20.74% p.a.(1.00% balance transfer fee)
0% p.a. interest on purchases for the first 6 months, plus a low ongoing rate after that mean you can spend with confidence. There's also up to 55 interest free days on purchases to help you manage your budget better.
0% p.a.for 6 monthsthen 13.99% p.a.
0% p.a.for 6 monthsand then 21.74% p.a.(2.00% balance transfer fee)
Receive 50,000 bonus Velocity Points when you apply online, are approved, and spend $3,000 on your new card in the first 3 months. New Card Members only. Enjoy a complimentary domestic return flight with Virgin Australia to selected cities, each year after your first card spend. Credit Card Provider of the Year in the Mozo Experts Choice Awards 2019.^
0% p.a.for 12 monthsand then 20.74% p.a.(1.00% balance transfer fee)
This card boasts no annual fee and the option to pay with the Bankwest Halo payment ring. Plus, with no foreign transaction fees and complimentary travel insurance its a great pick for spending on your globetrotting adventures. Winner of a Mozo Experts Choice Award 2019 in the No Annual Fee Platinum Credit Card category^.
Option overload, it’s definitely a thing in the modern world, especially if you’re thinking of getting one of these puppies.
So, how do you find the best deal on a credit card? Did you know there are more than 200 credit card choices on the Australian market? Look, so, so many. Low interest rate, low fee, balance transfer, rewards. With all those options finding the card that’s right for you can be really hard work. Luckily there’s a place where you can save all that time and effort and see and compare a bunch of different options.
Depending on your financial circumstances, you may want a low rate card to keep your payments manageable, a card with flyer rewards to help you on your big escape, or other platinum perks, like concierge or travel insurance. It could be handy if you need it. Balance transfer cards with a 0% transfer rate help you get a handle on expensive credit card debt. Or, if you pay out your balance each month, a card with no annual fee to help keep costs down.
With so many options out there, doing the research to find the credit card that’s right for you will be worth it.
Head to Mozo.com.au to find out how you can get the best deal on your credit card.
As mentioned above, there's plenty of choice when it comes to choosing a credit card. So check out our list of card types below to decide which plastic is worthy of a spot in your wallet:
Balance transfer credit card: Have you racked up some debt on your current plastic? Then you could apply for a balance transfer credit card that allows you to roll your existing debt over to a new balance transfer card with a zero percent interest rate. However, the same principle applies as with an intro rate credit card, as the 0% balance transfer rate offer will only be available for a set period of time from 3 to 24 months depending on the card. If you still have debt to repay after this period the rate will revert back to the standard purchase rate or even the cash advance rate, which can be as high as 23% (ouch). So make sure you work out how much you will need to repay each month, using Mozo's credit card debt payments calculator, to ensure you blast the debt within the balance transfer term. Also be aware that the balance transfer rate only applies to the existing debt you transfer to the card, not to any new purchases you make using the card, and that if you have taken advantage of a BT offer to transfer debt, you won't get the advantage of any interest free days on new purchases until your balance is completely paid off. For this reason balance transfer credit cards are often best used only to pay off an existing debt, not for new spending.
Low interest rate credit card: If you're the type of person who sometimes carries a balance on your card rather than paying it off in full every month, a credit card with a low interest rate (starting from below 10% and definitely no higher than 14%) could be on your shopping list. That way, if you do have the odd big expense like a holiday or a big ticket purchase that you need a couple of months to pay off, you won't be hit with an excessive interest rate for the privilege. Low interest rate cards generally don't come with frills like rewards programs, travel insurance or other perks, but with the average credit card rate stuck above 17% they are significantly cheaper pieces of plastic. While most low interest credit cards require you to pay an annual fee, it will generally be much lower than an annual fee for a fancier platinum or rewards card, and the cost of the annual fee is likely to be far lower than paying a high interest rate on your spending each month.
Interest free credit card: If you intend to purchase some big ticket items in the near future and need some breathing space to pay them off, you could opt for a credit card with a zero interest “honeymoon” period. Interest free credit cards usually mean you'll get a 0% interest rate on purchases for an introductory period of anywhere between 3 - 12 months, however once the intro term has come to an end the purchase interest rate will then revert to a higher rate. So if you go for an intro rate card make sure it not only has a competitive “honeymoon” rate but a low revert rate as well. That said, interest free credit cards are generally well-suited to conscientious spenders who can commit to paying off their purchases before the interest free period ends and who won't be tempted by the 0% rate into buying more things than they really need.
No annual fee credit card: If you're someone who really only uses your credit card as a convenient payment method, doesn't value perks like rewards programs and diligently pays off your card balance in full each month, your credit card match could be a no annual fee credit card. You won't need to ensure the interest rate is also ultra-low, because there's no need to worry about being hit with interest when you pay your credit card bill in full and on time each month. There are some no annual fee credit cards on the market that do offer rewards programs and other perks, but for the most part these cards are no frills options suitable for those who don't want to have to pay a fee for the privilege of owning a credit card.
Rewards credit cards: Looking for a card that lets you earn rewards points on your spend? Then you're in the market for a rewards credit card. Rewards cards can either be directly linked to frequent flyer programs to let you earn Qantas Frequent Flyer, Virgin Velocity or other airline points on your spend, or they can be linked to a more general rewards program that lets you earn and redeem points for everything from gift cards to discounts on retail purchases to travel. The downside to rewards credit cards is that they generally come with higher annual fees and higher interest rates than no frills credit cards. This means you'll need to be sure that you'll earn and redeem enough rewards each year to make up for the annual fee and you'll also need to pay off your credit card balance in full each month to avoid interest charges that could negate the value of the rewards. Use Mozo's Rewards Revealer tool to find the perfect rewards card for your spend.
Platinum credit cards: Want to supersize the amount of rewards you can earn and the freebies you gain? A platinum credit card generally comes with all the perks of a standard rewards card but just more of them, as you'll typically gain bigger bonus points, more rewards points per dollar spent, exclusive entertainment offers and of course more privileges like inbuilt travel insurance, concierge and purchase protection. The catch to all this is higher interest rates and fees, so platinum cards are really suited to people who never miss a payment and always pay their balance in full each month. You'll generally need to meet some strict lending criteria to get a piece of platinum plastic in your wallet, like a minimum income amount, and in any case you'll likely need to be a big spender to be able to earn enough rewards to offset the higher annual fees that come with platinum cards.
Travel credit cards: Holidaying overseas is expensive enough with everything from flights to accommodation to factor into your budget - so don't add pricey currency conversion fees to that list! By searching Mozo's travel credit card hub for some plastic specifically designed for overseas use, you could save yourself big bucks. Let this example speak for itself: Say you went overseas with a standard credit card and spent $5,000 on the card, a currency conversion fee of 3% would set you back $150. But if you searched the travel money market for a competitive deal with no foreign exchange fee, you could keep that $150 in your pocket.
Whether you're a no frills kind of borrower or a big spender looking to rack up rewards points, you should always compare the credit card market to ensure you sign up with the right deal for you. Here are some features to look out for:
Interest free days: As the name suggests, your interest free days is the amount of time you will pay no interest on your purchases, which is usually 44 or 55 days and starts at the beginning of your statement period and ends on your credit card due date. Big catch coming up: If you fail to pay off your statement balance in full by the due date, you will no longer receive those interest free days for your next statement period. To start receiving interest free days again, you'll need to reduce your balance back down to zero first.
The best way to ensure you never miss a credit card monthly payment is to set up a direct deposit from your bank account to your credit card provider, so you can clear your balance in full by the due date each month and continue to enjoy interest free spending during the next period.
Complimentary insurance: As mentioned above, many reward and platinum credit cards come with some great complementary features including:
Overseas travel insurance: With inbuilt travel insurance you can save yourself the headache of searching for a good travel insurance deal and of course the cost of a standalone policy. But keep in mind that to activate the complimentary travel insurance, card providers often require you to pay part of your travel expenses on the card and have a return ticket (You can find the provider’s specific conditions in their product disclosure statement).
Purchase protection: If you’re a big spender who makes big purchases on a regular basis, purchase protection is probably a credit card feature that you should look for. The insurance works by protecting you for a set timeframe after you have made a purchase (around 90 days) against theft, accidental damage or may even cover you if you have lost the item.
Extended warranty: When you purchase a big ticket item, it will usually come with a warranty but did you know some rewards and platinum credit cards offer complimentary extended warranty insurance? This means that your precious goods will be covered for an extended period. Just keep in mind, to be eligible for the extended warranty, you will need to make the purchase on your credit card.
Price protection: Retailers are constantly slashing prices, so while you may purchase an item for $1,000 you could come back just a few weeks later to find it is now just $700. That’s where price protection insurance could save you big bucks by refunding you the difference as long as you’ve used your card for the original purchase.
Card scheme: When you start looking for a credit card you will find there are three main schemes to choose from - Mastercard, Visa or American Express. But will choosing one from the other make a difference to your experience? Here's a quick comparison:
Zero liability policy: All schemes come with protection from unauthorised transactions, so if someone has fraudulently charged purchases to your card you should be able to get your money back as long as you haven’t been careless with your card or PIN.
“Tap and go”: You can make contactless payments for purchases under $100 with VISA Paywave, Mastercard PayPass or AMEX Contactless.
Worldwide access: Both Mastercard and Visa have large worldwide access at over 30 million locations. While we couldn’t find a statement by AMEX confirming the exact number of worldwide locations where AMEX cards are accepted, AMEX is generally known to have less locations than Mastercard and Visa.
Rewards points and freebies: While the card scheme doesn’t necessarily determine the rewards and features you receive - as the individual bank or card provider will decide on the offerings - standalone AMEX cards issued directly by AMEX generally have more generous rewards programs than bank branded AMEX, Mastercard and Visa cards. But we suggest if rewards points are high on your priority list, one great way to decide between the three is to punch in your details into our rewards revealer.
Surcharge fees: Whether you’re picking up the groceries from the local shops or filling up at the bowser, you probably have been charged a surcharge fee for paying with a credit card at some point. This is because the merchant has to pay a fee to their bank to access the card scheme, which the merchant then decides to pass onto you. While merchant service fees for Mastercard and Visa are generally quite similar, AMEX is known to charge higher fees to merchants, thus the merchant may pass on a higher surcharge to the customer. Luckily, new rules have come into force in Australia banning excessive surcharges on credit card transactions.
Credit cards are a great convenience, as they allow you to spend in-store, online and overseas and take advantage of features like interest free days and rewards points, but this convenience can come at a price. So watch out for these fees that could end up costing you big bucks:
Annual fee: Each year you may be charged a fee for using the credit card, which could be anywhere from $0 to $700. If you're paying a high annual fee, you should make sure it is worth your while with generous rewards points and other perks that you can make regular use of like international travel insurance. But if you're a no frills type of person who pays your credit card bill on time each month and doesn't use credit card perks like rewards, there's no reason you should be forking out money for an annual fee. Look for a no annual fee credit card instead.
Cash advance fee: Withdrawing cash on your credit card is a major money drain, as you will not only be charged the cash withdrawal fee (usually a percentage amount around 3% of what you withdraw) but will also incur a high cash advance rate that can soar over 20%. And unlike purchases, interest free periods don't apply for cash advances so you'll be charged interest from the day you make the cash advance until the day you clear your credit card balance.
Overseas currency conversion fees: If you regularly jetset overseas, a standard credit card could see your overseas travel money bills soar, as every time you spend on the card you could be hit up with a pricey currency conversion or foreign exchange fee which can be anywhere between 0%-4%. So when you're planning your next international vacay, search Mozo's travel credit card section for some plastic that has low or no foreign currency conversion fees whatsoever.
Late payment fee: When you don't pay your balance by the due date you could be hit up with a late payment fee of around $10-$30 on top of the interest charged. So as suggested above, set up automatic repayments so you never miss the due date.
Ah, the age old debate of plastic versus personal loans. The obvious benefit of a credit card is it provides you with the flexibility to pay as you please, but that flexibility can come at a cost with the standard credit card interest rate sitting at a hefty 17%. That's not a problem if you are able to pay off the card in full each month and thus avoid the interest charges, but as soon as you do rack up credit card debt it takes discipline to pay it off.
This brings us to the second problem with credit cards, which is that they don't come with an enforced repayment plan. In fact, the minimum monthly repayment on a credit card is generally around 2% - 3%, and if you only ever pay that each month it could take you decades to pay off your credit card debt!
For those who don't have the financial discipline and commitment to paying down credit card debt as fast as they can, a personal loan can be a good alternative, particularly for big ticket costs or purchases that may be impossible to repay within a 55 day interest free period.
A personal loan allows you to borrow a lump sum and pay it back over a set time frame (typically one to seven years) at a lower interest rate of around 10%. The monthly repayments are designed to actually pay off the whole loan over that period, and some personal loans also let you make extra repayments to pay it down even faster if you can afford to.
Personal loans can also be useful tools for debt consolidation, where you consolidate multiple credit card debts into a single personal loan at a lower interest rate to save on interest and reduce the stress and headache of multiple credit card bills all requiring payment.
Ready to start comparing? Our credit card comparison table at the top of the page can help you see some great-value deals in the market right now and comparing on the features that are most important to you, whether that be low interest rates or 0% balance transfer offers or rewards programs. Once you've found a card offering a great deal on the feature most important to you, be sure to check the other features of the card to make sure you're not going to get stung by a huge annual fee or a hefty purchase rate.
Alternatively you can use our credit card search tool to punch in your details for a personalised search result. And if you're looking to save on interest by switching from your current card to a card with a lower rate, our Switch & Save Calculator will show you how much you could save by finding a cheaper card.
There are two main things you will usually need to apply for a credit card in Australia:
1. Identification: The bank or credit card provider will ask for details of your identification like your Australian driver's licence number. You will also need to be an Australian resident and usually over the age of 18.
2. Financial details: They'll also want to know details of your employment and how much you earn. Each provider will have their own income requirements, for example if you're applying for a basic credit card you may only need to earn a minimum of $15,000 each year, compared to a premium card that will have a higher income requirement of generally over $65,000 per annum.
Credit card providers can, and commonly do, reject applications for a number of reasons. When assessing your application, the provider will take into account a number of factors including your job stability, earnings, expenses and credit history. Any of these areas can be grounds for rejection, as can other more basic issues such as not meeting citizenship or residency requirements, being under the minimum age limit and not earning enough to meet the minimum income requirement for the card.
A card provider may also reject your application if you've applied for several credit cards in a short space of time, as this may indicate that you are struggling financially. To maximise your chance of being approved, don't apply for a credit card without first checking that you can meet the application requirements and don't apply for a credit card unless you seriously intend to use it.
Finally, even something as simple as entering incorrect information on your application can be grounds for rejection, as a something like an incorrectly entered driver's licence number for instance can make it difficult for the card provider to verify your identity. Always read over your application before you submit it and double check that all the information you've entered is correct.
If you've been rejected for a credit card, don't make the problem any worse by immediately applying for another card. This could more than likely add another black mark on your credit record, as any credit card rejection will show up on your report.
The first thing to do is get in touch with a credit bureau to request a copy of your credit report. This will tell you if your credit rating needs improving, or if there are any mistakes on your report that could have led to your rejection. If your credit rating is less than stellar, make a plan to try and improve it. This could include consolidating outstanding loans or cards into a debt consolidation loan to help you pay off the debt faster. If you've spotted an error on your report, you can contact the credit agency to try and get it fixed.
The other area to review is your monthly expenses. See if there are big expenses you can cut down and set a simple budget to try and reduce your everyday spending.
Once a bit of time has gone by and you've been able to fix some of the above issues, you could try applying for another credit card again. Just because you've been declined once doesn't necessarily mean you will always be declined.
Kelly Emmerton is the Money Editor at Mozo, and has over 4 years experience writing exclusively in the Australian finance space. Her in-depth knowledge spans all areas of personal finance, from home loans to travel money, and she leads our team of money writers in helping to demystify personal finance for everyday Australians. Kelly has a background in communications and when she’s not delving into finance industry stats and product disclosure statements, you’ll find her on the beach reading classic sci-fi.