Wanting to build some frequent flyer points on credit cards to put towards that dream holiday? This in depth guide will make the decision on frequent flyer credit cards much easier!

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With a sea of frequent flyer credit cards in this day and age it can be a daunting task with companies throwing their offers at you left, right and center. This guide will help you make an informed decision as I have sifted through all the fine print that will give you the best value for your money. I am not sponsored by any company so you can be assured by advice is unbiased.

Frequent flyer credit cards make up a huge market of the credit cards in Australia. Offers and special promotions are available all the time to try and get your hard earned dollar.

It is important to remember the fundamental rule of credit cards. If you can’t afford it don’t purchase it. Paying off your credit card each month IN FULL is the key to maximising your returns with frequent flyer credit cards. With an average of 20% interest on these cards, falling into the trap of purchasing items you cannot afford is a quick way of falling into debt. The companies that offer these cards don’t want you to pay off the card each month. They don’t make money from not charging interest.

A small note that there is no American Express on this list. I think American Express is not great value. High annual fees and surcharges higher than Visa and Mastercard on almost all purchases make any benefits of American Express worthless.

With that in mind, these are the best credit cards for frequent flyer points available currently.

Qantas Premier Platinum Mastercard Credit Card

Qantas Premier Platinum

The Premier Platinum Mastercard from Qantas is one of 2020’s best frequent flyer deals. With an offer of up to 120,000 Qantas Frequent Flyer points in the first 6 months, this card represents great value if you can meet the criteria.

Features:

  • 1.0 Qantas Point per whole AU$1 spend (up to and including AU$10,000)
  • 2x complimentary Lounge Invitations to Qantas Club or Qantas operated International Business Lounges
  • Save up to 20% on selected Qantas and Qantas Link domestic flights
  • Complimentary Travel Insurance
  • 6 months interest free on your first Qantas purchase

Sign Up Bonus:

  • Up to 120,000 Qantas Points. Earn 20,000 points per month when you spend $1,500 or more on eligible purchases per month, for a total of 120,000 points over the first 6 months. Offer extended to 26 February 2020.

Fees & Rates:

  • Annual Fee $299. Special offer – $199 for the first year. Offer available to approved cardholders who apply by 26 February 2020
  • Retail Interest Rate 19.99%
  • Cash Advance Interest Rate 21.99%
  • Interest Free Period of 55 days

This is a great deal for someone wanting to earn points on their everyday spends and flights. With a bonus 120k points on offer, this card is a great way to pay your bills to achieve the benchmark. Being Mastercard you aren’t going to be slugged additional transaction fees when purchasing your everyday goods. I recommend this card if you are a frequent traveler, as bonus access to the lounges and discounts on travel is a nice touch.

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Qantas Premier Everyday Mastercard Credit Card

The basic Qantas credit card also offers a lot of value to consumers. There is still bonus points up for grabs when you sign up, although not as many as the premier platinum card.

Features:

  • 0.75 Qantas Points per whole AU$1 spend (up to and including AU$3,000)
  • Complimentary Travel Insurance
  • Qantas Premier Concierge
  • 6 months interest free on your first Qantas purchase
  • Fraud protection of Mastercard Zero Liability

Sign Up Bonus:

  • Earn 5,000 points per month when you spend $1,000 or more on eligible purchases each month for a total of 25,000 points over the first 5 months. Apply by 26 February 2020

Fees & Rates:

  • Annual Fee $49. Special offer – $29 for the first year. Offer available to approved cardholders who apply by 26 February 2020
  • Retail Interest Rate 19.99%
  • Cash Advance Interest Rate 21.99%
  • Interest Free Period of 55 days

The budget Qantas Credit Card still provides some great features, especially the low annual fee. This card is perfect for people who don’t travel a lot but still want to accrue some points on their everyday purchases.

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Virgin Australia Velocity High Flyer Visa Credit Card

The Virgin Australia Velocity High Flyer credit card is the deal of choice for travelers wanting to maximise their Velocity points. With a great sign up offer this card offers great value for making the most of your next holiday.

Features:

  • Earn 1 Velocity Point per $1 spent on Eligible Transactions up to $8,000 each statement period, 0.5 Points per $1 spent thereafter
  • $129 Virgin Australia Gift Voucher each year and 2 complimentary Single Entry Lounge passes each year

Sign Up Bonus:

  • Earn up to 100,000 bonus Velocity Points. Receive 25,000 Points for each month you spend $3,000 or more on Eligible Transactions in the first 3 months from card approval (capped at 75,000 Points) and 25,000 Points after your first anniversary

Fees & Rates:

  • Annual Fee $289
  • Retail Interest Rate 20.74%
  • Cash Advance Interest Rate 20.99%
  • Interest Free Period of 55 days

The Velocity High Flyer card is the best value out there for Velocity Points if you are a frequent traveler with Virgin. The annual fee is a tiny bit cheaper than the comparable Qantas card, however the interest rate is slightly higher. If you are picking between the two, it going to come down to who you fly with more as to which card you pick.

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Virgin Australia Velocity Flyer Card

The budget Velocity card is a great way to build your Velocity points for your everyday purchases. There is still a great sign up bonus on offer as well so this card provides great value.

Features:

  • Earn 0.66 Velocity Points per $1 spent on Eligible Transactions up to $1,500 each statement period, 0.5 Points per $1 spent thereafter
  • $129 Virgin Australia Gift Voucher each year

Sign Up Bonus:

  • Earn up to 70,000 bonus Velocity Points. Receive 20,000 Points for each month you spend $1,500 or more on Eligible Transactions in the first 3 months from card approval (capped at 60,000 Points) and 10,000 Points after your first anniversary

Fees & Rates:

  • $64 for the first year, then $129
  • Retail Interest Rate 20.74%
  • Cash Advance Interest Rate 20.99%
  • Interest Free Period of 55 days

This card is very similar to the budget Qantas card. The annual fee is slightly higher on the Velocity card than its Qantas rival, and the points aren’t lowered after a certain amount on the Qantas card. If you are a Virgin traveler then this card can provide some value however overall the Qantas Premier Everyday provides better value overall.

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Final Thoughts

If you are after a frequent flyer credit card, the best value comes directly from the airlines. They simply are not matched for points offered and annual fees to the banks offers. American Express cards sometimes offer more points per dollar than the Visa and Mastercard options, however the downsides make the card not worth it.

It can be nice to be building frequent flyer points for your everyday purchases but it is important to remember that the cards are only there to profit the issuer. Paying off the card on time each month is the most essential tip for getting value out of the cards. Once you start paying interest it makes the cards financially not viable. Make sure you take advantage of the features on the premium credit card, else the higher annual fee is wasted money.

Got a credit card tip for our readers? What is some points hacks that can help get the best value out of the credit cards? Let us know in the comments below!

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