Woolworths Everyday Money credit card
Most Australians have heard of the Woolworths Group which includes Woolworth and Safeway supermarkets, Big W, Woolworths/Safeway Liquor, Dick Smith Electronics, Tandy Stores as well as their co-branded Caltex petrol outlets. You probably use one or more these outlets on a regular basis. The manner in which Woolworths has made its entry into Australia’s financial services market reflects their approach which has given them leadership in many of the markets in which they operate.
While no one would expect Woolworths to achieve a dominant position in Australia’s credit card market – they should be very successful in a special niche. To help them achieve this outcome, they have crafted a brilliant combination of their Everyday Money credit card (a MasterCard) and their Everyday Money Shopping card. Each card has a clear purpose but, once linked and with the rewards offered on each of the cards, the pair makes a most competitive package which lifts the credit card above much of the competition.
Woolworths Everyday Money credit card
The Woolworths Everyday Money credit card is issued by HSBC Bank. The credit limit is determined by the Bank from credit card applications that meet their credit acceptance criteria.
Woolworth’s credit card contains many of the features and pricing found in HSBC’s own credit cards. The standard interest rate on carry-forward purchases balances is 17.99% per annum and 20.99% on any cash advances. The annual fee of $49 is waived for the first year. This is not a particularly outstanding credit card package in terms of interest rates. However, the Woolworths Everyday Money credit card contains a ‘Reward’s package that is not found with any of the plain-vanilla ‘low-rate’ credit cards or the more expensive, more traditional rewards cards.
The Woolworths Everyday Money credit card warrants a close look in its own right and most certainly when considering applying for a Woolworths Everyday Shopping Card.
To encourage people holding other credit cards to make Woolworths Everyday Money credit card their main or sole credit card, they are currently offering a ‘balance transfer’ promotion which carries an interest rate of 5.99% per annum on the balance transferred for a period of six months.
It is important to note with all balance transfer plans – not just the one offered by Woolworths, the amount of the balance transferred usually cannot exceed 95% of the approved credit limit. In addition, if more than one credit card balance is to be transferred, the largest balances are usually transferred first. Make sure you understand how the transferred balance is treated both during the promotion period and upon its expiry.
Woolworths Everyday Money credit card earns you points and, for a limited time, can save you 10 cents per litre on petrol purchases made using a linked Everyday Money credit card at the pump.
Most cardholders will earn their points at Woolworths and Safeway supermarkets. Purchase any of their ‘Select’ brand merchandise and earn 3 points for every $1 spent. Two points per dollar spent are earned on purchases made at most other arms of the Woolworths group of companies. As the credit card is a MasterCard and recognized around Australia and world-wide, other spending accrues at the rate of one point per dollar spent. That sounds like a fabulous rewards program – and it is! Just remember, the points have low monetary value; you will require 17,240 reward points to redeem a $100 gift card or shopping voucher.
If you spent (say) $150 per week on food at one of their supermarkets of which, $25 of the total was spent on ‘Select’ brand products, you would earn over 1,200 points a month on those purchases alone. Add purchases made at other Woolworth’s group outlets and elsewhere, and the total points starts to build. It makes sense to use the Woolworths Everyday Money credit card for the bulk of your living expenses.
The credit card has an embedded microchip that provides protection against unauthorized use. Once the credit card is linked to the Woolworths Shopping card, the discounts earned from purchases are automatically transferred to the card and applied when buying petrol at one of the co-branded petrol outlets.
Finally, for peace of mind, Woolworths Everyday Money credit card offers low-cost repayment insurance to cover monthly repayments in case you are retrenched or made redundant or can’t work due to injury or sickness. This insurance also covers the outstanding balance to a maximum of $25,000 if you become totally or permanently disabled or were to die.
The features and rewards of the Woolworth Everyday Money credit card make it a very attractive proposition indeed. Link it to an Everyday Shopping Card and the combination is simply brilliant!