Title Says it all:
Coles No Annual Fee Mastercard
Enjoy 0% p.a. on purchases
Enjoy 0% p.a. on balance transfers for the first 12 months and get rewarded as you spend.
The Coles No Annual Fee Mastercard charges a $0 annual fee for life and earns 1 flybuys point per $2 spent on eligible purchases.
If you apply by 31 January 2020, you can enjoy a 0% p.a. interest rate on new purchases for the first 12 months, and a 0% p.a. interest rate on balance transfers for 12 months.
To this day I still don't get how balance transfer works and what is their appeal.
If I have an outstanding balance of 10k that I am not adding new purchases to but want to pay off, I will be paying interest monthly on any outstanding amount, this means you will be paying off more than the Principle.
A balance transfer offer of 0% interest for 12 months in this case will move that 10k to this card with no monthly interest charge on the principle amount, your monthly repayments still need to be met but you will pay it off quicker.
Also, look for a 0 balance transfer fee. Some banks choose to charge 1 - 2% or so on moving a BT to them.
This is very attractive to me if I have a balance I cannot pay off in one hit but I don't want to keep paying interest on the amount remaining.
That’s for people (in debt) who rely on the purchasing power of their CC for credit/cash advances. They usually cant afford to pay the closing balance in full each month.
Credit cards are made for these people.
Regular OzBargainers shouldnt need to do this (i.e. paying interest on outstanding balance)
In other words, move debt from one CC to another to avoid paying interest.
I was told awhile that people were using balance transfer to offset their mortgage. That was the part that I was interested in. Something about Citibank allowing them to write cheques and depositing it in the home loan.
Yes, can confirm I did this once. Was easy enough, but you have to be disciplined and not spend it (I had a simple excel chart to monitor it as it was lumped in the offset).
@tomsco: So not spend in Citibank credit card or the offset and also is that facility still available?
@nightelves: Yeh, the Citibank card just got locked in the filing cabinet for the period of 0% BT.
As far as I'm aware (this was 5 years ago), cheque to self is still available, but you may need to call to request instead of being able to do it online.
@nightelves: On the credit card? Correct. I think I ended up paying back the balance a month earlier than the 0% expired, simply because I didn't want to risk going past the period (ie. the period would probably end mid statement, etc).
I guess if you could get a significant limit on a credit card then do a balance transfer from another credit card that has a zero balance (putting it in a positive balance), you could transfer that money to a transaction account to then put into your home loan, bringing that portion down to zero interest.
I guess "regular ozbargainers" have a higher fibre intake??? And I think you'll find ozbargain members have a variety of financial situations.. or wouldnt this deal be irregular and removed?
Probably a good thing IMO.
Bear in mind
Please note you are not entitled to the Interest Free Period on Retail Purchases, fees and charges whilst you have a Balance Transfer. This means that all spend will be charged interest at the applicable Annual Percentage Rate from the date of the transaction
Does this really mean you can't have both the 0% balance transfer and 0% interest on purchases?
You can do both if you apply before 31 Jan 2020
You might want to check with Coles. I don't think you will ever get both at the same time.
Yes. From the fine print: "Please note you are not entitled to the Interest Free Period on Retail Purchases, fees and charges whilst you have a Balance Transfer."
yes, hence my first post at the top of this thread :)
Avoid Coles MasterCard run by Citibank like the plague. $30 fee if you miss a payment even if you only owe $1 and are 1 day late. I had a complaint with them over their privacy policy. They lied in their reply to the financial ombudsman.
Didn’t know coles run by Citibank.. About to move from Citibank
Had enough with Citibank
not much worse than bankwest…a few hours late on a payment and it's a $25 late fee.
Have had this happen to me with BankWest. Made payment before midnight the day it was due. Got charged a late fee. When I rang up to contest they said the payment needed to be received by close of business…
Did you speak with a manager?
"close of business" is still rather vague.
this website: https://www.bankwest.com.au/help/payments/payment-cut-off-ti… says the Transfer money, or make a credit card or loan repayment, between your Bankwest accounts is 8pm AWST.
but close of business for a branch is 5pm.
these days, i just pay it first thing in the morning one the due date and screenshot the receipt which shows payment date.
Does it still have price protection option?
is this new or their normal offer?
Seems normal and nothing special.
24 months yeah great, 12 months, meh
AFAIK, none of the banks give both BT and Purchases interest free for 12 months.. (Remember no BT Fee as well)……Adding to this, Coles is issuing this card FREE for lifetime.. which is great.. Meaning keep the card for life without paying any fee.. Just use and pay if need be… the only downside is that they have hefty fee/charges if you don't pay on time + No Reward points on transactions except Flybuys. But if you use this card wisely, then its an amazing card…
Both are not available at same time
Either 0% on BT or 0% on purchases
Yeah if you get this card and don't intend to use it, consider that under the new/current credit reporting rules this will show up on your credit file, which will affect your borrowing capacity.
Alternatively Switch to this card. We may be using other bank cards which may have Annual fee - simply cancelling those cards and switching to this card is wise.. given there is no annual fee and also other benefits…( Not making it generic - Individual financial situation may vary)
Given it's a Citibank card I don't suppose if anyone knows whether you can still do that thing where you request a cheque for the BT and bank it in your savings account instead of paying off your credit card?
I don't think they will issue a normal cheque. They get your other bank CC details and pay that off. You cannot request chq/money to be credited to your savings account.
Yeah, way back when you could actually get a cheque to self. Oh well. Not much use then since there are usually penalties now for overpaying your credit card.
last year while doing reno's I overpaid my CBA credit card by 4k and wasn't charged anything - reason - I have a smallish limit on my card and still wanted to earn points, so paid beforehand - is this a new thing for being penalized for overpaying?
Interest rate of 19.99% p.a. on purchases and cash advances.
stiill better than the 20.74% on my amex gold and 21.99% with 28 degrees lol
If you obtain this card you also need to buy cabbage. Once you have cabbage Coles also says you’re legally obligated to buy Carrots and Mayonnaise. It’s the Coles Law.
It's not as bad as Apple Pay, where you have to need a certain level of sales revenue to use it. It's the Apple Turnover.
I used an offer like this to pay for a car once, like a 0% 12 month loan. Could do the same for a phone these days, instead of afterpay which is limited to a few payments.
dont you have to pay back what you've used after a month though?
Anyone know of a fee free offer with price protection and extended warranty?
Well that was a terrible experience.
After having an issue with doing a balance transfer (to an ING CC) I was told to proceed online, activate the card and then call to process it over the phone. I was told this by three different people. Today I activated the card, called to do the BT and have been told they can’t do it to ING because it needs to go via BSB/ACC# and they only support BPAY.
This was after getting the run around on the phone for half an hour, transferring between 4 people. (the first three just verified my name and transferred me, they didn’t actually say anything else)
Terrible first experience.
Icing on the cake is the offshore call centre.
It’s honestly not worth the $100 I’d save in interest, I think it’s already time to cancel the card. With a nice little blip on my credit rating.
Better than this deal