bcu Rewards Credit Card

Pauline Hatch

Pauline is a personal finance expert at CreditCard.com.au, with 9 years in money, budgeting and property reporting under her belt. Ask Pauline a Question about this card.

The bcu Rewards Credit Card

Making it super easy to earn cashback on everyday card spending, the bcu Rewards Credit Card is a great alternative to standard rewards cards. With a low purchase rate and a reasonable annual fee, the card keeps its features fairly simple, concentrating on those cashback rewards, while providing access to credit.

What we love...

There’s no denying earning rewards can be pretty exciting. It feels like you are getting something for nothing, like you are getting a little treat simply for spending on your credit card. But, rewards programs can be complicated. Sometimes it can be hard to work out whether you are actually getting value for money.

Which is where the bcu Rewards Credit Card comes in. Unlike standard rewards cards that earn points that are then redeemed for rewards, this card earns cashback, which can be spent in any way the cardholder pleases. There are no tiered earning structures to remember, and cardholders don’t have to pour over rewards options, trying to figure out how to redeem their points to get the best value from them.

Instead, cardholders simply earn 0.49% back on every dollar they spend on eligible purchases. So, for every $1,000 you spend on the card, you will get $4.90 back. In case you were wondering, eligible purchases are most purchases made on the card, apart from cash advances, BPay, fees, charges and enforcement expenses, interest, balance transfers or transactions for business purposes.

Each month, the cashback you have earned will be automatically credited to your Rewards Credit Card. How much value does this offer? You would need to spend around $18,200 on your card each year to cover the $89 annual fee, but from there, all the cashback is yours. Take note, the maximum cashback you can earn is $500 per financial year.

In terms of costs, the card has a low rate for a rewards card. But, carrying a balance and paying any interest on it – even if it is at a low rate – will make it very hard to enjoy real value on the cashback rewards you receive. Instead, it’s better to clear your balance by the due date, and then you can enjoy the card’s interest-free feature, with up to 52 days interest-free on purchases.

What’s not so great...

The main sticking point on this card is its application process. While many providers now offer full online applications, bcu requires new cardholders to apply over the phone on 1300 228 228 or in person at a branch (you can also lodge an enquiry online and the team will get in touch). bcu’s branches are all on the NSW coast, from Tweed Heads to Port Macquarie, so if you don’t live nearby you’ll need to apply by phone.

Why should you choose this card?

If you clear your balance each month and want to earn something back on your credit card spending, the bcu Rewards Credit Card could offer real value. Cardholders who don’t have time for complex rewards programs, or who simply want to earn cashback to spend as they like can enjoy an easy way to get something back on their spending day-to-day.

Unlike some rewards cards, this one offers a low minimum credit limit of $500, making it a good choice for cardholders who want to reduce their temptation to overspend. And of course, as a credit card, it provides all the access and security features you would expect, including worldwide acceptance, contactless payments via Visa payWave, and security via Verified by Visa.

Overall Rating

An everyday rewards card that offers cashback on card spending, the bcu Rewards Credit Card is a basic offering with a low purchase rate and reasonable annual fee.