Kiwibank Zero 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 Visa Zero Credit Card

As a low cost card, the Kiwibank Visa Zero Credit Card charges no account fee, allowing both the primary cardholder and any joint or additional cardholders to enjoy access to credit with no regular ongoing costs. Other money saving features on offer include a low purchase rate, up to 55 days interest free on purchases, and 1.99% p.a. on balance transfers for six months.

What we love...

With the Kiwibank Visa Zero Credit Card, you will pay zero account fees for the life of the card. This applies to you as the primary cardholder, and any joint or additional cardholders you add to the account. This could make it a great low cost option for cardholders who want to keep outgoing costs down, or for those who simply don’t see the point in paying an account fee for a credit card if they don’t have to.

However, even if this is branded a no annual fee card, it has more to offer than just a lack of annual fee. It also offers a low interest rate on both purchases and cash advances. When would this be of benefit to you? If you carry a balance on your card – that is, when you fail to pay off your balance in full at the end of the statement period – that balance will attract interest.

If you have a card with a much higher purchase rate – such as those often found on rewards cards and platinum cards – the interest you will pay on your balance will be higher. While it may seem beneficial to you having the extras offered on those cards, if you are paying out interest on your balance, it’s unlikely you’re seeing much value on either the features or rewards the card offers.

By opting for a card with a lower purchase rate, you could pay less in interest, allowing you to pay off more of what you owe. This could allow you to clear your balance faster, to then enjoy one of the other features this card has to offer. When you clear your balance each month on the Kiwibank Visa Zero Credit Card, you can benefit from up to 55 days interest free on purchases, helping you to save on interest while managing your cash flow more effectively.

And what happens if you have already racked up a balance on another card? You could take advantage of this card’s balance transfer rate, paying 1.99% p.a. on your transferred balance for six months. This could help you save on interest, allowing you to pay off what you owe and clear your debt much faster.

What’s not so great...

There’s not much to complain about on the Kiwibank Visa Zero Credit Card – as long as you realise this is a basic, low cost card. It doesn’t offer any big, fancy features and it doesn’t provide rewards. If you are more interested in features than money saving, then another option may be more suitable.

Why should you choose this card?

A no annual fee card such as the Kiwibank Visa Zero Credit Card could suit a variety of cardholders. These could include:

Cardholders who want to save money by not paying an annual fee.
Cardholders who only keep a credit card for emergencies, and who don’t want to pay to keep it in their wallet.
Cardholders who don’t see the point in paying annual fees for a card when they don’t need to.
Cardholders who want a simple card, with no complex features to worry about.

With its low purchase rate, this card may also appeal to cardholders who want to save on interest on their carried over balance. It may also suit cardholders who are new to credit, especially with its low minimum credit limit of $500. Bear in mind though, all cardholders must meet Kiwibank’s eligibility criteria to apply.

Overall Rating

Offering a basic option, the Kiwibank Visa Zero Credit Card has no account fee, a low purchase rate, up to 55 days interest free on purchases, and 1.99% p.a. on balance transfers for six months.