BNZ Airpoints Visa Review

Key Features Summary

Airpoints Earning Analysis

Earning Rate Assessment

At 1 Airpoint per $125 spent, this card offers a 0.8% base earning rate. While modest compared to cashback alternatives, Airpoints can deliver superior value when redeemed strategically for Air New Zealand flights, particularly international routes where each point often exceeds 1¢ in value.

Annual Fee Justification

The $40 annual fee requires strategic use to maximize value. Break-even scenarios depend on both spending level and redemption value:

• Conservative estimate: ~$5,000 annual spending (assuming 1.2¢ per point)
• Optimistic scenario: ~$2,700 annual spending (assuming 2¢ per point)
• Realistic target: $4,000+ spending with mixed redemption values

Target User Profile

Best Suited For

• Entry-level earners: Those new to rewards programs wanting low commitment
• Light spenders: Users with $5,000-15,000 annual credit card spend
• Air New Zealand users: Occasional flyers building toward redemptions
• BNZ customers: Existing relationship holders seeking rewards integration
• Status builders: Those working toward Air New Zealand elite status
• Budget-conscious travelers: Wanting travel rewards without high fees

Less Ideal For

• High spenders: Better value available from higher-tier Airpoints cards
• Cashback preferrers: Direct cash rewards might offer more flexibility
• Airline agnostics: Limited to Air New Zealand ecosystem
• Frequent travelers: May benefit from cards with no foreign fees

Competitive Analysis

vs. Higher-Tier Airpoints Cards

Premium Airpoints cards like ASB Airpoints Mastercard ($65 fee, 1 point per $100) offer better earning rates and additional benefits. BNZ Airpoints Visa serves as an entry point for those wanting lower commitment or testing the program.

vs. ANZ CashBack Visa

ANZ offers 1% cashback with no annual fee, providing guaranteed value without redemption complexity. BNZ Airpoints can deliver superior value for strategic redeemers but requires more effort and planning.

vs. Other Low-Fee Cards

This card occupies a middle ground between no-fee basic cards and higher-fee premium options, appealing to users wanting rewards without significant annual cost commitment.

Redemption Strategy

Maximizing Airpoints Value

• Target international flights: Best redemption value per point
• Book well in advance: Better award seat availability
• Avoid peak periods: Higher redemption costs during busy travel times
• Pool family points: Combine accounts for larger redemptions

Application Process

Eligibility Requirements

• 18+ years of age
• New Zealand resident or citizen
• Regular income source
• Good credit history
• Airpoints membership (or willingness to join)

Application Steps

1. Ensure active Airpoints account or prepare to create one
2. Complete BNZ credit card application online or in-branch
3. Provide standard documentation (ID, income verification)
4. Undergo credit assessment (typically 5-10 business days)
5. Card delivery and activation upon approval
6. Link card to Airpoints account for automatic earning

Additional Benefits

Standard Visa Benefits

• Purchase protection: Coverage against theft and damage
• Extended warranty: Additional warranty period on purchases
• Travel accident insurance: Coverage when tickets purchased with card
• Emergency assistance: Global customer support services

Air New Zealand Integration

• Direct points posting to Airpoints account
• Eligible for status credit earning
• Access to member-exclusive promotions
• Family points pooling capabilities

Usage Optimization

Maximizing Annual Value

• Concentrate spending: Use this card for all purchases to maximize earning
• Pay bills: Utilities and services count toward earning
• Track promotions: Bonus earning opportunities periodically available
• Combine with flying: Accelerate status progression through integrated earning

Cost Management

Long-Term Perspective

Card Evolution Path

This card serves as an entry point to the Airpoints ecosystem. As your spending increases or travel needs grow, you might graduate to higher-tier Airpoints cards with better earning rates and additional benefits. The low annual fee makes it a risk-free way to test your compatibility with points-based rewards.

Program Stability

Air New Zealand's Airpoints program has remained relatively stable over the years, providing confidence in long-term earning and redemption value. The partnership between BNZ and Air New Zealand appears solid, reducing concerns about program changes or discontinuation.

Potential Drawbacks

Limitations to Consider

• Modest earning rate: 0.8% is competitive but not exceptional
• Airline restriction: Points only usable within Air New Zealand network
• Foreign transaction fees: 2.5% penalty for international spending
• Annual fee threshold: Requires moderate spending to justify
• Limited premium benefits: Basic card without luxury features

Final Assessment

The BNZ Airpoints Visa fills a specific niche in the New Zealand credit card market: affordable entry to Air New Zealand's rewards program. While the earning rate is modest and the annual fee creates a breakeven threshold, it provides valuable accessibility for those committed to the Air New Zealand ecosystem.

This card works best for light to moderate spenders who fly Air New Zealand occasionally and want to build toward free flights without the commitment of higher annual fees. It's particularly suitable as a stepping stone into rewards programs or for those testing their affinity for points-based rewards.