Kiwibank Air New Zealand Airpoints Low Fee Credit Card

Roland Bleyer

Credit Card Expert with over 15 years card experience and the founder of Creditcard.co.nz. Ask Roland a Question about this card.

The Kiwibank Air New Zealand Airpoints Low Fee Credit Card

With no points expiry and a low ongoing account fee, the Air New Zealand Airpoints Low Fee Credit Card is designed for smaller spenders who want to earn rewards. Keeping features simple elsewhere, the card offers up to 44 days interest free on purchases, 1.99% p.a. on balance transfers for six months and access to Visa Entertainment.

What we love...

What is likely to attract most new cardholders to the Air New Zealand Airpoints Low Fee Credit Card is its low ongoing account fee. Rewards cards typically charge more in account fees, which can make it difficult for smaller spenders to see any real value. However, with its low annual fee – and no points expiry – this card could allow those with a smaller average spend to still get something back on their card spending, to stack up points over time.

So, how does it work as a rewards card? As the name suggests, the Air New Zealand Airpoints Low Fee Credit Card is an Airpoints earning credit card. As a cardholder, you will earn:

• 1 Airpoints Dollar for every $160 spent on eligible purchases, and
• 1 Airpoints Dollar for every $140 spent on Air New Zealand products bought directly from Air New Zealand.

As long as you have a current credit card and you’re the primary cardholder, your Airpoints Dollars will never expire. Once you’ve accumulated enough Airpoints Dollars, you can redeem them within the Airpoints programme at a rate of 1 Airpoints Dollar for NZD $1. Rewards range from flights and upgrades with Air New Zealand, to merchandise, gift cards and more.

Don’t have enough points to get the reward you want? While this card doesn’t offer an Airpoints Dollars Advance, it does allow for Airpoints Dollars top up, which lets you buy additional Airpoints Dollars online for a fee.

What’s not so great...

As the Air New Zealand Airpoints Low Fee Credit Card is designed to suit smaller spenders who want to pay a lower account fee, it has a lower earn rate. Within the Kiwibank Airpoints range, the Standard Visa and Platinum Visa have higher earn rates – with higher annual fees. If you think you would spend more on your card, choosing a card further up the ladder may be beneficial.

With its low account fee, the card also features fewer extras. Where other Airpoints cards may offer extras like Airpoints Dollars Advance, complimentary travel insurance, Air New Zealand airport lounge passes, Koru membership discounts and the opportunity to earn Status Points, this low fee card does not. Think about how much value these extras would offer you, and whether you can afford to pay more for them in account fees before making your decision.

Why should you choose this card?

If you want a low fee card that earns Airpoints Dollars, the Air New Zealand Airpoints Low Fee Credit Card could be the ideal option. You will pay a low account fee every six months – and if you want to earn points faster, you can add joint or additional cardholders to the account for a nominal fee. This could provide even more value by boosting your points earning.

As for interest, the purchase rate on this card is low for a rewards card. However, as with any rewards card, if you want to see any value from the rewards you earn, it’s best to avoid any interest accruing by clearing your balance each month. As long as you pay off your balance by the due date each month, you can take advantage of up to 44 days interest free on purchases.

One last feature that might interest you is the card’s balance transfer offer. As a new cardholder, you can benefit from 1.99% p.a. on balance transfers for six months, helping you pay down existing credit card debt as you pay less in interest. Note, there is no interest free period on purchases when there is a balance transfer on the account.

Overall Rating

A simple, low cost rewards card, Kiwibank’s Air New Zealand Airpoints Low Fee Credit Card allows cardholders to earn Airpoints Dollars, while paying a low ongoing account fee.