Citibank credit cards. Many cards for many occasions
Citibank is a major force in global financial services – credit cards are just a small part of its diverse business. As the first foreign bank to be licensed to operate in Australia, Citibank’s local consumer operations began in 1985 and have greatly expanded in the interim.
Most Citibank credit card products provide members with the choice of a MasterCard or Visa card.
Their range of card plans is among the largest in Australia. They have cards for managing business expenses, providing rebates on all purchases and payments, savings at BP stations and car rental, executive travel card in conjunction with Emirates Airline, two low-cost cards known as ‘Clear’ and Platinum ‘Clear’, and three different levels of their credit cards linked to their ‘Free Rewards’ Program.
At Credit Card Application this time we’ve chosen to review the Citibank Clear, Citibank Silver and Citibank Gold.
Citibank Clear (only available as Visa)
Provided there is no carried forward balance on the account (the norm with all credit cards), purchases on the current statement are interest-free for between 30 and 55 days, depending when the purchases were made in the billing cycle. Their standard interest rate on carry-forward balances is a competitive 12.49% per annum – interest on cash advances is 20.74% from transaction date.
The ‘Clear’ card has an annual fee of $55 and supplementary cards cost $19. Citibank is currently offering a special promotion to attract new cardholders – just 2.99 per annum on balance transfers from other institutions for six months. Any balance transfer amount remaining at the end of the six month honeymoon is combined with other balances from carry-forward purchases, and charged interest at their standard rate for purchases.
They also have a Platinum ‘Clear’ card which carries a standard interest rate of 11.99% per annum. Balance transfers to this card are charged 2.9% per annum interest over six months. This card has a higher annual fee and requires the applicant to have a minimum annual income of $50,000 – versus $20,000 for the basic ‘Clear’ cardholder.
‘Clear’ cardholders have access to upgrades, discounts, special entertainment offers and post-purchase and fraud protection. Applicants must have an annual income greater than $20.000.
Citibank Silver and Citibank Gold – (Available as Visa or MasterCard)
Both of these cards have an interest-free period of up to 55 days and an annual fee ($69 for Silver and $119 for Gold). The current interest rate of 19.99% per annum applies to both carry-forward purchases and cash advances. Their interest rate on purchases is less competitive than others on offer but for some people, the additional cost is minor when the benefits of the Citibank Rewards program are considered. The benefits of the ‘Clear’ cards are also available to these cardholders.
Citibank Rewards program is free to all Citibank Silver and Citibank Gold Cardholders – as well as some of its other cards (but not with any of their ‘Clear’ products).
Purchases made via Citibank Silver or Citibank Gold credit cards earn one Reward point for each $1 spent. Unlike many credit card rewards programs available from other institutions, Citibank points do not expire but they are capped at 40,000 for ‘Silver’ and 60,000 for ‘Gold’ cardholders.
Rewards Program points can be used for fair travel, purchases and cash-back redemption.
Other benefits of afforded to Citibank Gold cardholders is Purchase Cover of $125,000 (silver $50,000) and free travel insurance (Gold only).
In summary, look at Citibank ‘Clear’ credit card for basic credit card use, a reasonable interest rate and a competitive balance transfer rate. The other cards have to be assessed more for their range of benefits.