For those who don't know Scott Pape is a pretty prolific financial adviser. Will be announced next week.
Confirmed: https://www.ingdirect.com.au/everyday-banking/calculators/ca…
ING Direct Ending Their 2% Cash Back on Their Everyday Account from 30 September
His_Holiness on 22/07/2016 - 20:56
Last edited 25/07/2016 - 21:22
Last edited 25/07/2016 - 21:22
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I've been trying to recruit friends for years … but they never come back, that's why I surf ozbargain on Friday night's :(
Disappointing news but thanks for the heads up. Was good whilst it lasted.
Will close the ING bank account and revert to ME and/or UBank which both offer better interest rates.
Was using Citibank credit card but have to be careful with their fees. Time to find another credit card too.
Hey Squeeb, if you happen to be looking for a fee-free card, have a look at Amex Essential, which I have included some info here. Like you, previously I was using Citibank credit card, whenever the ING 2% didn't apply. I have now switched to Amex Essential due to the new Citi fees. In particular, I detest the new Citibank DCC (International Merchant) fee, which one doesn't know about, until after the transaction. The Amex card will not have such a charge. I asked OZB community this question recently here and a few have confirmed this.
@Bluesky, Agree. I have a gold Amex which has similar features and rewards to the Essentials card. It also looks like Citibank have increased the number of points required to redeem gift cards, making the points worth 0.25% versus Amex 0.7407% or 0.3704% (utility, phone and government bills). Citibank also introduced points capping. Time to move on to the next deal and not be sentimental about ING or Citibank.
Thanks, didn't know Citibank increased the points for gift cards. But does not surprise me, I have redeemed most of my points since they announce the changes in March.
With respect to Amex point earning on utilities, see my comment here.@bluesky: You have been lucky with your bills. Here is the details that I can see in my offer.
You will get 1 point on all spend, except at the providers below where you earn 0.5 point per $1 spend:
Utilities, which are gas, water and electricity providers Insurance (except insurances offered by American Express) Telecommunications providers, which includes goods and services purchased from phone, mobile and internet service providers. Government, bodies including the Australian Taxation Office, Australia Post, federal/state and local government bodiesPostbill pay may help to get around this but I always ask at the post office and they can let you know if any fees are charged.
"Why isn't my bank giving me free money? What an outrage!"
I sometimes feel like we're too spoiled.
It's the only reason to use a debit card, like ING's product. Otherwise it makes more sense to use a fee free credit card with 55 days interest free. ING's offer has been around for years and people are only voicing their disappointment that it's very likely to be canceled.
I only bothered to exploit this rebate recently (I get most of my perishables cheaper for cash elsewhere) but the most annoying part is that I've been recommending the card to everyone in the last few months based on this rebate and the $75 bonus. Now it looks like I just wanted the mutual $75 bonus…well I wouldn't have rejected it.
It would be a shame to go to ME bank over this. They feel amateurish, incompetent and less contactable in comparison. Though having a loaded MasterCard has its benefits.
Ain't keeping account if cashback goes as no point for me.
Good bye ING
https://www.ingdirect.com.au/everyday-banking/calculators/ca…
Time for me to switch to Amex Essential from 1st Oct.
If you already have it, good on you!
If not, you might consider applying via a referrer to get the $75 bonus (instead of $50).
Amex referrer list here
INGdirect will be coming out with Android Pay in the next month or two. Surely these two things are linked. My guess is that they'll move the cashback reward across to users that are using their phone instead of their plastic.
Sucks to be you if you have an iphone.
Please note the 2% cash back promotion is ending. The last cash back payments will be for eligible transactions that hit your account by 30 September 2016 (including any mobile banking transactions).
So unfortunately, that rules out an android pay cashback? :(
Ending on 30.09.16.
It means that the next one in August will be the last $1000 transfer to the ING Orange account to qualify for the rebate in Septenber.
After that…no more.
My guess is that they'll move the cashback reward across to users that are using their phone instead of their plastic.
Don't think so. Once it's gone, it's gone.
The only way they'll bring it back is if they either face consumer backlash (i.e. consumers switch or stop using their debit card) or due to competitive pressures (i.e one of their competitors start offering that)
I called them a few weeks ago and asked if the 2% cash back would also apply to Android pay and they said no.
I'll be using CBA for Debit card from 1/10/16, and have been using CBA for savings (money parked in my sisters offset account earning 3.60%, yes I have access to the acccount in my profile ;) )
I have contacted ME Bank and Challenged them to pick up where ING has dropped off and start offering 2% Paywave rebate to their customers.
I'll update the community once (and if) I get a response.
I'll stay with them, never use savings for PayPass purchases anyway. Just keep cash reserves sitting in there whilst the Amex cops a strong workout. I'm with a lot of banks and ING has hands down been the best for service, customer support and reliability, there transfer speeds interbank are also pretty fast.
Agreed - lose a card - you get a new one in 3 days and the pin is all ready set. Customer service is good. App is good. Transfer speed to other accounts is good. When they went from 5% to 2% I never 'paid' much attention to the rebate any way. Max benefit was $2 and if you are spending that much per day to get good use out of it then it shouldn't effect you anyway. It was a nice bonus that is now over. They still gave me $50 or so to open an account with them. Dont see many other banks doing that.
It's not whether it's just $2 a day, it's that it all adds up by the end of the year. Most people would be making $2k-$5k of personal expenses a year which equates to around $100 of cashback, extra cash anyone would be glad get if it was 'free' and almost effortless.
Now I might be imagining things, but for most big business the average cost of 'acquiring a client' would be about $100 if you add up all the ads/marketing/sales people costs. To ignore the fact that paying ~$100 to a customer to retain loyalty and save on the expenses associated with marketing for new customers is a bit insane in my opinion, but I must be missing the big picture here if ING thinks it's a good idea.
Yeah fair call - looking at my rewards last year I earnt $244.94 on paywave and $129.20 on rebates. So that is a big loss. Regardless - no other bank has ever offered what I had and I'm happy with them and will not be moving unless a competitor arises with a similar deal.
I'd doubt ING would really care about trying to retain the prototypical Ozbargain client. Whenever a company stops giving an incentive to lure new customers, it seems everyone has more business acumen than the people calling the shots - ING will not haemorrhage clients like the Ozbargain analysts suggest.
Besides, the typical Australian is too apathetic and lazy in dealing with anything finance related and are hesitant to change banks or insurers or whatever even if they aren't happy with their policies. ING have been solid for me and if they continue to give a good product and great service I will stay.
never use savings for PayPass purchases anyway.
You can't use Savings account for PayPass anyway. You need to use checking (i.e. Orange Everyday) account. Debit card is for Orange Everyday account and not Savings account, hey.
You're arguing semantics…I have the orange everyday account as well as the savings maximiser.
I thought it would be implied that when I refer to 'savings' I'm generally referring to using currently held cash on hand when you use a debit card as opposed to a credit card where you are using the banks money to be paid back later. I use the debit card to utilise free ATM withdrawals.
I always forget I have to be super explicit and pedantic on ozbargain though, where everyone gets stumped with labels…So I'll rephrase…I never use my orange everyday debit card to make payWave purchases that debits my orange everyday transactional account that you like to call a 'checking account'. I use my diamond awards CBA issued American Express that uses an allocated pool of funds that CBA grants me access too.
if I ever have to use money from my orange everyday account at an eftpos terminal, I press savings, hey.
I always forget I have to be super explicit and pedantic on ozbargain though, where everyone gets stumped with labels…So I'll rephrase…
Everyone on Ozbargain learns this everyday. Good for all of us. Cheers, mate!
if I ever have to use money from my orange everyday account at an eftpos terminal, I press savings, hey.
Why wouldn't you use PayWave in such cases? Just curious, hey.
I think the machines PayPass option wasnt working so I had to insert, I always choose to tap my cards anyway. I hear people don't like it because the transaction doesn't come up on their account instantly. Heaps of people have weird financial habits though, like those that use their credit card and then transfer the money over straight away have always stumped me.
Also didn't mean to come across as a jerk, you seem a pretty cordial bloke.
Heaps of people have weird financial habits though, like those that use their credit card and then transfer the money over straight away have always stumped me.
It's a compulsive disorder symptom of a kind. Some people have high obsession for ticking off their laundry list as fast as possible, one of the item on the list being payment for credit card. I have seen such people.
An eloquent explanation. I prefer to look at the time-value of money, paying your debt 55 days later is better than the same day.
I guess it's official for me. Got the email today. And we just transferred our entire though measly homeloan deposit savings to ING :((
Put it in a vanguard account
At long they don't remove the ATM rebate I will stay with them.
I save around $20 a month from ATM fees ( 10 x $2) adds up . and those greedy $3.90 at airports and pubsReward -
Financial year ending 30 June 2016 -
Cash Withdraw Rebate - $ 213.45
Visa paywave Rebates - $148.39You don't need to withdraw money 10 times a month though. It means that you withdraw it once every 3 days on average. Quite frequent! You can increase withdrawal amount and reduce frequency.
10 time a month is pretty low. Not everywhere I go have EFTPOS.
I don't like walking around with money in my wallet. I find when I have note , I just spend it . where if i have to walk to ATM and get cash out it better because I have to think if it worth the walk LOL .
I get $20 out when I Need it. so Monday, Wednesday , Friday lunch + Weekend pub/cafe/outing Etc
If I was with another bank and getting charge every time - maybe then I would change my banking habits
You are one funny man, who withdraws $20 every 3 days and also inspires someone like me to develop that habit.
Don't you have a Woolies nearby? You do not even need to buy anything.
Double whammy. Received this within half an hour of the ING email.
We're writing to let you know of a change to the flybuys program that will affect linked Medibank members.
From 1 September 2016, flybuys and Medibank linked members will no longer be eligible to collect 1 point for every $3 spent on health insurance premiums.
bugger!
…and interest rates are speculated to drop soon.
At the time of me signing up with ING, i was weighing up the citibanks 4% cashback for a limited time, or the 2% ING for unlimited time. Unlimited time sounded much better and im surprised they are gutting it now as I would have been better off with the citibank 4% for a limited time. But it was a great promotion and ive saved a lot of money from it. First time i really used a card for every purchase as i usually liked to pay by cash. Im sure they calculated people like me slooting with whoevers got better deals. ING have been great for everything else though!
Hi NAME,
Over the last three years our 2% cash back promotion has helped customers get ahead by putting money back into the pockets of thousands of Orange Everyday customers.
Keeping cash back however would mean making changes to some of the other services/benefits our customers have access to:
Free ATMs everywhere in Australia
No monthly account fees
Our easy to use mobile banking app
Our 24/7 customer care service
To continue to offer these services we've decided to bring the cash back promotion to an end on 30 September 2016.Rest assured that as Australia's most recommended bank we still believe your Orange Everyday account will continue to deliver the best value, service and convenience.
John Arnott
Executive Director, CustomersNo monthly account fees
Our easy to use mobile banking app
Our 24/7 customer care serviceAs if these are so special and people cared for these more than 2% cashback. Either banks actually don't understand their customers or they pretend not to.
They did a survey, presumably this was their findings.
They did? How come I didn't get to participate?
@fruit: I got invited too, I didn't bother to do the survey, thinking I am quite happy with the debit card 2% cashback.
Not sure if anyone has seen Macquarie Bank's new offer. http://www.macquarie.com/au/personal/bank-accounts
I was looking around for something new too. There are no monthly, ATM or international fees. There is interest on your bank account and a bonus interest rate on savings. The savings bonus is for 6 months though. They also give you a 50c rebate for cashout like at Woolies - not sure if anyone else does this. They also have Android Pay which looks pretty cool.
There was a previous thread about Macquarie's changes here: https://www.ozbargain.com.au/node/249337.
ING already gives 50c rebate for withdrawals/cash outs of $200 or over; this is not as good as Macq's $100 cash outs, but Macq only pays on cash outs and not on ATM withdrawals, and there is an annual limit. Also Macq's interest rates are very bad.
Interesting. But it says minimum deposit $4000 per month.
Which rules it out as a viable offer for some of us.
The no international fee's is pretty good for me, but $4k….lol am a student. Can you link where it states this?
You can get their standard account without a minimum deposit. They have two products, this is the basic one with no minimum deposit: http://www.macquarie.com/au/personal/bank-accounts/transacti…. Looks like you still get the same benefits apart from the insurances and concierge services.
Oh man, I'm such a big ING fan, switched 2 years ago and even moved my super over.. their internet banking platform is really good too.. what to do what to do..
The end of 2% cashback on is the begin of the new 2% cashback on their credit card? I know they've been working on the credit card since last year. Fingers crossed.
I was very recently sent a survey that asked about this card. In the benefits proposed in the survey, there was no mention of rewards in the form of cashback or points. It just seemed like another no annual fee, 55 day interest free card. Not to say what was revealed in the survey would be the final product offering though.
Their card which was proposed attracted a moderate annual fee ($69 i think?). This fee would highly dilute the benefits of the cashback. I'll be going back to my fee free rewards credit cards (Citi Signature and AMEX Discovery).
isn't Citi Signature $395 pa?
Personally, I have given up on Citibank CC (even though it is fee-free) - mainly due to uncertainty with the DCC/International Merchant fee, where purchases billed in AUD can still cop this fee, if the merchant is foreign. Problem is you don't know who is foreign and who is not until the fee is added. Besides, someone recently said that they have increased the points for redeeming gift cards again, reducing the reward value even further! In your case, the AMEX Discovery might yield better value - perhaps worth your while to do a comparison.
@samojed: It's attractiveness has decreased ever since a raft of "enhancements" have come into effect in March. In particular, the International Merchant/DCC fee. Many merchants are foreign even if one wouldn't have thought so, e.g. Microsoft Australia.
Gutted. Was putting $1300 per month in there and using Paywave saved about $300 a year, a $1 a day.
Kind of of got comfy with it, like an old pair of shoes and now don't know where to turn.
Didn't even know my PIN number - the card only got used for transactions under $100.
Am not one of those who uses it for free cash withdrawals - I mean who uses cash these days?
Feels like my favourite pet died.
I'm gonna sit here staring into the distance until one of you helpful OzBer's points me in the right direction towards a new deal.Have a look at this and see if this suits you. Not going to be as good as ING, but better than nothing. It is what I will resort to, until something better comes around. Hope this helps!
Glad im not the only one who doesnt know there pin. I don't remember setting one up.
If you sometimes return an item for refund, you will need a pin.
i just got an email confirming the scrapping
Their FB page is littered with the same pro-forma response to complaints from customers:
"The decision to remove the cash back promo wasn't an easy one and was only done after extensive research with our customers. When speaking with customers, we found that what they really valued most from their everyday transaction account was free ATM access Australia wide and no monthly account keeping fees."
Would love to meet the clowns who they so extensively researched
Ugh. This is the worst form of corporate marketing speak.
Winding back benefits to customers "wasn't easy" (yeah right, I'm sure the CEO can't sleep at night). 'When speaking with customers/customers told us' is a terrible weasel statement. I bet ING only listened to the opinions that benefited their chosen point of view. "what they really valued most" - I'm surprised ING didn't add adjectives like 'excited, passionate, and pleased'.
If they asked me I would rank the cash back as the number 1 reason to use the card, followed by the ATM access. No account keeping fees? Many banks already offer this.
Can ING put forward one genuine customer who said "I want the 2% cash back removed"?
I'm a genuine customer that couldn't care less about the 2% cash back…but I wouldn't shoot myself in the foot and declare that I want it removed lol. What sort of 'genuine' customers have you met?
I did a survey. Must be one of those clowns that prefer free ATMs… One that isn't a penny pinching miser
Got an email asking about survey for a proposed ING Credit Card with 1% Cashback and $49 annual fee.
Under these terms, cashback benefits accrue only after $4900 spend. Could still be attractive for those with big annual spend. But not everybody.
Spend over $94 a week and it's worth it
…compared with using ING debit card, after 2% abolished.
Coles reward mastercard has 1% return and comes with a very sweet 2 years price protection insurance (can easily get back $100s each year), so I wouldn't go for that.
You made a good point. What I said about benefits accruing after $4900 spend, is only compared with still using ING debit card, after 2% is abolished.
Most people can use some other card. So let's take me for example, since I use the Amex Essential which is fee-free and gives 0.741% already, I will have to spend $18,920 or more before this ING card will give me any real monetary benefits.
@Raven2000
Do you pay 1% of balance for the price protection insurance or do you always make sure you have a closing balance =$0?
How do you make sure? Do you transfer more money to the card to put it in positive balance?Just make sure your closing balance is $0. Couple of days before the statement is generated, pay it all off.
@raven2000:
There is still a cost for the price protection insurance even though it is not much. You pay the closing balance 30 days before the due date. Loss of interest is about 0.25%.
Well worth it if you can claim back $100 each year.
This sux. I loved that extra reward!! Bad move ING.
I've found their customer service and banking app the best out of all the banks i've been with. I'll only move on if they don't support ApplePay in the near future. Tired of transferring money to my ANZ account.
Judging from the large amount of comments on this post many/most Ozbargainers are not happy at all with the end of the 2% rebate.
Of course it is undeniable that it is ING's prerogative and right to end it. By the same token it is the customers' prerogative and right to close the account if they are not happy.
I believe that the Ozbargain community is large enough that if everyone rung ING on the 1st of October to close the account that would send a very clear and unmistakable message.
The power of many…
I don't disagree it would send a very powerful message with the community that we have.
However, when I think of the stereotypical ozbargainer, I can't imagine they would make much money off us.. I honestly have this hunch that by losing a lot of us who use it with the primary purpose of the 2% cashback they may possibly save money.
How would they make money from an ozbargainer? I can imagine they might be able to earn off one who has put in a large amount into the Savings maximiser (can therefore reinvest), and maybe those who don't have credit cards and use it for online purchases.
These are the two primary things that I can imagine that ozbargainers would be able to contribute to the actual profit margins of ING. Otherwise, I'm sure individually speaking, they are not making money off individual transactions where they have to pay 2% cashback.
Tldr: I think ING Direct might save money by not having a lot of ozbargainers as customers.
They're going to lose money with people moving their home loans elsewhere. They should be keeping the deal for people with home loans at least.
@hetzjagd: But curious, will many people be prepared to move home loans due to this? Is this not a lot of hassles (changing home loan provider)? Won't the rate have to be a lot better elsewhere first?
In my case I am looking at moving not solely because of this but its one of the factors along with other banks introducing more competitive rates. I'm still yet to establish what the cost of moving the loan will be and whether that will negate any other benefits
Better to tell them now, before October 1st. It would be easier for ING to not go through with it than them doing it and then trying to undo it.
@skywalka
They will not listen to your complaint now. Unless we all close the account now, but then we would lose the last 2 months of 2% rebate.
I agree with Illumination that ING probably does not make a lot of money out of us Ozbargainers, but still 1000 or more accounts closed in one day would raise some concerns amongst executives…and they do no know that they are all thrifty Ozbargainers closing the accounts!@maxi:
I emailed them and told them since they won't be the best deal in town I'll have to take my business elsewhere. I'm still banking with them until October 1.
I made my feelings known to them. I encourage everyone to do the same.
"Keeping cash back however would mean making changes to some of the other services/benefits our customers have access to:
Free ATMs everywhere in Australia
No monthly account fees
Our easy to use mobile banking app
Our 24/7 customer care service"I would rather not have their shitty 24/7 support. And you consider having an app a service? It is a necessity!
Classic marketing technique of listing things which are already expected of them in order to make it sound like they're doing you a huge favour.
Free ATMs everywhere in Australia is the only solid example i agree with and that's the reason it's on the top of their list.
closed.
Still 2 more months' use … this must be a protest statement :-)
almost closed too.
Called them to increase my daily limit to transfer my entire savings to citibank
CSR was asking why are you transferring all savings, and I said cuz cash back promotion ending soon…
She told me she will lodge my feedback!
I've sent my complaints through the secure message, online contact and phone call. Hope ING direct will reconsider their move or at least offer alternatives such as cap the cash back amount every month if they receive enough complaints.
I think they were referring to 'refer a friend'.