CommBank: Credit card spending back up in May
With social distancing restrictions easing and spirits lifting, it seems as though Aussie households are starting to see the light at the end of the COVID-19 tunnel.
According to new research from CommBank, both credit card and debit card spending are showing early signs of improvement the last two weeks.
Even though spending is still considerably down than from a year ago, consumer spending was up across a range of goods and services and all states and territories.
More specifically, online sales experienced the biggest spike, with online retail items up 110% compared to the same time last year.
RELATED: How to use your credit card effectively during COVID-19
“Our analysis offers a glimmer of hope that we may be past the lowest point in terms of people spending less,” said CommBank’s head of Australian economics, Gareth Aird.
“Although people are continuing to spend less, the rate of decline is slowing,” he said. “It looks to be the case that households have stepped up their rate of expenditure over the second half of April compared with the first half of the month.”
When asked what Aussies are spending their money on, household goods and furniture came out on top and was up by 35% over the fortnight ending May 1, 2020.
Perhaps not surprisingly, spending on non-retail goods such as travel, recreation and personal care has dropped, however its rate of decline has eased in the last fortnight.
RELATED: Get on top of debt! 4 smart ways to pay off your credit card
Aird said that although total spending in early May was still considerably lower than this time last year, the results surpassed mid-April 2020, which was down by almost 20% compared to last year.
“Our latest data comes before any easing of restrictions, so it may be that households are feeling more confident to spend at businesses that have not had to shut their doors. It also looks like households have been more eager to get online, click the mouse and fill up the virtual shopping basket,” said Aird.
More than 25% of Aussies dissatisfied with their credit card
But while some Aussies are getting back into the swing of things with spending, others may not feel the same way.
According to recent research by data analytics and consumer intelligence company J.D. Power, 27% of cardholders are unhappy with their current card, with 16% claiming it no longer meets their needs.
So, if you’ve been thinking about switching out your piece of plastic for a more suitable option, head on over to our credit card comparison or get started with the offers below.
Compare low interest credit cards - last updated 26 April 2024
-
NAB Low Rate Card - Balance Transfer Offer
Spend with confidence with a low 13.49% p.a. variable purchase rate and 0% p.a. interest on balance transfers for the first 28 months (T&Cs apply). 2% balance transfer fee applies. There’s also up to 55 interest free days on purchases to help you manage your budget better when you make minimum repayments. Minimum credit limit $1,000. No annual fee for the first year (usually $59).
Purchase rate
13.49% p.a.Balance transfer rate
0% p.a. for 28 months and then 21.74% p.a. (2.00% balance transfer fee)Annual fee
$59 $0 in the first yearCompareCompareLow Rate Card - Balance Transfer Offer
Spend with confidence with a low 13.49% p.a. variable purchase rate and 0% p.a. interest on balance transfers for the first 28 months (T&Cs apply). 2% balance transfer fee applies. There’s also up to 55 interest free days on purchases to help you manage your budget better when you make minimum repayments. Minimum credit limit $1,000. No annual fee for the first year (usually $59).
- Purchase rate
- 13.49% p.a.
- Balance transfer rate
- 0% p.a. for 28 months and then 21.74% p.a. (2.00% balance transfer fee)
- Annual fee
- $59 $0 in the first year
- Purchase rate
- 13.49% p.a.
- Intro purchase rate
- -
- Balance transfer rate
- 0% p.a. for 28 months and then 21.74% p.a. (2.00% balance transfer fee)
- Cash advance
- 21.74% p.a.
- Interest free days on purchases
- 55
- Intro fee
- 0.0
- Foreign exchange margin
- 3.00%
- Annual card fee
- $59 $0 in the first year
- Late payment fee
- $15.00
- Cash advance fee
- 3%, Min $3
Read our Mozo Review to learn more about the NAB Low Rate Card - Balance Transfer Offer
-
American Express Low Rate Credit Card
Competitive low rate with $0 Annual Fee. Offers Card Refund Cover and Card Purchase Cover. Must have no history of bed debt or payment default, be aged 18 years and over, and be an Australian citizen, permanent resident, or hold a long term visa.
Purchase rate
10.99% p.a.Balance transfer rate
No current offerAnnual fee
$0CompareCompareLow Rate Credit Card
Competitive low rate with $0 Annual Fee. Offers Card Refund Cover and Card Purchase Cover. Must have no history of bed debt or payment default, be aged 18 years and over, and be an Australian citizen, permanent resident, or hold a long term visa.
- Purchase rate
- 10.99% p.a.
- Balance transfer rate
- No current offer
- Annual fee
- $0
- Purchase rate
- 10.99% p.a.
- Intro purchase rate
- -
- Balance transfer rate
- No current offer
- Cash advance
- -
- Interest free days on purchases
- 55
- Intro fee
- -
- Foreign exchange margin
- 3.00%
- Annual card fee
- $0
- Late payment fee
- $30.00
- Cash advance fee
- 2%, min $2.50
Read our Mozo Review to learn more about the American Express Low Rate Credit Card
-
HSBC Low Rate Credit Card
Purchase rate
12.99% p.a.Balance transfer rate
0% p.a. for 12 months and then 25.99% p.a. (2.00% balance transfer fee)Annual fee
$99CompareCompareLow Rate Credit Card
- Purchase rate
- 12.99% p.a.
- Balance transfer rate
- 0% p.a. for 12 months and then 25.99% p.a. (2.00% balance transfer fee)
- Annual fee
- $99
- Purchase rate
- 12.99% p.a.
- Intro purchase rate
- -
- Balance transfer rate
- 0% p.a. for 12 months and then 25.99% p.a. (2.00% balance transfer fee)
- Cash advance
- 25.99% p.a.
- Interest free days on purchases
- 55
- Intro fee
- -
- Foreign exchange margin
- 0%
- Annual card fee
- $99
- Late payment fee
- $30.00
- Cash advance fee
- 3%, min $4.00
Read our Mozo Review to learn more about the HSBC Low Rate Credit Card
-
Australian Unity Low Rate Visa Credit Card
Purchase rate
9.90% p.a.Balance transfer rate
No current offerAnnual fee
$59CompareCompareLow Rate Visa Credit Card
- Purchase rate
- 9.90% p.a.
- Balance transfer rate
- No current offer
- Annual fee
- $59
- Purchase rate
- 9.90% p.a.
- Intro purchase rate
- -
- Balance transfer rate
- No current offer
- Cash advance
- 18.99% p.a.
- Interest free days on purchases
- 45
- Intro fee
- -
- Foreign exchange margin
- 3.00%
- Annual card fee
- $59
- Late payment fee
- $10.00
- Cash advance fee
- $5.00
Read our Mozo Review to learn more about the Australian Unity Low Rate Visa Credit Card
-
MOVE Bank Low Rate Credit Card
Purchase rate
8.99% p.a.Balance transfer rate
0% p.a. for 6 months and then 8.99% p.a.Annual fee
$59 $0 in the first yearCompareCompareLow Rate Credit Card
- Purchase rate
- 8.99% p.a.
- Balance transfer rate
- 0% p.a. for 6 months and then 8.99% p.a.
- Annual fee
- $59 $0 in the first year
- Purchase rate
- 8.99% p.a.
- Intro purchase rate
- -
- Balance transfer rate
- 0% p.a. for 6 months and then 8.99% p.a.
- Cash advance
- 12.99% p.a.
- Interest free days on purchases
- 45
- Intro fee
- 0.0
- Foreign exchange margin
- 2.00%
- Annual card fee
- $59 $0 in the first year
- Late payment fee
- $15.00
- Cash advance fee
- $5.00
Read our Mozo Review to learn more about the MOVE Bank Low Rate Credit Card
Your selected credit cards
Your selected credit cards
Your selected credit cards
Your selected credit cards
Your selected credit cards
^See information about the Mozo Experts Choice Credit Card Awards
Mozo provides general product information. We don't consider your personal objectives, financial situation or needs and we aren't recommending any specific product to you. You should make your own decision after reading the PDS or offer documentation, or seeking independent advice.
While we pride ourselves on covering a wide range of products, we don't cover every product in the market. If you decide to apply for a product through our website, you will be dealing directly with the provider of that product and not with Mozo.