ASB Airpoints Mastercard Review

Key Features Summary

Detailed Card Analysis

Airpoints Earning Structure

The ASB Airpoints Mastercard earns 1 Airpoint per $100 spent on all purchases. While this 1% earning rate appears modest compared to some cashback cards, Airpoints can deliver excellent value when redeemed for Air New Zealand flights, particularly international routes where each Airpoint can be worth $1.50-2.00 or more.

No Foreign Transaction Fees

The absence of foreign transaction fees is a significant benefit for travelers. Most credit cards charge 2.5-3% on international purchases, meaning this card saves $25-30 for every $1,000 spent overseas. This feature alone can justify the annual fee for moderate international spenders.

Annual Fee Assessment

At $65 annually, this card requires strategic use to maximize value. The fee is justified through:

• Foreign fee savings: Break even with ~$2,200 international spending
• Airpoints value: Need ~$6,500 annual spending if valuing points at 1.5¢
• Combined benefits: Lower threshold when using both features

Travel Benefits Analysis

Air New Zealand Partnership

This card integrates seamlessly with the Air New Zealand ecosystem:

• Direct earning: Points post directly to your Airpoints account
• Status credits eligible: Purchases count toward status tier progression
• Booking flexibility: Use points for flights with no blackout dates
• Family pooling: Combine points with family member accounts

Additional Travel Features

• Travel accident insurance (when ticket purchased with card)
• Purchase protection on travel-related items
• Extended warranty coverage
• Emergency card replacement worldwide

Target User Profile

Ideal Candidates

• Air New Zealand loyalists: Those committed to flying with Air NZ
• Regular travelers: International travelers who value foreign fee savings
• Points collectors: Users building toward specific flight redemptions
• Status chasers: Those working toward Air New Zealand elite status
• ASB customers: Existing bank relationship holders

Less Suitable For

• Airline agnostics: Those who prefer cashback or flexible points
• Domestic-only travelers: Limited value without international spending
• Low spenders: May struggle to justify the annual fee
• Premium seekers: Lacks lounge access and premium travel benefits

Competitive Analysis

vs. Kiwibank Airpoints Credit Card

Kiwibank offers similar Airpoints earning with different fee structures and additional benefits. ASB's version focuses on simplicity with competitive foreign fee savings.

vs. ANZ Airpoints Visa

ANZ provides comparable earning rates but with different annual fee and benefit packages. Choose based on existing banking relationships and specific feature preferences.

vs. General Rewards Cards

While cashback cards like ANZ CashBack offer more flexible rewards, Airpoints cards can deliver superior value for frequent Air New Zealand travelers, especially on international routes.

Maximizing Card Value

Strategic Usage Tips

• International spending: Use exclusively for overseas purchases to avoid foreign fees
• Flight bookings: Purchase Air NZ tickets to earn points and insurance coverage
• High-value redemptions: Save points for international flights where values peak
• Status earning: Combine with flying to accelerate elite status progression

Points Optimization

Application Process

Eligibility Requirements

• 18+ years old
• New Zealand resident or citizen
• Regular income source
• Good credit history
• Existing Airpoints membership (or will create one)

Application Steps

1. Ensure you have an active Airpoints account
2. Complete ASB credit card application online or in-branch
3. Provide required documentation (ID, income verification)
4. Await credit assessment (typically 7-10 business days)
5. Activate card and link to Airpoints account

Potential Drawbacks

Limitations to Consider

• Airline restriction: Points only usable with Air New Zealand
• Earning rate: 1% rate is competitive but not exceptional
• Annual fee: Requires strategic use to justify cost
• Interest rate: 21.95% is standard but not low-rate competitive
• Limited premium features: No lounge access or comprehensive travel insurance

Fee Break-Even Analysis

To justify the $65 annual fee through various usage patterns:

Final Recommendation

The ASB Airpoints Mastercard serves a specific niche effectively: Air New Zealand loyalists who want to earn points while avoiding foreign transaction fees. The card's value proposition strengthens significantly for users who travel internationally regularly and remain committed to the Air New Zealand ecosystem.

While the earning rate isn't exceptional, the combination of no foreign fees and valuable Airpoints accumulation creates genuine value for the target audience. The reasonable annual fee makes it accessible compared to premium travel cards, though it requires strategic usage to maximize benefits.