Best CC for FF points

[Perthboy]

Hi, just jumped on board and want to know if anyone can recommend the best credit card for FF points at the moment.

Or do I just have to go to points hack and do all the research myself?

Cheers,

PB

 

[RooFlyer]

We can help, but:

* There is an entire section on AFF on credit card programs here - please go there and do some research and then come back with queries. (You don't have to read everything, but you may get jumped on if you ask for all the answers without doing some basic stuff first )

* Which type of FF points? Qantas, Virgin, SQ ... etc?

 

[Perthboy]

Will do. Thanks RooFlyer.

 

[Buzzard]

You may need to do some research yourself as there are many variables.

How much are you willing to pay for a CC?, VA or QF?, Capped or not?

 

[Andz]

Bankwest Qantas debit transaction card, 5 points per $1

 

[MEL_Traveller]

Bankwest Qantas debit transaction card, 5 points per $1

I just had a look at the details of this card - it says 5 QFFF points per eligible transaction - not per $ spent. So a purchase of $100 gets 5 QFFF points, and a purchase of $1 also gets the same 5 QFFF points.

However - the main benefit seems to come from the 12 QFFF points per $100 you have in your account each month. A nice earner if you want to park your money. However - how does the ATO claim tax on this?

 

[cove]

Mastercove has taken up NAB CC for 75,000 points,Bankwest for 50,000 points, St George for 30,000 points,Amex Velocity for 110,000 points Westpac for 100,000 points and ANZ for 75,000 points. If you read up on their respective websites you may find something that is a fit for you. I think AFF has threads on each of these. You should also take care that you don't overdo it as your credit rating can take a beating if you mess up.
I think I left out Citi and he has not done HSBC which could work too. Then there is Amex Explorer and Amex Ultimate if you need big sign ons.

 

[RoMambai]

However - the main benefit seems to come from the 12 QFFF points per $100 you have in your account each month. A nice earner if you want to park your money. However - how does the ATO claim tax on this?[/QUOTE]

It doesn't, which makes it a useful means to park money when needed. I just wished there was a velocity equivalent.Then I'd be happier.

 

[Dr Ralph]

Difficult question perthboy given you've provided no parameters.

To start with ask yourself the following questions:

1) Which airline do you want points for?

2) What's your income and current loan balance?

3) How much are you prepared to pay for a credit card? Or do you expect free points?

4) Are you after sign up bonuses or points per spend?

 

[Andz]

Apologies for the typo.

$30,000 in a term deposit for 12 months at 2.7% you get = +-$810
$30,000 at 12 QFF per $100 is $43,200 points
equals 1.8 cent per point

 

[RoMambai]

Apologies for the typo.

$30,000 in a term deposit for 12 months at 2.7% you get = +-$810
$30,000 at 12 QFF per $100 is $43,200 points
equals 1.8 cent per point

Once you factor in 50 % capital gains tax, the 'price' per point should halve which makes it more of a value proposition.

 

[SponsorSFC]

There is no capital gain on a term deposit. The interest is income which is taxable at your marginal rate the capital returned at maturity is equal to the initial investment, points are not considered income AFAIK.

 

[RoMambai]

You're probably right but whichever tax it is will have an inverse relationship with the value of the points. Ie the greater the tax, the better value the points.

For mine the major variables are the nominal tax rate and the prevaling interest rate. Given I price qff at 1 cent a point, a bank rate above 3% on deposits (and while in the top tax bracket) would mean the bankwest offering is no longer economic.