Stacy Squires/Stuff
ANZ is increasing the spend needed to earn rewards with its Airpoints Visa Platinum card. (File photo)
ANZ is cutting perks and hiking the spend needed to earn rewards on its Airpoints Visa Platinum credit card.
In an email to customers last week, ANZ said some benefits, including how Airpoints dollars are earned on the card, were set to change.
From February 20, cardholders will have to spend $110 to earn one Airpoints dollar, up from $85.
Complementary Air New Zealand lounge passes, currently earned when more than $30,000 is spent on the card, will become a thing of the past.
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Customers will instead receive a one-off allocation of two lounge passes per card.
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Earning Air New Zealand status points will also become more difficult, with customers earning a bonus 50% status points on eligible Air New Zealand flights but no longer accruing points on other purchases.
Bank credit card reward schemes are funded by the fees businesses pay to accept credit card payments.
In New Zealand, these fees have soared as banks and their credit card companies had no competitive pressure to charge less.
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However, a law change that took effect in November put a cap on fees, changing the profitability of credit cards.
Since the cap was announced, banks have made a host of changes to credit card rewards. In November, Kiwibank raised the Airpoints dollars earn rate from $120 to $200 and scrapped complementary lounge passes.
Westpac customers have also seen their rewards shrink this month. Those with a Westpac Airpoints Mastercard previously earned 1 Airpoints dollar for every $130 spent on eligible purchases up to a cap of $60,000.
From February 1, they will earn 1 Airpoints dollar for every $150 spent for the first $3500 of eligible purchases in a month. For any eligible spending over $3500, they will earn 1 Airpoints dollar for every $300 spent.
