Suggestions For Credit Card with No Annual Fee

Lbravemeow on 04/09/2024 - 18:51
Last edited 05/09/2024 - 10:24 by 1 other user

Hi OzBargain, I would like to apply for a new credit card and hold it for years (not cancel after first year).

The reason is, I would like to improve my credit scores in long-term, and people say holding one credit card over a long period would contribute to your credit score hugely.

Based on these, the perfect card would ideally have below criteria met:

  • No annual fee, or comparatively low
  • Flexible minimal credit limit, like $2000 (so does not affect other credit card or home loan application)
  • Special useful features provided, for example, flight lounge access, or zero overseas transaction fees
  • Maybe also have small bonus on signup?

There is one deal from ING seems good, but people commenting with bad experience makes me hesitate.

Kindly ask if there are other options on the table.

Thanks heaps

Financial Credit Card

Comments

  • parisian on 04/09/2024 - 19:19
    +1

    Bendigo B Ready would fit - low credit limit, no annual fee, no transaction fees overseas and as a bonus, insurance is included.

    • bravemeow on 04/09/2024 - 20:50

      thanks, a lot replies recommend Bendigo Ready, and it looks great either :thumb_up

  • Shadowsfury on 04/09/2024 - 19:23
    +3

    Credit scores aren't a thing that is helpful to keep high in Australia - that's an American thing

    But to answer your question I'd say the Bendigo Ready Credit
    $3k min limit
    no annual fee
    no forex fees
    travel insurance included

    • bravemeow on 04/09/2024 - 20:48

      Credit scores aren't a thing that is helpful to keep high in Australia

      would you mind explaining this a bit more? thanks

      • Shadowsfury on 05/09/2024 - 13:07
        +1

        Maybe it was a poor choice of words on my part - a high credit score may be a sign that your overall finances are in good shape, but any credit application you do is going to look at everything holistically anyway and your score doesn't directly form part of that like it does in the US.

        In the US you live and die by your credit score and what I mean is that isn't how it works here. So just because you have a credit card open for a long period of time doesn't necessarily mean you'll be a good candidate for getting credit in the future.

    • jv on 04/09/2024 - 21:25

      Credit scores aren't a thing that is helpful to keep high in Australia

      Except for when you need a loan or a new credit card…

  • Dollar General on 04/09/2024 - 19:32

    Your credit limit on the card is taken into consideration when applying for loans so it can be a negative not a positive

  • askbargain on 04/09/2024 - 20:05

    +1 for bendigo ready

  • CodeXD on 04/09/2024 - 20:23
    +2

    My forever credit card is actually Kogan Money.

    You can't churn it because it does not have a cooldown to get the card again, if you've ever had it, then thats it, you can only ever get the introductory offer once.

    They had $400 kogan credit previously so if you want to get this, wait for a deal.

    Everyone has had a bad experience with kogan but it has been great for me to get cheap branded stuff. I avoid kogan brand like their TV but has been great to get asic shoes, Tommy Hilfiger shirts and even nintendo switch.

    Based on these, the perfect card would ideally have below criterias met:

    • No annual fee, or comparatively low no annual fee ✅
    • Flexible minimal credit limit, like 2000 (so does not affect other credit card or home loan application) Is $6,000 considered low? flexible? ✅
    • Special useful features provided, for example, flight lounge access, or 0 oversea transaction fee all spend nets you kogan points to spend on kogan website ✅
    • Maybe also have small bonus on signup? they previously had $400 kogan credit on sign up, good to save for switch 2 if you're interested? ✅
    • bravemeow on 04/09/2024 - 20:59

      thanks heaps for sharing!

      • 400 signup credit sounds great
      • 6000 minimal limit seems a bit too high (i would say max 4000)
      • kogan points on spendings is not a thing, as i do not plan to use this card frequently (i have other cards as main) The desired role for this card, is to be used in special case, and infrequent
    • Neoika on 11/09/2024 - 13:26

      Unfortunately, interest free period for purchases will be slashed to max 44 days from Nov.

  • bravemeow on 04/09/2024 - 21:11

    i am also looking at HSBC Premier World Mastercard, https://www.hsbc.com.au/credit-cards/products/premier/#fn-ca…

    with 2 free flight lounge access
    Complimentary travel insurance
    Get up to 10% off when you book your next adventure with your credit card via Agoda or Expedia
    points on spending

    but minimal 10k limit is considering

    • Hellfire on 04/09/2024 - 21:50

      Are you an HSBC Premier status customer? That's usually the big sticking point for this card.

      • justdigi on 05/09/2024 - 08:01

        Yeah pretty sure the $9k/month deposit or $150k in investments/savings for Premier Status would be a problem for someone looking for a low-limit card with no fees - they're completely different markets and the Target Market Determination would rule them out immediately.

        • FirstWizard on 12/09/2024 - 16:08

          I have the QFF version of the Premier card.

          You don't need the $9k all at once. I have automatic transfers setup that moves $2k back and forth on different days of the month so that it totals to $9k every month.

          You need to do it for 6 months before they Upgrade you to Premier, which is when you're eligible to apply for the card. And keep doing it forever.
          You cannot convert other HSBC cards credit to Premier, you will need to reapply (and close the old one if you don't want it).
          Next time the debit card is renewed, they will send you a Premier branded card.

          Great earn rate of QFF Points at 1.5:$1 for the first year and then goes down to 1:$1.
          It's become one of the few cards to offer complimentary insurance (good benefits at that) for no annual fee.

  • soan papdi on 04/09/2024 - 21:21
    +1

    The reason is, I would like to improve my credit scores in long-term, and people say holding one credit card over a long period would contribute to your credit score hugely.

    This is US centric advice. By all means have a forever card but it won't really help you the way you think it will. As long as you pay your bills on time (any CC, utilities, rent, mortgage, etc), your credit will be fine. If you want a mortgage or car loan, the CC limit will count against you. Some candidates:
    - Bankwest Platinum
    - ING low rate (from that deal above). Min $6000 limit for travel insurance.
    - Bendigo Ready Credit, good card but the banking systems are oh so primitive.

    • bravemeow on 05/09/2024 - 00:13

      thanks heaps for insights

      does this mean there is no need to hold CC in AU for long period?

      i am leaning towards Bendigo Ready Credit

      • soan papdi on 05/09/2024 - 07:10

        To my knowledge, there’s no benefit to holding on to cards long term. Many card providers will block you from reapplying for a period if you cancel but that’s not about your credit, just that card provider.

  • Ughhh on 04/09/2024 - 21:32
    +2

    flight lounge access,

    This is usually only offered in platinum+ cards (not all platinum cards include this even then). You're looking at Min $6k credit limit.

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