Qantas Frequent Flyer Payment Card

[equus]

Why dont they focus on doing a debit card that earns points?

Becasue there are no margins in a debit card to fund the points.

 

[richie9x]

Air NZ have something similar I believe.

The Air NZ card is called OneSmart. The fees on it are a joke, almost anything you do or don't do on the card they charge you a fee. Not only is there a monthly account fee, if you don't use it there is also an additional monthly inactivity fee. They charge you a fee to load money on. There are a lot better reloadable debit cards available with better fees.

If Qantas charge similar fees to Air NZ, I won't use it. If they charge more realistic fees then I would consider it.

 

[whatmeworry]

Qantas Frequent Flyer to branch into banking?

Qantas is looking to turn its Frequent Flyer cards into prepaid travel money cards that can be used in shops, restaurants and ATMs overseas.

Qantas mulls turning frequent flyer card into travel money card - Flights | hotels | frequent flyer | business class - Australian Business Traveller

Qantas: Here comes Q Money? | Plane Talking

 

[markis10]

Becasue there are no margins in a debit card to fund the points.

Not true, which is why other airlines have points earning debit cards!

http://www.bankofamerica.com/deposi...ontext=&statecheck=AL&cd_bag=&sa_bag=&ch_bag=

https://www.suntrust.com/PersonalBanking/EverydayBanking/Checking/CheckCards/DeltaSkyMilesCheckCard

Qantas mulls turning frequent flyer card into travel money card - Flights | hotels | frequent flyer | business class - Australian Business Traveller

Qantas: Here comes Q Money? | Plane Talking

News broke on this thread the day before these articles were published , which is why I have merged your thread with this one.

 

[whatmeworry]

Thought I heard about this a couple of days ago. In the surveys I saw, it looks like QF is looking into new areas and getting new partners into the program.

 

[equus]

Not true, which is why other airlines have points earning debit cards!

Earn Miles with an Alaska Airlines Debit Card from Bank of America

https://www.suntrust.com/PersonalBanking/EverydayBanking/Checking/CheckCards/DeltaSkyMilesCheckCard

To be more precise then, no margins in the Australian Interchange rates for debit cards as presently implemented. Overseas cards, and others not implemented as true debit cards (i.e. use credit card interchange rates) can have margins that are the same as credit cards, and happily support points earning schemes - but see what happens if you use them at a merchant with different surcharges for credit and debit cards!

 

[oz_mark]

Not true, which is why other airlines have points earning debit cards!

Earn Miles with an Alaska Airlines Debit Card from Bank of America

https://www.suntrust.com/PersonalBanking/EverydayBanking/Checking/CheckCards/DeltaSkyMilesCheckCard

The interchange fee on a transaction using Visa Debit in Australia is about 8c. Presumably, fees are structured differently in the US.

 

[markis10]

The interchange fee on a transaction using Visa Debit in Australia is about 8c. Presumably, fees are structured differently in the US.

Not to different, in fact cheaper, in Australia commercial transactions for mastercard and visa debit attract an interchange fee of over 1% of the transaction for a business card and .33% for standard/.44% for Platinum by comparison in the US

• A base fee of 21 cents per transaction for transactional type costs/expenditures
• A five basis point adjustment to cover potential losses from fraudulent activity
• An additional 1 cent per transaction to cover fraud prevention costs (except for monitoring, which is included in the base transaction costs/expenditures noted above) if the issuer is eligible

So over $5 as a commercial transaction the banks are better off here, funny how they are all pushing commercial debit cards for business (cue QF)!

 

[oz_mark]

Not to different, in fact cheaper, in Australia commercial transactions for mastercard and visa debit attract an interchange fee of over 1% of the transaction for a business card and .33% for standard/.44% for Platinum by comparison in the US

• A base fee of 21 cents per transaction for transactional type costs/expenditures
• A five basis point adjustment to cover potential losses from fraudulent activity
• An additional 1 cent per transaction to cover fraud prevention costs (except for monitoring, which is included in the base transaction costs/expenditures noted above) if the issuer is eligible

So over $5 as a commercial transaction the banks are better off here, funny how they are all pushing commercial debit cards for business (cue QF)!

Fine if you are talking commercial cards, but for consumer cards the fees are way lower, and an electronic transaction on a consumer debit card does not have anywhere near those level of fees.

 

[markis10]

Fine if you are talking commercial cards, but for consumer cards the fees are way lower, and an electronic transaction on a consumer debit card does not have anywhere near those level of fees.

Unless the consumer presses credit

 

[oz_mark]

Unless the consumer presses credit

Pressing credit just sends it through the Visa or Mastercard network, with the appropriate interchange. For Visa this is 8.8c per transaction for an electronic transaction on a consumer debit card. 8.8c is not going to fund a lot of frequent flyer points.