Credit Card Icon

2.4. Dual card accounts and tiered points

The amount of points you earn can vary depending on whether it is a Visa, Mastercard, American Express or (rarely) Diners Club. American Express generally offers the highest rate of reward points for every dollar spent, but is not as widely accepted in Australia when compared to Visa or Mastercard.

Because of this, many reward credit cards are dual accounts, which means they come with an American Express card as well as a Visa or Mastercard. With these accounts, the Amex card still earns the most points, but when it can’t be used, cardholders can choose the Visa or Mastercard option and still earn points (at a lower rate).

Example 1
A dual rewards credit card could offer you 3 points per $1 when you use the American Express card, and 1 point per $1 when you use a Mastercard.

Credit Card Icon

2.4. Dual card accounts and tiered points

Tiered point programs, on the other hand, earn you different amounts of points based on where you use the card.

Example
If you got a credit card for a particular department store and it had a tiered rewards program, you could earn points at the following rates:

  • 4 points per $1 spent in the department store
  • 3 points per $1 spent at major supermarkets and service stations
  • 1 point per $1 spent everywhere else.

These reward card features confuse a lot of people, but developing a better understanding and awareness of them can increase the number of reward points you earn.

TIP: Check the annual fee for dual card accounts, as it could be a lot higher than a single-card rewards account!