These are the questions Australians ask us most. Each answer links to the full guide where you can go deeper — and the comparison calculator puts dollar figures on any card choice.
Credit Card FAQ: Australia's Most-Asked Questions
Straight answers on applications, credit scores, points and fees
By the CreditCardsCompare.com.au editorial team — last updated 7 October 2026.
Frequently Asked Questions
How many credit cards should I have?
Most people do best with one or two: a rewards or cashback card for everyday spend, and optionally a no-foreign-fee card like the 28 Degrees Platinum for travel. Beyond two, annual fees and credit enquiries usually outweigh the benefits.
Does applying for a credit card hurt my credit score?
Yes, slightly and temporarily. Each application records a hard enquiry; a single enquiry has a small effect, but several within a few months can materially lower your score and trigger automated declines. See our credit score guide for details.
Do frequent flyer points expire?
Qantas Points expire after 18 months of no earning or redemption activity; Velocity Points after 24 months. Any activity — even a small earn — resets the clock, so active cardholders never lose points.
Is it worth paying an annual fee for a credit card?
Only if the value you'll realistically extract — points at a sensible valuation plus benefits you'll actually use — comfortably exceeds the fee. Our comparison calculator does this maths for your spending profile.
What happens if I miss a credit card payment?
You'll typically be charged a late fee, lose your interest-free days so interest accrues on the full balance, and a default can be listed on your credit file if the payment is more than 60 days overdue and over $150. Our missed payment guide covers recovery steps.
Can I transfer a balance to a new card?
Yes — balance transfer offers let you move existing card debt to a new card at a low or 0% introductory rate for a fixed period. The transferred balance doesn't earn points and new purchases may not get interest-free days. See the balance transfer guide.
What's better: points or cashback?
Points win if you redeem for flights at mid-to-high valuations (1.0¢+ per point); cashback wins if you want guaranteed value or redeem points poorly. At a 1¢ valuation, a 1.25 pts/$ card returns 1.25% versus 1% flat cashback.