Platinum credit cards

Common features of a platinum credit card

The features described are standard across all platinum credit cards available in NZ (with one or two exceptions which we will highlight as we go).

Earn rewards on your spend

All platinum credit cards let you earn rewards on the purchases you make using the card. These could be part of a popular rewards scheme such as Airpoints, or part of a bank or card provider’s own scheme, such as BNZ Rewards or Membership Rewards from AMEX.

Some options credit cards let holders earn cashback on their credit card spend.

Each rewards programme has it pros and cons. For example, some Airpoints credit cards have strong earn rates and may be good options for those who like to travel, but they can’t be redeemed for everything.

However, cashback credit cards effectively let you earn money that can be used for any purchase, but they often don’t have the same range of benefits as similar cards.

Learn more about the different credit card rewards programmes in our guide.

Complimentary travel insurance

Almost all platinum credit cards also offer some form of travel insurance (the only exception is the ANZ CashBack Visa Platinum). However, what that travel insurance covers varies from card to card.

For example, most cards only cover international travel. But the American Express Airpoints Platinum and the TSB Platinum Mastercard cover both international and domestic trips.

The length of trip that is covered can also vary significantly. The Westpac Airpoints Platinum Mastercard covers trips for a maximum duration of 35 days, while other credit cards can cover much longer trips.

Check out our guide to credit cards with travel insurance for more detailed information.

Other insurances

While not as standard across platinum credit cards, several options also come with other types of complimentary insurance.

These include:

• Mobile phone insurance: Both the TSB Platinum Mastercard and the AMEX Airpoints Platinum come with mobile phone cover. However, AMEX’s insurance just covers damage to smartphone screens, not all other types of damage.
• Domestic rental vehicle excess insurance: BNZ’s Advantage Visa Platinum credit card covers the cost of car rental excess, but only for vehicles rented in New Zealand.
• Price protection insurance: If you purchase an item that becomes cheaper within 30 days, you will be reimbursed for the difference. A feature of the TSB Platinum Mastercard.
• Extended warranty insurance: Applicable to Westpac Platinum credit cards, this cover extends the standard warranty on goods you buy in New Zealand by 12 months.
• Purchase protection insurance: Another feature of the Westpac Platinum cards, all new purchases you make on your card will be covered against loss, theft, or accidental damage for 90 from the purchase date.

Who is a platinum credit card best for?

Thanks to their range of benefits, platinum credit cards can be a good choice for many people. However, they aren’t the right choice for everyone.

Regular credit card spenders

As all platinum cards offer some sort of reward for spending (whether it’s an airline loyalty points, cashback, or otherwise), they are best suited to those who use their credit for most of their spending. This mainly comes down to the annual fee.

All credit cards of this type include an annual fee so the rewards you earn on your spend must make that fee worthwhile. If you don’t intend to use your credit card as your primary payment method, it’s unlikely a platinum credit card will provide enough value for you.

For this reason, a platinum credit card is not a good choice for those who just want a credit card as backup.

People who like to travel

Platinum credit cards often have lots of perks related to travel, making them a great option for those who like to get away when they can.

As described in the section above, almost all platinum cards come with complimentary travel insurance (either international domestic, or international only). This gives travellers the convenience and cost saving of not having to arrange their own separate travel cover for their trips.

Remember that credit card travel insurance doesn’t cover pre-existing conditions as standard, but it can be added at extra expense in most cases. Find out more in our complete guide to credit cards with travel insurance.

Several credit cards also offer other travel benefits. For example, the AMEX Airpoints Platinum also comes with free airport lounge access through its complimentary Priority Pass membership. It also lets cardholders earn Airpoints on their spend, which can be redeemed for flights, travel upgrades, and so on.

Those who pay their card off in full each month

These types of credit cards usually have higher purchase interest rates than other types. However, you will only have to pay interest on your purchases if you don’t pay off your credit card balance in full each month.

As long as you cover the full amount on your credit card statement by the date stated, you won’t have to pay any interest at all on your purchases.

If you don’t expect to be able to pay off the card in full each month, you are better off looking at a low-rate credit card and ideally one that doesn’t have an annual fee. There are plenty of options out there – check out our complete credit card comparison guide for more.