Weighing up business rewards cards? When it comes to heavyweights like the NAB Qantas Business Signature Card and American Express Qantas Business Rewards Card, comparing their various fees, features and rewards can feel somewhat overwhelming. So, how do you choose between them in order to make the right choice for your business?
Within our ‘credit card battles’ series, we compare similar cards such as these to make it easier for you to weigh up your options. Looking closely at the various features each card offers – and how those features might suit you as a cardholder – we try to make the comparison process slightly less complicated.
With that in mind then, let’s get started.
When weighing up the suitability of any rewards card, you need to start with the annual fee. In order to make it a worthwhile option, the card must offer more value in rewards and features than it costs in annual fees.
There are two factors in play here. First up, how many cards will your business need? If you only need one card, NAB would likely be the better choice. But, if you need more than one card – as many businesses would – AmEx is the clear winner, with up to 99 cards on one account for the same annual fee.
However, you will also need to consider your annual spend and your consequent points earn, as this will affect the value of each card according to the annual fee you pay.
As a classic credit card, the NAB Qantas Business Signature Card charges an interest rate on purchases and cash advances. Neither of these rates are low, so you would want to clear your balance each month by the due date to avoid interest accruing. NAB offers up to 44 days interest free on purchases to assist with cashflow management.
Meanwhile, the American Express Qantas Business Rewards Card functions as a charge card. That means you need to pay off the balance in full each billing cycle. You are provided up to 51 days to pay for your purchases.
Opting for NAB may give you longer to pay if you are unable to clear your balance at the end of the month. But, if you do this, your balance will start attracting interest at a significant rate. As AmEx doesn’t have this option – and therefore doesn’t charge interest – we have to call it the winner.
In general, it’s worth pointing out that if you are unable to pay off your balance each month, a rewards card isn’t for you. Check out low rate options instead.
Opting for the NAB Qantas Business Signature Card, you will receive 100,000 bonus Qantas Points when you spend $4,000 within 60 days of account opening.
With the American Express Qantas Business Rewards Card, you will receive 150,000 bonus Qantas Points when you spend $3,000 in the first two months.
With a larger bonus and a smaller minimum spend, AmEx is the clear winner in this round. It is worth bearing in mind this card’s higher annual fee when determining the value of this offer to you.
Using the NAB Qantas Business Signature Card, you will earn 1 Qantas Point for every $1.50 you spend on everyday business purchases. This works out to be 0.67 Qantas Points per $1. Your points earn is capped at $50,000 per card per statement period.
It is worth noting that from March 28, 2020, payments made to the ATO will earn points at the same rate as everyday purchases. You also decide which cardholder will be credited with the points earned on the account – and you benefit from free Qantas Frequent Flyer membership.
Using the American Express Qantas Business Rewards Card, you will earn:
With its higher points earn, no points cap, and potential for points earning on up to 99 cards, AmEx wins again.
Under one account, you can have multiple cards with individual credit limits. You will receive detailed monthly statements for each cardholder and one overall summary.
You will have access to a range of Visa Business Offers, and to a comprehensive suite of benefits including accounting software, marketing solutions and productivity tools via Visa.
Visa provides access to Visa Premium benefits, and to special travel and retail privileges created by Visa Premium, including car rental discounts, access to hand-picked hotels, offers on airport lounges and travel programs.
You will have Visa’s global customer assistance on-hand 24/7.
This card provides Unauthorised Transaction Insurance and Transport Accident Insurance.
Cardholders can sync their card to pay with Apple Pay, Google Pay, Fitbit Pay, Garmin Pay and Samsung Pay.
Why choose the NAB Qantas Business Signature Card?
This card is a charge card, not a credit card, which means there is no pre-set spending limit. You will have up to 51 days to pay for your purchases, but your balance must be paid in full each month.
If you use MYOB accounting software, you can save time by setting up an automatic data feed of your card transactions. On top of that, you can utilise American Express AccessLine™ to make fast, secure payments, even to merchants who don’t accept card payments, while still earning points.
You will receive two domestic Qantas Club lounge passes per year after making an eligible Qantas purchase.
This card offers domestic and international travel insurance cover for you, your family and employee cardholders (the card must be used to pay for a return flight to activate the cover). In addition, your business won’t be liable for any unauthorised online transactions made with your card.
The card offers compatibility with Apple Pay, Samsung Pay and Google Pay.
If your card is lost or stolen, you can get a replacement within 48 hours, virtually anywhere in the world.
Why choose the American Express Qantas Business Rewards Card?
Before you make your choice, be sure to check the small print – and the eligibility requirements.
To be eligible for the NAB Qantas Business Signature Card, you must:
To be eligible for the American Express Qantas Business Rewards Card, you must:
Determining which option is right for your business will come down to how you will use the card. With a lower basic annual fee, the NAB Qantas Business Signature Card could be the best option when only one card is needed.
However, if multiple cards are required, the American Express Qantas Business Rewards Card would likely be more cost effective, allowing for a higher points earn from a higher earn rate and no points cap. This card also offers more appealing features, especially for businesses looking for travel perks.
Pauline is a personal finance expert at CreditCard.com.au, with 8 years in money, budgeting and property reporting under her belt. Pauline is passionate about seeing Aussies win by making their money – and their credit cards – work smarter, harder and bigger.
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