“Canstar surveyed 1907 New Zealanders, of those more than 900 hold credit card rewards, to reach a verdict.
American Express is the only credit card provider to be rated 5-stars for rewards, revealing just how many Kiwis acknowledge the provider excelling in the area,” Jose George, Canstar New Zealand general manager.
“Rewards credit cards remain the most popular choice amongst New Zealanders, with 47% of those surveyed having a rewards credit card.”
In addition, 61% of overall respondents said they repay the full balance each month.
“Rewards credit cards are a main suitable option for those consumers that spend substantial amounts on their credit card and also pay back in full and on time – Canstar recommends users to compare credit cards on the market, to see if they would benefit more from a rewards credit card,” says Mr George.
Founded in 1850, initially as an express mail business, American Express has since transformed into a multinational financial services corporation and is now one of the largest global credit card companies.
Rewards Credit Cards: Which one suits me?
There are four main types of credit card rewards on offer in New Zealand, tailored to different types of spenders.
- Merchandise Rewards: In essence, merchandise rewards are a form of reward that can be translated into dollars and spent at partner companies. The rewards can be used for anything from concert tickets, sports games, fashion items, gift cards to holiday accommodation. If you like flexibility and variation then this may be the right type of credit card reward for you.
- Cashback Rewards: As the name suggests, cashback rewards reward you in the form of cash. Some rewards credit card providers will offer incentives if you spend a certain amount within a certain time limit – so it pays to take advantage of these when you sign up. This type of credit card reward gives the ultimate flexibility, in terms of what you can spend your rewards on.
- Flight Rewards: If you travel frequently, flight rewards credit cards could be suited to you. Not only can you earn points from purchasing flights, but you can then use the rewards for future flight tickets. As well as this, you can earn flight rewards through any spend on your credit card.
- Instant Discounts Rewards: Instead of building up rewards and then spending them, instant discounts work at any point that you use the card. So, if you use the rewards credit card at a certain retailer, you may receive a discount. This is a great option if you want to save money on items you are already intending on purchasing, as opposed to purchasing items simply because you have rewards.
If you’d like some more tips on choosing a rewards credit card, read Canstar’s guide to help you find one to suit your own spending style.