Review of BNZ Travel Cards in NZ: Complete Guide for New Zealand residents
Considering BNZ's Travel Card for your upcoming travels overseas? Our guide cover all the features and benefits including caveats about the exchange rates.
One of the biggest questions when heading abroad is how to pay for it all. A travel money card is one option where you load foreign currencies to use locally, but not all banks offer them. Instead, banks like Kiwibank offer foreign currency transactions on their existing credit or debit cards. While this can be convenient and doesn’t require another card, it can also be expensive. Read on to learn more about how Kiwibank can help you pay for expenses abroad and how a Wise card can save you money on your next trip.
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What is a Travel Money Card? |
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A travel money card is a prepaid travel card that can hold multiple foreign currencies. It is ideal for overseas travel because you can withdraw foreign currency from ATMs, make purchases in local currencies, and top up as needed. The currencies available depend on the travel card provider. Check exchange rates and fees when loading currencies onto the card. Since it is often a physical card, order one ahead of your trip so it arrives on time.1 |
While Kiwibank doesn’t offer a specific prepaid travel card, it does let new and current credit and debit cardholders use their cards to pay for expenses overseas. Here are the card options:
Kiwibank offers an Air New Zealand Airpoints Platinum Visa credit card that works like a regular credit card and offers additional benefits, such as Airpoints Dollars, status points, Koru membership, and travel insurance.2
The Kiwibank Visa Debit card is like a regular debit card that connects to your bank account and allows you to withdraw cash from ATMs and buy things online, in-store, and overseas. Cardholders can connect the Kiwibank Visa debit card to their Google Pay or Apple Pay accounts and pay while on the move.3
As a New Zealand traveller, here are some perks of holding a Kiwibank card when going abroad:
The Kiwibank Air New Zealand Airpoints Platinum Visa credit card works like a regular credit card, so you will pay interest on any ongoing balance, but it comes with these benefits:4,5
While there is no fee to open an account, a 90 NZD account fee is charged every six months. In addition, a 15 NZD fee is charged every six months for additional account holders. Check out the section below for more information on charges and fees.
The Kiwibank Visa debit card works like a regular debit card, so the money is deducted automatically from your account, but it can be used overseas too:6
Keep in mind that while overseas transactions and cash withdrawals are possible with the Visa debit card, additional charges may apply.
Kiwibank Air New Zealand Airpoints Platinum Visa Credit Card offers travel insurance benefits to cardholders if they use the card for overseas travel bookings before leaving New Zealand. Here’s a quick rundown of how it works:7
Using your Kiwibank travel card overseas is easy because you can use it like a regular credit or debit card. That means you can swipe, tap (if available) or insert the chip to make purchases. If you have Google Pay or Apple Pay, you can also link your accounts.
Kiwibank cards can be used anywhere Visa is accepted, online and in-store.14
But before you get started, you must activate the Overseas Travel Settings on the card using the mobile app or internet banking before travelling out of New Zealand. It helps Kiwibank protect your accounts while you travel overseas. Here are the steps to set it up:
Signing up for a Kiwibank card is easy. Here are the steps for the credit card or debit card. 15, 16
Existing Kiwibank customers can log into the internet banking portal and apply.
Existing Kiwibank customers can log into the internet banking portal and complete the application process.
Paying with a Kiwibank travel card is the same as paying with your regular debit or credit card.
You can use your Kiwibank travel card to withdraw cash in foreign currency at ATMs that accept Visa overseas. However, when getting cash abroad, keep in mind cash advance fees, interest, and foreign currency markup charges.
If you need cash, withdrawing foreign currency using your Kiwibank travel card is possible, but you must pay the Kiwibank ATM fees on each withdrawal. 9
Type of transaction | Fees |
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Overseas ATM cash withdrawal fee | 6 NZD per withdrawal |
International Transaction Fee for Visa Debit Card | 2.5% of the NZD amount once converted |
International Transaction Fee for Platinum Visa Credit Card | 1.85% of the NZD amount once converted10 |
Cash Advance Interest for Platinum Visa Credit Card | 20.95% per annum |
Kiwibank published its foreign exchange rates that applies when you make purchases abroad or withdraw from ATMs in another currency. You'll find that these rates higher than the [mid-market rate]((https://wise.com/nz/mid-market-rates) you see on Google — and the one used by Wise.
On top of this markup on mid-market rates, Kiwibank charges a fee of 2.5% on foreign currency transactions and ATM withdrawal fees. These expenses can quickly add up to expenses and make swiping the card expensive.8
As an alternative, we invite you to check out the Wise card. Wise does not offer any reward or benefits such as cash back or travel insurance. But it does provide a straightforward [mid-market exchange rate](https://wise.com/nz/mid-market-rate] without any markups on every transaction.
Let’s take a look at how both cards compare:
Parameters | Kiwibank Travel Card | Wise Travel Card |
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Card application fee | None | One-time fee of NZD 14 |
Account Maintenance Fees | NZD 10 per year for debit card (waived for the first year). 90 NZD per 6-months for credit card | No recurring charges |
Exchange Rate | As published by Kiwibank | Mid-market rate |
ATM Withdrawal fee | 6 NZD per withdrawal | Free for to up 350 NZD in a month (in 2 or less withdrawals). 1.50 NZD + 1.75% after that. |
Rewards and Promotions | Available on the Platinum Visa Credit Card. | Not available. |
Please see terms of use and product availability for your region or visit Wise fees and pricing for the most up-to-date pricing and fee information.
Carrying foreign currency in cash when travelling overseas is risky, and using your regular debit and credit cards can be expensive. Therefore, a travel money card proves handy because it allows you to load your foreign currency in advance and benefit from exchange rate fluctuations and foreign currency markup charges.
Kiwibank offers a credit card and debit card that can be used for travel purposes overseas, but charges and markups can make purchases expensive. As an alternative, we invite you to consider Wise Card that offers you to swipe like a local in 40+ currencies with the mid-market rates, and no ongoing fees.
Please see terms of use and product availability for your region or visit Wise fees and pricing for the most up-to-date pricing and fee information.
Sources used for this article:
Sources verified on 9 June 2024.
*Please see terms of use and product availability for your region or visit Wise fees and pricing for the most up to date pricing and fee information.
This publication is provided for general information purposes and does not constitute legal, tax or other professional advice from Wise Payments Limited or its subsidiaries and its affiliates, and it is not intended as a substitute for obtaining advice from a financial advisor or any other professional.
We make no representations, warranties or guarantees, whether expressed or implied, that the content in the publication is accurate, complete or up to date.
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