No International Transaction Fees on Commbank Platinum and Diamond Credit Cards - AMEX only.
From 1 July 2017.
No International Transaction Fees on Commbank Platinum & Diamond AMEX Cards
151
dK69 on 10/05/2017 - 20:55 commbank.com.au (1692 clicks)
Last edited 11/05/2017 - 11:51 by 1 other user
Last edited 11/05/2017 - 11:51 by 1 other user
Related Stores
closed Comments
Im pretty bummed about the points being reduced for everything apart from Supermarket & petrol stations.
Ill have to bring the MasterCard back to the front of the wallet nowSame. My MC rarely gets any love.
Sorry, I rarely neg a post.
The new CBA AMEX point earn program really sucks. Waving international transaction fee only make less sucks.
They reduced the domestic points. You still get 3 points per dollar for online shopping I believe.
Incorrect
@aussman:
You are right, its not all online. You get 3 points for international transactions. So if you use it at say Amazon it should work.
Do you have a link to this? :S
I got the notice in the mail, but the website displays the info now:
https://www.commbank.com.au/personal/credit-cards/awards/dia…Earn up to 3 Awards points for every dollar spent^
^ Points are earned on eligible transactions and are subject to points capping. From 1/7/17, you'll earn maximum points per $1 spent when you use your American Express card for eligible transactions overseas and at supermarkets, department stores and petrol stations in Australia; and 0.5 points per $1 spent using your American Express card everywhere else. Refer to the CommBank Awards Program Terms and Conditions for more information
Pretty devo about this
Same with Bankwest Platinum cards.
And that's without annual fee.
Have had mine for 7+ years. Great for travel and buying tickets in overseas currency.I have same card but can't earn points through this card unless you pay fee for it.
I can live with that.
The ones with points either charge an annual fee, or do not have fee-free currency conversion. When they charge conversion rates, it's usually 3%, which is more than the earn rate of points. Annual fees are usually around >$250+, which is more than I would earn on points for international purchases.
I use a different card (fee-free with points) for domestic purchases.
yep but 0.5points/$
So crap. I only got the Amex for the extra points earned ;(
Zero fee is meaningless if exchange rate sucks.
And typically merchants have a surcharge for AMEX, which is the extra they would otherwise be charged.
I find it very rare that Amex is surcharged, and of those that do many (not all) also surcharge Mastercard too.
Probably 95% of my purchases nowadays are on Amex without any surcharges being applied. Only big two I can think of that would hit me that I go to even semi frequently would be JB Hi Fi and Aldi. The later surcharges all credit cards as well as contactless debit card transactions however. I'm more likely to find the store doesn't accept Amex than they apply a surcharge to the payment, and I don't find that to be as common as some make out.
Joking surely, there is widespread surcharging of all cards (beyond supermarkets and servos) and the Amex surcharge, between 3% and 4%, is typically double or more the Visa/MC surcharge. This is allegedly going to change under the new interchange rules, we'll see .. :-( .. !!
@smigit
I read you're speaking from your perspective. But I must disagree.
Test AMEX in local butchers, fish stores, milk bars, newsagents, sport centers and restaurants where credit cards are accepted. AMEX is typically not accepted or there is extra surcharge.
My supplier tells me a joke, "No surcharge on AMEX because it is not accepted."
It is everyday life for real.
Looking at AMEX Small Shops program, there is no lack of complaints about surcharge.
Major IT products distributors like Synnex, Ingram Micro applies surcharge on AMEX.
Our beloved computer shops
MSY: AMEX (4% service charge applies and only available for ACT branches )
Scorptec: Amex a 2.5% surcharge.
CPL: A 3.5% surcharge will apply if you pay via Amex Card.
DigiDirect: A 3% surcharge will apply when paying with AMEX. (OK, it is a camera shop)The list goes on and it WILL be longer than the list accepting AMEX at no surcharge in Australia.
@icecream: It'll no doubt depend on where you shop, but certainly I don't have the issues where I choose to shop.
Regarding that list at the bottom, I'd note that only DigiDirect doesn't have a surcharge on Mastercard and Visa as well (possibly at a lower rate, but a surcharge none the less). When shopping at those I'd be paying via a different method anyway such as eftpos, paypal (and draw against the Amex) or whatever doesn't add a surcharge. Mastercards or Visas may be smaller, but I'd look to avoid those surcharges so the lower value to me is irrelevant if its there to begin with. As I mentioned I'm more likely to find the store just doesn't accept the card than adds a surcharge that doesn't exist for other cards, but fortunately thats pretty rare.
I sort of feel its relatively moot though given the Amex is often a free companion card to a Visa or MasterCard. I have an Amex issued card but would never advise anyone to make that their only card, I'd always carry a backup MasterCard or Visa just in case even if in my own case I rarely use them.
Not many other cards where you can even earn rewards for fee free international transactions.
Jeez you guys are hard to please.Coles Rewards Mastercard
Overseas is not everyday life. Local shopping is.
I agree ozbargainers are typically hard to please ;)
But how much would you have to spend internationally to compensate for the annual fee?
any other good card to replace this new BS by Commbank?
Platinum Black by ANZ with 75k bonus points… sexy looking card too
It's not really CBA's fault.
Blame the RBA. The new legislation regarding merchant fees mean it is impossible to continue offering high reward points for Amex holders.
So much so that ANZ don't even issue them for new customers, and all existing Amex cards will be cancelled in August.
Pretty sure the era of reaping high earning rewards cards have official come to an end.Don't get this? Why does this make it harder for amex but not MasterCard in terms of comparative earning rates?
@Punkboy:
I believe it's because AMEX, MasterCard and Visa will be charged a cap of 0.8%. Meaning banks that previously charged higher fees for AMEX transactions (read on SMH it's 1.7% on average) will receive less revenue since they can now charge max of 0.8%. As a result there is a flow on effect on benefits received by consumers.These changes do not affect cards issued by Amex / Diners directly. Many of those cards still have good earn rates. 1.5 FF pts per $1 is still achievable
So the new rules coming in are saying that there is a max fee the banks can charge and essentially it means the merchant fee for visa and amex will be the same??
To be honest. When I had my own business. I was horrified by the merchant fees amex tried to charge.
In protest I said no amex. To me, I know the rewards seem to be slightly better compared to visa/Mc programs but to charge almost double or triple fees for what is essentially the same product was ludicrous.To me it was no different to opening a McDonald's next to an existing one but charging double price.
Many customers tried to use amex but when informed we didn't have the facilities were understanding and happy enough and pulled put a visa/Mc instantly.
I too these days use the Amex where it's accepted due to a slightly better rewards but don't get offended when the shop says no amex. In fact I encourage it.
To be honest I used to think the days of amex would be numbered and they would die out, however it looks like I was wrong ;)
That's correct to my best understanding. Max bank merchant fees for Visa, MasterCard and AMEX will be same.
I don't own a business but I see that's a primary reason why a lot of businesses don't accept AMEX cause of the high fee…I suppose from the RBA's point of view lower AMEX fees = more businesses accepting AMEX = good for customers (but bad in terms of rewards).
To me it's price gouging. Same product and service for 3 times the price.
If amex went bankrupt I won't be shedding a tear.I do have a amex and use it and feel sorry for the little guys who accept it
@hellohello123: Not sure I'd call it the same product or service given the reward schemes far more appealing than most MasterCard or Visa cards, which I assume is why you, myself and others use it. That does carry a cost and rather than making the customer cover it, Amex makes retailers pick up the tab.
I'm of a similar mindset to your previous post though were I don't get upset if a retailer chooses not to accept it.
I feel the Amex program is better but not three times its better.
When I had my own business. I never saw a person who had a amex but no Mc or visa
So many retailers add extra surcharge for amex so I'm surprised any retailers accept them unless your a premium service provider eg 5 star hotel
@hellohello123: Yeah can see why its problematic for businesses.
That said, I have shopped at one retailer over another due to the ability to use my Amex card. When purchasing my Xbox One to cover my bases I had an order at both EB and JB Hi Fi (in case one announced a launch day offer). When both launched at the same price point with no offers, I cancelled with JB and purchased at EB given the product and price was the same at both retailers but the Amex would be more rewarding point wise which EB don't surcharge. I do have a MasterCard, but stores accepting Amex does carry a very small amount of weight in terms of who I'd prefer to shop with. I wouldn't pay more at one store over another for the privilege mind you.
The rewards offers they do has also lead me to make a couple of purchases I may not have otherwise made at Harvey Norman and the like, as well as pick one small take away over another when they are running the small business money back offers.
@Smigit:
I find people who don't buy from a shop due to not accept amex a bit oddObviously if it's the same product and avaliable next door. Then I would do the same.
But for me. Most of the time. The benefit might be 1%using amex so for me I'd just use my mc or visa
@hellohello123: Yeah absolutely. Case above was same product in the same center. I do put my coffee at work on Mastercard, no questions there.
And due to my recent changed spending patterns on the Amex. I have got 250k in points which should be enough for return business class to Europe
So I am not complaining at all!!!!
@hellohello123: haha jealous. Sitting on about half as many points which should still prove to be very handy.
It's surprising how the points add up.
I find that the more you look at your balance it goes up slower :)
I just look at places where I can use them where my normal spend is.
And take advantage of bonus points that pop around.I used to do them the old way of trying to accrue using visa before I found out about amex.
The best lucky break I had was when buying a new car. We asked to put the whole car on amex. They said no only 2k deposit.
But they wanted a 7k deposit and said they would refund it later but they forgot to do it!
Free 10k point! !!
TBH a lot of banks nowadays are cutting their AMEX points offering, effective start of the new FY.
I don't even own a CBA credit card because it has always been less attractive (in terms of promos) than other banks.
I believe ANZ and NAB are having some kind of bonus points for their Black cards but as I mentioned previously the earn rate for AMEX (ANZ will fade out AMEX partnership) still won't be as good as the past. Really depends on your spending habits and whatnot.The thing that I like about CBA rewards is that you can exchange your points for a mastercard gift card rather than having to exchange it for a store specific gift card. I've got Westpac rewards CC as well and I dont think they offer it, not sure about other CCs
New CBA Amex points system starting in July sucks so bad. I love getting 3 points per $ and use my Amex card to pay for most things.
Be careful about the no international transaction fees as there may still be conversion fees charged.
I'm quite sure that no currency conversion costs advertised by cba and other banks means there are no other fees whether you call them conversion, currency fees.
Ie it's just the item price divided by rate
Unless they worsen the rate by 3% to make up for itExchange rates are set by Visa / MC. They facilitate the payment, not the bank. Foreign exchange fee is the banks take.
The devil is in the details (aka spread)
BTW my Diamond AMEX is actually complementary to a MasterCard, which I use where AMEX is not accepted (and no surcharge applies, else is the current account).
The MasterCard still earns (some) points.
This whole reward point reduction affects me as well unfortunately. Currently have the CommBank Diamond Awards with no Annual Fee as part of a home loan package. Really sucks that I will only earn 3 CommBank points per dollar at Supermarkets, Department Stores and Servos. I guess it's still better than having the Amex card axed altogether like what ANZ did. I just wish they changed it to 1.5 points per dollar for everything rather than this new tiered system. Hard to believe that 90% of what I spend will be going on the Mastercard now with the 1.25 CommBank points per dollar rate, which will be going to the front of my wallet on July 1. Would consider getting a new Amex with a better earn rate but anything with no annual rate is either the same or worse than the CBA Amex/Mastercard.
I'm wondering, since we usually use Amex to buy Wish gift cards for the 5% off, is it going to be considered a Woolies supermarket purchase. Guessing not.
Also guessing that most of my eBay/Paypal purchases from China wouldn't pick up 3 points either, since 99% of them don't get charged an international transaction fee (the ones in AUD that is)
My annual fee is pretty low (from when I got the card many many years ago, and they've kept bumping it up a level) and I've made use of the insurances that come with it (the 90 day loss/break protection) and travel insurance (which now doesn't require you to have purchased tickets on the card) so overall the changes aren't as bad as they could have been. The Amex is still going to be a better option than my 28 degrees for international purchases now (when I can use it)
My understanding is that anything you buy from a business which identifies itself to American Express as a supermarket, department store or service station will give you 3 points per $1.
In regards to Paypal, according to the CommBank FAQ:
"Any transaction made with a business or organisation paid using an intermediary payment platform, for example, PayPal, is also excluded from earning points at the higher rate per $1 spent. However, you will still earn 0.5 points per $1 spent using your American Express card."
So you can't get 3 points per $1 from using Paypal at all, no matter what currency the transaction is done in. The 3 points per dollar will only apply to in store and online direct transactions where the merchant is based overseas.
Hmm. Gift cards show up as Everyday Gift Cards or something, no mention of Woolies so my guess is they won't be classed as a supermarket.
That sucks about paypal then doesn't it. When it's convenient to them they're happy to charge an international transaction fee for an AUD purchase processed via PayPal Australia when the merchant is overseas.
Really only leaves Amazon for me then, unless I start purchasing directly via credit card everywhere.
Ah well
It doesn't use the text string, that would be silly. It uses the MCC (Merchant Category Code) declared by the merchant at the time of setting up the merchant agreement. Unfortunately I don't think there's any way to find out an organisation's MCC as I've not seen it ever printed on a statement.
Yeh. What I meant though is it's shows different to Woolies, not being processed in store.
That said, it might not be exact but they do now show a category for transactions online. Just had a look and both Woolies and Wish gift cards are grouped the same (CBA as Groceries and Household, ANZ as Grocery Stores and Supermarkets)
Doesn't mean too much I guess, we'll wait and see.
I think you don't earn maximum points for the PayPal transactions in AUD. If you make a purchase with an oversea merchant and using PayPal in USD for example, you still earn 3pts/$1.
Do you mind if I ask how much the annual fee you managed to get on the Diamond card? Please pm me if you can't tell. I just wsnt to know because I want to ask CBA for a good deal on this card as I'll be applying it on July. Thanks.
Im glad this topic was brought up. I am affected as well, I have a the diamond card with CBA. (had Diamond since it was introduced and Platnium for 10 years before that)
Can some one give me 3 or 5 examples on when I will not earn 3 points on Amex?
Is 7/11 considered a major petrol station? (ie the 7/11 fuel app with amex is good business for me/us)
Give me a few examples when my amex will not get the 3 bonus points?
Commbank has listed these examples of businesses where you will still earn 3 points per dollar:
Supermarkets:
Woolworths, Coles, IGA, Supa IGA, IGA X-Press, Ritchies Supa IGA, Harris Farm, Supabarn, Foodland, Farmer Jack’s, FoodWorks, Thomas Dux, Wray OrganicPetrol stations:
Coles Express, Woolworths Petrol, BP, 7-Eleven, Caltex, Shell, United, Gull, Ampol, Mobil, Apco, Speedway, Better Choice, Lowes Petroleum, Budget Petrol, South West Fuel, Liberty, Pentaco, Tasco, Vibe, Metro, PumaDepartment stores:
Myer, David Jones, Kmart, Target, Big W, Harvey Norman, Domayne, Joyce Mayne, GraysOnline, DimmeysAny retailer which identifies itself to American Express as a Supermarket, Service Station or Department store will still earn you 3 points per dollar.
Commbank also says this:
If a business isn’t classified as a 'supermarket', 'department store' or 'service (petrol) station' in Australia for the purposes of American Express transactions, you won’t earn points at the highest points earn rate when making a purchase with them using your American Express card.
For example, the following businesses are not classified as a 'supermarket', 'department store' or 'service (petrol) station':
JB Hi-Fi is classified under ‘Electronic stores’ or ‘Music stores’
Liquorland is classified under ‘Bottleshops’
Bunnings is classified under ‘Hardware ’
Rebel Sport is classified under ‘Sporting good stores’
Witchery is classified under ‘Women’s ready-to-wear’
Freedom Furniture is classified under ‘Home furnishings, furniture & appliances’
Bing Lee and The Good Guys are classified under ‘Electronic stores’
So if I use paypal with my mastercard, will I still get 1.25 points?
And i remember they barred bpay from earning points completely. Are any other services barred from earning points other then bpay?
The Mastercard is completely unaffected by these changes and earn rates using MasterCard will stay the same (which is silly as now it will be the card that will be used the majority of the time).
The following transaction types do not earn reward points:
* Bpay transactions
* Payments to the Australian Taxation Office unless made using a Business Awards card
* Balance transfers
* Cash advances (including a transaction treated by the Bank as a cash advance, for example utility bills paid in person at a bank)
* Purchases of foreign exchange
* Credit card insurance premiums
* Travellers cheques
* Interest charges
* Qantas Frequent Flyer Direct fees
* Bank fees
* Card account payments
* Transactions deemed by the Bank to be for business purposes (excluding transactions on Business Awards, Business Gold Awards and Business Platinum Awards cards)
* Any other transactions which may from time to time be excluded by the BankCheers mate. Thank you.
Let me share, i paid 15 grand deposit for some land in Rockbank (you would know the area :) using my mastercard and i got the points for it :)
so this doesnt come into effect until 1st July? So at the moment is it still $1 = 3pt for AMEX & $1=2 points for MC with the Diamond CBA?
It comes into effect on the start date of your July statement period, so it's different for everyone, but by August 1, everyone will be on the new points regime.
And also, the Mastercard rate for Diamond is 1.25 per dollar, not 2 per dollar.
Can anyone confirm these fine print details? I have been calling the CBA Hotline to ask and told each time to call back - each time their lines are jammed!
Read the fine print that says that if you are using AMEX for 'department store' purchase for eg Myer/David Jones online/supermarkets online purchases, that you choose to go through PayPal for Buyer Protection, your 2.5 pts bonus is not valid. So this means you cannot pay via the PayPal protection portal and use Amex to pay your bill. Must be directly as a credit card payment. Is this right? I always opt for PayPal and then redirect it to Amex, it's not going to give me 2.5 pts this way.
Like wise, my online purchases from foreign websites in foreign currency, currently using 28 degrees since it's foreign fee free. But the AMEX new points system is great to switch to, only if you pay directly from your AMEX account. Once again if you use PayPal (say it's through eBay) for Buyer Protection and then direct the payment to come out of AMEX, you earn 0.5 points and not the 2.5 points. I dislike this because PayPal is really fantastic with buyer protection when goods are not to standard or do not arrive. Going directly through the banks, asking them to reverse payment etc… is much more complicated. I would appreciate any thoughts on this!
I can't confirm anything, but this is how I interpret it.
If you pay for department store and supermarket purchases directly, you will get your maximum points. Going via PayPal however, you won't. (I agree with you.)
If you make purchases from foreign websites, you should get the max points and not have to pay the 3.4% commission (that they're currently charging) and you would get the maximum points. This should include payment through PayPal because at present, "foreign" transactions through PayPal are recognised as foreign transactions, not domestic ones and therefore should not earn the minimum 0.5 points.
So i take it a 'foreign website' that advertises in AUD currency (happens a lot on eBay) as long as this company is outside Australia, is considered eligible for 2.5 pts on AMEX?
that's how I view it… if they process the transaction offshore now, then they should be doing the same later…
I got the same question above, and I asked CBA using Facebook and they answered me:
"
Essentially that means when you use your AMEX card for any PayPal transactions you will not be earning points at the higher rate of $1 spent, instead you will earn 0.5 points per $1 spent.Warm Regards,
Ruby "I am not sure this rep knows what she is talking about. Please make a test spend on 01/07 if you have a Diamond card and report back to us. Thanks.
I don't like to use my Amex card on the oversea websites and I always use PayPal instead for the Buyer Protection.
Thanks, I'll double check with a CBA staff member when I walk into bank next week. And update this blog.
That's how I read it as well.
And now, they've canned AMEX so now we have to pay international transaction fees on Google Play purchases which sucks;
Same with Diamond cards, starting 1 July 2017
But earning rates will be less - for places that are NOT major supermarkets, petrol stations, AMEX diamond will earn at only 0.5 points/$ spent (from 3 points/$ !!), making it earn less than the coupled Mastercard