Rates, fees, rewards: how Myer’s new credit card stacks up

With Christmas shopping season rapidly approaching Myer has become the first Aussie retailer to launch a rewards credit card that features both Android and Apple Pay services.

Currently being issued by Macquarie Bank, Myer’s Visa Card comes with a 20.69% interest rate, a 0% balance transfer rate for the first 14 months (before reverting to 20.69%) and 55 days interest free on purchases that are paid in full each month.

Myer has also made the card accessible by waiving the already modest $69 annual fee in the first year, provided you can get your hands on this piece of plastic by the end of 2017.

The card does come with some of the usual fees associated with rewards cards like the $35 late payment fee and the 3% or $5 cash advance fee.

What you’re probably wanting to know the most about, however, is how this rewards card will make the most of your retail spending habits.

The credit card now comes with an uncapped points feature and you’ll be racking these up at a rate of 1 Shopping Credit per every dollar spent at Myer and up to 3 per every dollar spent at its affiliates. This means that, according to Mozo’s Rewards Revealer, you’re looking at a net spend of $10,000 to nab yourself a $100 Myer gift card.

RELATED: Citi launches new bonus points offer on rewards credit cards

By launching this card, Myer has stolen a march on its competitors after last month it was revealed that fellow retail giant Woolworths is set to link its rewards card with digital payment platform, Apple Pay.

But how does this piece of plastic stack up to some of the other big retail credit cards on the market when in it comes to rates, fees and rewards?

Woolworths Everyday Platinum Credit Card

Rates

With the Woolworths Everyday Platinum Credit Card you will be paying a marginally smaller purchase interest rate of 19.99% and will be able to make the most of the same 55 day interest free period. As for the balance transfer rate, Woolies offers the same 0% for 14 months before reverting to the slightly higher cash advance rate of 21.99%.

Fees

With this credit card you’ll be paying a smaller annual fee of just $49 which, like the Myer Visa Credit Card, will be waived in the first year. You’re also liable for the same $35 late payment fee and a $5 or 3% cash advance fee.

Rewards

Similarly to Myer’s rewards card, you will be earning 1 point per every dollar spent on this card with double points for every dollar spent at Woolies or at any of its affiliates, like Dan Murphy’s or Big W. You’ll also get triple points when purchasing Woolworths Select brand items.

The big difference here is that, according to Mozo’s Rewards Revealer, you’ll need to spend an estimated $20,000 to be eligible for a $100 gift card whereas you’re only required to spend $10,000 for the same value gift card at Myer.

The points are also uncapped and never expire.

Coles Rewards Mastercard

Rates

Moving on to the Coles Rewards Mastercard, customers can expect to pay smaller interest rates with the purchase and cash advance rates sitting at 19.99%. You’ll also get an extra week as far as interest free periods go (62 days) but the balance transfer rate will only be at 0% for 6 months, compared to 14 months for the Myer card.

Fees

Right off the bat you’ll be paying more to get your hands on this rewards card due to the $99 annual card fee which has no special introductory offer. From there on however, the late payment fee is just $20 and there is a smaller minimum fee on cash advances of $1.95 or the usual 3%.

Rewards

With this card, you’ll be earning 2 flybuys points for every dollar spent with an additional bonus point available when you do the weekly grocery haul at Coles. Our Rewards Revealer therefore calculates that you’ll have to spend the same $10,000 to earn yourself a $100 Coles gift card.

These points too, are uncapped and never expire.

David Jones American Express Card

Rates

Last but not least, the David Jones American Express Card comes with a slightly higher purchase rate of 20.74% and just 44 days interest free, compared to Myer’s 55.

There is no balance transfer offer or cash advance rate with this card.

Fees

This rewards card has a heftier $99 annual card fee that you’ll have to pay from day dot but there’s a lower $30 late payment fee if you’re tardy with your repayments.

There is no cash advance fee with this card.

Rewards

Similarly to Myer’s Visa Card, the points you earn with this rewards card are uncapped and never expire and you can choose for them to go towards either David Jones’ Membership Rewards program or Qantas’ Frequent Flyer program.

If you choose the retail route, you’ll be able to earn 20,000 bonus Rewards Points by using this card outside of David Jones three times within the first month. After this, you can earn up to 3 points per dollar spent at a host of major Aussie retailers such as Woolworths, Coles, IGA, Caltex and Shell as well as 2 points per dollar spent at David Jones and 1 point everywhere else. 

All of this means that you’ll have to spend roughly $13,500 to earn a $100 gift card at David Jones, which is more than you would have to spend using your Myer Visa Card.

If none of these options take your fancy, head to Mozo’s rewards credit card comparison tables where you can sift through a range of options on the market to find the best value piece of plastic for your wallet ahead of Christmas.


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