Bankwest Transaction account [General Discussion]

[zainman]

So i was just about to sign up for a Bankwest Zero transaction account......Decided against Citi as it didnt have paypass.

Looks like this would be a better everyday account as I can accrue points, only downside is less ATM coverage? (But still get the entire CBA network of ATM's?)

If you include the entire CBA network plus 7-elevens, that would be the most comprehensive ATM coverage in Oz I would think.

 

[qantas21]

5 QF points per transaction?

Very interesting.

So does that mean a few (thousand) 1c toll operator transactions (as our NAB friend did a few years back) would be considered an abuse of the account?

 

[burmans]

So does that mean a few (thousand) 1c toll operator transactions (as our NAB friend did a few years back) would be considered an abuse of the account?

Well only Bankwest can answer that but you have to suspect the answer would be a resounding yes!

 

[Beta4Me]

Well only Bankwest can answer that but you have to suspect the answer would be a resounding yes!

Good luck to Bankwest trying to win that argument with FOS. The best they'd get is doing a NAB and cutting off the promo from the account but honouring points earned to date.

 

[burmans]

Good luck to Bankwest trying to win that argument with FOS. The best they'd get is doing a NAB and cutting off the promo from the account but honouring points earned to date.

Well of course opinions will vary but the T&C's do give them the right not to give points on transactions they deem to be an abuse of the account (and abuse is not defined). Personally I think I'll be waiting for the 10K before I tried this.

 

[PepsiMax]

i was looking at this as I was going to pay off a small loan before going overseas, would that qualify for the points? cause the points would then be around +20,000 QFP's

 

[zainman]

So does that mean a few (thousand) 1c toll operator transactions (as our NAB friend did a few years back) would be considered an abuse of the account?

I shall try and do the same and get back to you then!

 

[carwashhair]

So make a deposit each month, then move it out again the next day, when you have your points close the account!

Except Bankwest seem to charge 20c per Internet transfer to non-bankwest accounts. Plus a $10 closing fee if you don't do it instore.

I for one look forward to earning QFF pts while avoiding CC fees buying a v.cheap tiger flight

 

[burmans]

Except Bankwest seem to charge 20c per Internet transfer to non-bankwest accounts. Plus a $10 closing fee if you don't do it instore.

I for one look forward to earning QFF pts while avoiding CC fees buying a v.cheap tiger flight

Interesting when their offer page offers free electronic transactions! I'm planning to make genuine payments via BPAY rather than internet transfers.

As for closing fee, well suggest you do instore then. Not really sure how they aim to charge $10 on an account with a $0 balance anyway!!

 

[thehound]

What's the cheapest item that can be bought online repetitively to provide 5 points per transaction?!

 

[Supersonic Swinger]

The bonus looks to be worth it, but otherwise (my numbers may not be precise) this seems to be a great way for Qantas "Loyalty" and Bankwest to skim some of the banking margin. Given that the cash interest on this account is 0.01% and Any Seat awards and the Qantas Store effectively value each QFF point at roughly 0.78 cents:

- for the $100 in the account, 12 points equates to 9.36 cents, and effectively zero cash interest. Keep that $100 in an account earning 2.5% cash interest, or 20.83 cents. 11.47 cents to QF/Bankwest on every $100 you leave banked.
- 5 QFF points per transaction works out to be 3.9 cents per transaction. Assuming the Mastercard interchange fee is 0.4% per $, only transactions less than $9.75 are worth it, anything above and you're leaving the additional on the table for QFF/Bankwest.

 

[burmans]

The bonus looks to be worth it, but otherwise (my numbers may not be precise) this seems to be a great way for Qantas "Loyalty" and Bankwest to skim some of the banking margin. Given that the cash interest on this account is 0.01% and Any Seat awards and the Qantas Store effectively value each QFF point at roughly 0.78 cents:

- for the $100 in the account, 12 points equates to 9.36 cents, and effectively zero cash interest. Keep that $100 in an account earning 2.5% cash interest, or 20.83 cents. 11.47 cents to QF/Bankwest on every $100 you leave banked.
- 5 QFF points per transaction works out to be 3.9 cents per transaction. Assuming the Mastercard interchange fee is 0.4% per $, only transactions less than $9.75 are worth it, anything above and you're leaving the additional on the table for QFF/Bankwest.

Note sure of the relevance of these comments

Point 1. While true, its just as true of any transaction account and I suspect most of us keep some money in a transaction account. For those who do the QFF points are a bonus but certainly not enough that I would deliberately keep them there (or ANY transaction account) over a saver account

Point 2. Not sure of the relevance, it's not us paying the interchange fee? This of course assumes you use the card for the transaction, you can also do Bpay or internet transfer, cash at branch. And once again Bankwest are far from the only organisation who offer a Mastercard (or Visa) Debit card, 5 QFF per transaction is 5 more than anyone else offers.

 

[b_adger]

Point 2. Not sure of the relevance, it's not us paying the interchange fee? This of course assumes you use the card for the transaction, you can also do Bpay or internet transfer, cash at branch. And once again Bankwest are far from the only organisation who offer a Mastercard (or Visa) Debit card, 5 QFF per transaction is 5 more than anyone else offers.

I'm pretty sure the ING orange cashback for paywave is a higher return (even at the lower 2% rate) than 5QFF points (unless you are spending less than $2) - anything else you can easily get 1% back with a credit card.

 

[burmans]

I'm pretty sure the ING orange cashback for paywave is a higher return (even at the lower 2% rate) than 5QFF points (unless you are spending less than $2) - anything else you can easily get 1% back with a credit card.

Fair point but is anyone here really doing this other than to get the upfront bonus, you could internet transfer or BPAY to pay that credit card bill and hence get both. You could also use your Mastercard here to buy Wish gift or Coles cards and save 5%.

PS for ING its < 2 OR > $100!

 

[gizzard]

What's the cheapest item that can be bought online repetitively to provide 5 points per transaction?!

I'm not sure about online but you could go to the supermarket and give "Split Payment" checkout a hammering! I don't know if there are any restrictions on how many you can do.

 

[thehound]

I'm not sure about online but you could go to the supermarket and give "Split Payment" checkout a hammering! I don't know if there are any restrictions on how many you can do.

You'd have to be a very patient person with lots of time on your hands unfortunately to get any useful number of points from that - it's not the 100 points per transaction that NAB was once upon a time offering.

 

[jlien]

The value of the program comes down to what people value their points.

Like supersonic swinger points out, based on 0.78c per point, you're effectively accruing non compounding interest at 1.11%

If you value your points at 1c each, then that bumps up the number to 1.46% and at 2c each that's 2.92%

Also consider that the points are tax free, so while a savings account may give a better rate tax is to be applied, so a bank offering 3.8% interest is only really worth 2.66% (based on a 30% tax rate)

Broadly speaking this program can be better than a savings account if you value your points highly, but then again many things are better than a straight up savings account.

 

[Wilko383]

Couple of questions regarding the $2000 per month deposit:

When does the month start? From the day you open you account or the 1st of the month?
Could I theoretically deposit $1000 from another account, withdraw it, and then redeposit the $1000 to make it $2000 for the month?

 

[anat0l]

Couple of questions regarding the $2000 per month deposit:

When does the month start? From the day you open you account or the 1st of the month?
Could I theoretically deposit $1000 from another account, withdraw it, and then redeposit the $1000 to make it $2000 for the month?

My mum went to visit a Bankwest branch yesterday to ask about this before she opened her own such account.

The 'month' starts on the 1st. They evaluate your account on the 1st to see if you have made your $2000 of deposits in the past month. Not only does this determine whether or not you will fulfil the requirements for the 10k bonus, but also whether you will avoid the $6 monthly account maintenance fee.

From what Mum has asked and based on the replies she received, I believe they only check whether you have $2000 going into the account every month. Note this is not $2000 nett. So my interpretation of your proposal is that this would work. For my own sake, however, I'm going to be a little bit more dynamic than simply "2k in, 2k out, I haz QF pts, kthxbai!"

 

[woodborer]

- 5 QFF points per transaction works out to be 3.9 cents per transaction. Assuming the Mastercard interchange fee is 0.4% per $, only transactions less than $9.75 are worth it, anything above and you're leaving the additional on the table for QFF/Bankwest.

Maybe, or maybe not. A great number of the intercharge fees on a debit card are measured in the cents per transaction, rather than as a percentage of the transaction. I assume this structure allows in to compete with the EFTPOS network, and the structure is thus different to a credit card. Making many micropayments is likely to hurt the retailer more than the bank....