Impact of RBA surcharge ban on Qantas points earnings and alternatives for frequent flyers
Consensus Summary
The core story revolves around the impact of Australia’s October 2023 ban on debit and credit surcharges, which removed merchant fees for card payments. The Reserve Bank of Australia’s 63% reduction in interchange fees (from 0.8% to 0.3%) is expected to cut revenue for credit card providers, likely leading to reduced points rewards for frequent flyers. Both articles highlight that the 2017 fee reduction caused significant cuts to points earn rates and sign-up bonuses, signaling that credit card rewards are becoming less viable for bulk Qantas points accumulation. As alternatives, the articles emphasize Qantas’ own programs, including health insurance sign-up bonuses (140,000 points), the Qantas Wellbeing app for activity-based rewards, and partnerships with retailers like Woolworths (2:1 points conversion) and energy providers (Red Energy, Origin Energy) for utility spending. The consensus is that frequent flyers must now rely on non-card strategies, such as shopping portals, gift card promotions, and everyday purchases, to earn sufficient points for rewards like flights or luxury holidays.
✓ Verified by 2+ sources
Key details reported by multiple sources:
- Debit and credit surcharges were banned in Australia on October 1, 2023, removing merchant fees for card payments
- The Reserve Bank of Australia (RBA) slashed interchange fees for credit cards by 63%, from 0.8% to 0.3%
- The 2017 RBA interchange fee reduction led to reduced points earn rates for credit cards, some by up to a half, and slashed sign-up bonuses
- Qantas Frequent Flyer program covers approximately 50% of the Australian population
- Qantas Health Insurance offers a sign-up bonus of 140,000 Qantas Points for new customers joining by April 9
- Everyday Rewards at Woolworths, BIG W, and BWS converts points to Qantas at a 2:1 ratio
- Red Energy and Origin Energy provide bonus points for switching electricity providers and ongoing points for electricity spending at a 2:1 conversion
- Ampol and BP petrol stations offer Qantas points for fuel purchases
Points of Difference
Details reported by only one source:
- Nicole Pedersen-McKinnon is mentioned as the author of 'How to Get Mortgage-Free Like Me' and her social media links are included
- The article references 'Qantas Wellbeing app' giving up to 1000 points in the first month for hitting 10,000 steps and sleep targets
- The article mentions 'Qantas Home Loans' as an option with 100,000 points paid annually for the life of the loan
- The article includes a specific reference to 'Qantas Luxury Holidays' as a points-earning option alongside Qantas Hotels
- The article notes that 'bonus points are often paid across two years now as a customer loyalty play'
Contradictions
Conflicting information between sources:
- No contradictions found between the two sources
Source Articles
Forget credit cards. Here’s where to earn bulk Qantas points now
The RBA’s crackdown means frequent flyers can probably soon forget credit cards as a source of bulk points. So what should you do instead?...
Forget credit cards. Here’s where to earn bulk Qantas points now
The RBA’s crackdown means frequent flyers can probably soon forget credit cards as a source of bulk points. So what should you do instead?...