Yahoo Finance Qantas frequent flyer points: Top hacks to maximise your balance
International is back on the agenda, and so are frequent flyer points.
As international travel picks up following the setbacks of the COVID-19 pandemic, frequent flyer points are back in the spotlight.
While air travel remains the classic way to rack up these points, credit cards have become an increasingly popular and convenient alternative. Here’s a rundown of the quickest ways to accumulate Qantas frequent flyer points and how to get the most bang for your buck.
The resurgence of credit cards in Australia
Since April 2022, there has been a noticeable uptick in the Australian credit card market, with more than 285,000 new cards hitting the streets. Financial institutions are seizing this opportunity by offering highly competitive deals, making it an excellent time for Aussies to grab some attractive offers.
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As Qantas dominates the frequent flyer landscape in Australia, we'll focus primarily on cards that are part of the Qantas rewards program. For a broader look at cards from various providers, you might want to check out Finder.
The key metrics: Earn rate and bonus points
When you're in the market for a new credit card, two key elements should guide your decision: the rate at which you earn points and the welcome bonus on offer.
Currently, the Qantas American Express Ultimate Card is leading the charge, boasting an earning rate of 1.25 points for every dollar you spend, along with a 75,000-point welcome bonus. In contrast, the ANZ Frequent Flyer Black card offers an impressive 110,000 initial points bonus but lags a bit with an earning rate of just 1 point per dollar.
Top picks for 2023: Qantas frequent flyer credit cards
1. Qantas American Express Ultimate card
Points per Dollar: 1.25
Bonus Points: 75,000
Annual Fee: $450
Interest rate: 23.99 per cent
Additional Perks: $450 Annual Travel Credit
Why It's a Winner: Best for frequent travellers due to its high earn rate and generous travel credit.
2. ANZ Frequent Flyer Black
Points per Dollar: 1
Bonus Points: 110,000
Annual Fee: $425
Interest rate: 20.49 per cent
Additional Perks: $100 Cashback on $5,000 Initial Spend
Why It's a Winner: Ideal for those looking for a quick points boost.
3. Qantas Premier Platinum
Points per Dollar: 1
Bonus Points: 80,000
Annual Fee: $349 (first year), $399 thereafter
Interest rate: 19.99 per cent
Additional Perks: 0 per cent Interest for 12 Months on Balance Transfers
Why It's a Winner: A balanced option for newcomers.
4. Qantas American Express Premium card
Points per Dollar: 1
Bonus Points: 30,000
Annual Fee: $249
Interest rate: 23.99 per cent
Additional Perks: Two Qantas Club Lounge Invitations, Travel Insurance
Why It's a Winner: A well-rounded card with travel perks.
5. ANZ Frequent Flyer Platinum
Points per Dollar: 0.75
Bonus Points: 75,000
Annual Fee: $295
Interest rate: 20.49 per cent
Additional Perks: $100 Cashback on $2,500 Initial Spend
Why It's a Winner: Budget-friendly with decent rewards.
6. Qantas American Express Discovery card
Points per Dollar: 0.75
Bonus Points: None
Annual Fee: $0
Interest rate: 0 per cent for 12 months, then 23.99 per cent
Additional Perks: None
Why It's a Winner: A no-fee, no-frills card for beginners.
Your credit card earn rate remains the most critical factor in the long run, followed by the sign-up bonuses. Given the high interest rates of these cards, it's imperative to be able to clear your balance each month to avoid a potential debt trap. If you can, however, there are bountiful points available which can return great value - if you spend them wisely.
Making the most of your points
Once you've chosen your card and started accumulating points, the next step is to maximise their value. However, the value of a Qantas Point can vary significantly depending on how they are used. Finder crunched the numbers, looking at various ways of spending your points:
Best ways to use your points
1. Flight upgrades: 2 to 8 cents per point
2. Business class flights: 3.5 to 6.5 cents per point
3. Premium flights: 3 to 4 cents per point
4. Economy flights: 1.3 to 2.5 cents per point
5. Hotels or car rentals: 0.65 to 0.85 cents per point
6. Gift cards or products: 0.3 to 0.6 cents per point
7. Charity donations: 0.7 to 0.8 cents per point
Rewards flights themselves are very difficult to come by because airline capacity is still lower than usual, so flight upgrades are currently the best way to maximise the points you earn.
If managed wisely, these cards can offer a lucrative way to enhance your everyday spending and travel experiences. So, as we navigate 2023, make your points work for you, not just in the air but on the ground as well.
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