CREDIT CARDS – AUSTRALIA

Over one-in-three Australian credit card holders rely on credit to make ends meet

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Original article by Roy Morgan
Market Research Update – Page: Online : 6-Nov-25

New research from Roy Morgan’s Single Source shows that the median annual personal income of Australian credit card holders is over $20,000 higher than non-credit card holders. Nevertheless, 36% of credit card holders leave part of their credit card debt unpaid at the end of each month; this equates to an estimated 2,440,000 Australians, or 11% of the adult population. Among the 2.44 million Australians who do not pay off their credit card each month, the median amount owed is $1,037. Those with greater ongoing living expenses tend to owe more, with more owed by mortgage payers ($1,342) and renters ($911) than by those owning their home outright ($787). Not only do credit card holders who have greater ongoing living expenses leave larger amounts unpaid on their credit card each month, but they are also more likely to have accessed buy-now, pay-later services in an average four weeks.

CORPORATES
ROY MORGAN LIMITED

Labor to ban debit card surcharges

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Original article by James Eyers, Lucas Baird, John Kehoe
The Australian Financial Review – Page: 1 & 18 : 15-Oct-24

The Reserve Bank of Australia will launch a review of payment costs for retailers, with the announcement of its review coming as the federal government flags its intention to ban debit card surcharges. A ban on these surcharges would impact many retailers, who currently pass them on to consumers; it is estimated that consumers are paying $1.5 billion annually on debit and credit card surcharges. The ban could be implemented from the start of January 2026, subject to consulation with the RBA, while the government will give the Australian Competition & Consumer Commission an additional $2.1 million to crack down on excessive surcharge fees.

CORPORATES
RESERVE BANK OF AUSTRALIA, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION

ANZ settles class action for $57.5m

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Original article by David Ross
The Australian – Page: 15 & 18 : 26-Mar-24

The ANZ Bank will pay $57.5 million to settle a class action brought by Phi Finney McDonald, with the law firm having alleged that the bank’s credit card had incorrectly charged customers. Phi Finney McDonald claimed the ANZ had told customers that they could pay repay as much or as little of the balance of their credit cards as they wanted, but did not warn them that if they did not repay the full balance that they would be charged interest against the full amount borrowed. The action was backed by Woodsford Litigation Funding, with the settlement due to be approved by the federal court in August.

CORPORATES
AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ, PHI FINNEY McDONALD PTY LTD, FEDERAL COURT OF AUSTRALIA

NAB backflips on outrageous credit card cash ban

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Original article by Charlotte Grieve
Brisbane Times – Page: Online : 1-Mar-22

It was recently revealed that the National Australia Bank was getting staff to encourage customers to use options other than cash payments in NAB branches when making credit card payments. It denied that the policy amounted to a ban on cash payments in branches, but internal training documents suggest otherwise. However, following an angry reaction from NAB customers and staff, the NAB has done a backflip on its credit card cash ban, which had been described as "outrageous" by the Finance Sector Union.

CORPORATES
NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, FINANCE SECTOR UNION

NAB backflips on outrageous credit card cash ban

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Original article by Charlotte Grieve
Brisbane Times – Page: Online : 1-Mar-22

It was recently revealed that the National Australia Bank was getting staff to encourage customers to use options other than cash payments in NAB branches when making credit card payments. It denied that the policy amounted to a ban on cash payments in branches, but internal training documents suggest otherwise. However, following an angry reaction from NAB customers and staff, the NAB has done a backflip on its credit card cash ban, which had been described as "outrageous" by the Finance Sector Union.

CORPORATES
NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, FINANCE SECTOR UNION

Westpac insurance sales misleading: ASIC

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Original article by Jonathan Shapiro
The Australian Financial Review – Page: 18 : 9-Apr-21

The Australian Securities & Investments Commission is taking legal action against Westpac in the Federal Court. ASIC claims that Westpac mis-sold credit card insurance to customers who did not want it, with more than 380 customers affected in a four-month period between April and July 2015. Westpac has stated that it will work with ASIC constructively through the court process, and that it has not sold credit card insurance since 2019. Credit card insurance came under scrutiny during the Hayne royal commission, and the big banks have stopped selling the product.

CORPORATES
WESTPAC BANKING CORPORATION – ASX WBC, AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION, FEDERAL COURT OF AUSTRALIA

Spending holds up despite outbreaks

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Original article by Patrick Commins
The Australian – Page: 4 : 7-Jan-21

Spending by ANZ cardholders increased by 6 per cent in December over November, with spending by Victorian cardholders up nearly five per cent and spending in New South Wales up two per cent. Spending by South Australian cardholders rose by 16 per cent, while Queensland spending was up 10 per cent. Spending on entertainment was up almost 25 per cent, while spending on accommodation was up 20 per cent.

CORPORATES
AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ

Kogan launches Visa card and $300 credit offer

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Original article by Sue Mitchell
The Australian Financial Review – Page: 17 : 3-Oct-19

Online retailer Kogan.com has partnered with Citigroup to launch a Visa-branded credit card. The Kogan Money card has no annual fee and a 55-day interest-free period, while cardholders will receive free membership of the Kogan First customer loyalty scheme. Kogan announced the alliance with Citigroup in November 2018, and flagged plans to launch a credit card during 2019. Kogan has previously diversified into products such as superannuation, home loans and mobile phones.

CORPORATES
KOGAN.COM LIMITED – ASX KGN, CITIGROUP PTY LTD, VISA INTERNATIONAL, UBS HOLDINGS PTY LTD

Banks should explain credit card fine print

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Original article by Tom McIlroy
The Australian Financial Review – Page: 3 : 20-Aug-19

Research involving almost 400,000 Commonwealth Bank of Australia credit card users suggests that there are benefits to be had by being more transparent with customers. Harvard researchers found that CBA customers who were provided with more transparency about their credit cards spent 9.9 per cent more each month, and were much less likely to cancel their accounts. In announcing the results of their study, authors Ryan W. Buell and MoonSoo Choi called for more research into transparency and customer engagement.

CORPORATES
COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, HARVARD UNIVERSITY

Qantas goes after slice of frequent buyers’ credit card spending

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Original article by Patrick Hatch
The Sydney Morning Herald – Page: Online : 13-Feb-19

Qantas has launched a new Titanium credit card that will be offered solely to customers whose annual income exceeds $200,000. Qantas Loyalty CEO Olivia Worth notes that the airline’s top 1000 loyalty scheme members generate most of their frequent flyer points from expenditure on goods and services rather than flights. Qantas’s customer loyalty partners include Woolworths, AustralianSuper and Red Energy.

CORPORATES
QANTAS AIRWAYS LIMITED – ASX QAN, QANTAS FREQUENT FLYER LIMITED, WOOLWORTHS LIQUOR, AUSTRALIANSUPER PTY LTD, RED ENERGY PTY LTD