Important information for GlobalPlus customers

#1

We’ve had a lot of customers asking about the changes to our GlobalPlus credit cards so we’ve started to answer some of the questions here. If you can’t find an answer to your question in the FAQs below, please do ask it here and we’ll answer it over the next few days.

GENERAL INFORMATION

When do I stop earning Airpoints?  
From 1 May 2015, you will no longer receive Airpoints Dollars on GlobalPlus products. Instead, the GlobalPlus brand is disappearing and you will receive a cash back of equal value instead.
If you are a GlobalPlus customer, you’ll hear from us soon with further information and all the details you need to understand the changes that come into effect on 1 May 2015.

What products will not get Airpoints anymore?
All our  GlobalPlus credit cards:

  • GlobalPlus Classic
  • GlobalPlus Gold
  • GlobalPlus Platinum
  • GlobalPlus Business

Global Plus variable and fixed home loan and GlobalPlus insurance.

What do I need to do to get cashback?
There’s nothing you need to do. Your cash back will be credited to your account each month when you receive your statement.

What are the tax obligations for cashback?
For personal customers generally there will be no tax implications on receiving cash back. For business customers they will need to declare this as taxable income. If you are unsure, check with your accountant/financial advisor.

I don’t live in New Zealand, am I still eligible for cashback?
Yes, of course. From 1 May 2015, your cash back will be credited to your account each month.

How will you compensate for loss of things like un-expiring Airpoints and Koru discount?
Please accept our apologies, we are still working through the detail of that and we will confirm as soon as possible. 
What we do know, is if you are an Air New Zealand Gold or Elite Airpoints member, your Airpoints will continue to be exempt from expiry as long as you keep your Elite or Gold status.

Why can’t BNZ transfer my cash back to another account - I want to use it to save up for something.
We’re really sorry but at this stage we technically can’t transfer your cash back from a credit card to another account. However, we’re working on this.

Don’t you have an obligation to tell me the Ts & Cs have changed?
When we write to you in the coming week, we will be meeting our obligation to communicate changes to you, as per the terms of your agreement.

**QUESTIONS ABOUT GLOBAL PLUS CREDIT CARDS

What happens to my GlobalPlus credit card?**
There is no immediate change to your credit card. The change is to the rewards you receive that come into effect from 1 May 2015. From that date, the GlobalPlus brand will disappear and you will no longer receive Airpoints Dollars on your credit card spend. Instead, you will receive a cash back. 

Will my GlobalPlus credit card still work?
Yes – your credit card will work as normal. We’re working on getting new cards made, but in the meantime you can continue to use your card as normal.

The change is to the rewards you receive. Between now and 30 April 2015 you will earn Airpoints Dollars. From 1 May 2015, you will no longer receive Airpoints Dollars. Instead, you will receive a cash back of equal value.

What happens to my Airpoints?
The Airpoints you have will still be on your Airpoints account. For further information about your Airpoints please contact Air New Zealand directly.

I am a Platinum GlobalPlus holder, do I still get all the associated benefits?
Customers still get the associated benefits associated with a Platinum card until 30 April, we will be in touch before 30 April to confirm the details about changes to the associated benefits.

I signed up to a GlobalPlus product last week, will my application continue?
Yes your application will continue and you can use your card as normal when it arrives. Between now and 30 April 2015 you will earn Airpoint Dollars. From 1 May 2015, you will no longer receive Airpoints Dollars on your credit card purchases. Instead, you will receive a cash back.

What if I lose my card or it gets stolen? 
All lost and stolen cards will be reissued, the same goes for expired cards. From 1 May 2015 you will switch to earning cashback instead of Airpoints.

I want to increase the limit on my GlobalPlus card, can I still do that?
We can still change limits on credit cards. You will need to contact us to apply for any changes to your credit card limit.

I took out a GlobalPlus card to get double Airpoints, will you still offer this?
Yes. You will continue to earn Airpoints at your current, promotional rate until 30 April. From 1 May your cash back earning rate will be matched to the promotional rate you signed up to.

Why can’t I get Fly Buys?
We are unable to offer Fly Buys at this stage on these cards.

I want to put an additional cardholder on my GlobalPlus card, can I still do this?
Yes, you can still add cardholders.

I have a Platinum Visa GlobalPlus, so my points aren’t supposed to expire - what happens to me?
You then have an additional three months (until 31 July 2015) before your points will start to expire. The additional time will allow you to decide what to do with any points earned more than four years ago. Please note - if you are an Air New Zealand Gold or Elite Airpoints member, your Airpoints will continue to be exempt from expiry as long as you keep your Elite or Gold status.

QUESTIONS ABOUT GLOBALPLUS HOME LOANS

I have a GlobalPlus home loan - what does it mean for me right now?
There is no change to your credit card, home loan or insurance. The change is to the rewards you receive that come into effect from 1 May 2015.

From 1 May 2015, you will no longer receive Airpoints Dollars on your loan. Instead, you will receive a cash back of equal value. That means instead of getting 1 Airpoint per 1,000 of lending, you will get $1 cashback per $1,000 of lending.

I am about to settle on a GlobalPlus home loan, what happens now?
If you are to settle between today and 30 April this will still happen but from 1 May 2015, you will receive a cash back offer and not Airpoints Dollars.

QUESTIONS ABOUT INSURANCE AND TRAVEL INSURANCE

What happens to my GlobalPlus insurance?
Your insurance policy remains valid. You will continue to earn Airpoints until 30 April, then from 1 May 2015 you will earn Fly Buys on your insurance. For Airpoints you would have received 1 Airpoint per $100 premium paid, and from 1 May you will receive 1 Fly Buys point per $20 premium paid. Please note that Fly Buys can be converted to Airpoints.

I’ve booked travel on my GlobalPlus card, will I still have the travel insurance associated with this card?
Yes – the travel insurance policy will remain as is. If you have any further queries phone our travel line on 0800 269 872.

For more information:

GlobalPlus personal credit card customers
GlobalPlus Business credit card customers
GlobalPlus Home Loan customers
New cash back rewards

#2

Hi Yvonne. I note from your mail out today that the cash reward is credited to my credit card balance. There is also an FAQ in the accompanying brochure asking “why BNZ can’t automatically transfer my cash reward into another account” - you didn’t answer that question. There must be many customers like me who would prefer that BNZ transferred the cash reward into a designated account (say, Holiday Account) and not credit the credit card. If a designated account was used it would operate similar to the airpoints account, in that money transferred would accumulate and could be used as airpoints are used now. I know the brochure said that customers could manually transfer rewards from their credit card to a designated account themselves, however I don’t se why BNZ could not do that at source.  I have been with BNZ a long, long time (like 65 years) and consider myself to be a loyal customer; however, to counteract the new Westpac and ANZ airpoints offer to existing BNZ customers, it would be in the BNZ’s interests to  offer a similar set-up that can mirror as far as possible, the airpoints programme.

#3

Hi.  I’m confused by the letter I have received.  It says the old earning rate was $100 = 1 air dollar and there is a new ‘special’ rate of $80 = 1 air dollar till the end of October.  But…  I have a BNZ GlobalPlus Gold American Express card which currently has an earn rate of $67 = 1 air dollar.

The letter is incorrect and misleading.  It states I’m getting a better deal out of this change, when actually it’s worse till Oct 31 and even worse again from 1 Nov by 33%.

#4

Agree Mike70, the letter is wrong and misleading for BNZ AMEX Global Plus, don’t know about the other types of GP cards. . What iis planned for the AMEX GP cards BNZ? Do you have a product to replace?

#5

I note that I just paid my renewal fee for my card. I renewed on the basis of the rewards offered. Do we get this fee rebated should we close this account due to the complete change in the conditions around this account?

#6

Beware!
The earning ratio of $80 spend to $1 cashback is only until 31st October 2015. I called Global Plus today to find out what the ratio is after this date and they told me it is not decided yet and the details are not known.

This is not good enough. How can you make a change and not be willing to release the full details. Of course they know what it is but obviously think it will not be attractive to existing customers. Otherwise they would be singing it from the rooftops. This offer is only to help retain existing clients.

My wife and I have been long standing customers but with this change and a lack of communication we are very unhappy.
We are looking at all of the options available to us now. We have accounts with Kiwibank and they have joined Global Plus scheme for credit cards.

For those staying on with BNZ, keep a close eye on the “real” deal from end of Oct when they expect people to have forgotten about this change. You’ll no doubt get a letter long after the change takes place.

#7

I asked this very question under post “Annual Fees” in Personal Banking a week ago. Do you know what the response was? No neither do I - still waiting!!!

#8

Hi everyone,

Thanks for reaching out to let us know your feelings and queries about this - we are reading all of your comments and feeding them back to the relevant teams. I have a few answers here, and we’ll keep working to get answers to all your questions.

@MAJDAD - Unfortunately we’re not technically able to transfer your cash back to another account right now, but we’re working on it (thanks for pointing out the question in the brochure, I’ve updated the FAQs above to include it and our answer).

@PaulM - We have these details available on our website here: http://www.bnz.co.nz/support/new-cash-back-rewards. For Gold cards it’ll be $1 cash back per $100 of spend after 1 November 2015.

@nextdoor and @Mike70 - Thanks for reaching out, your comments are valid. There was an error made on the current Airpoints Dollar earn rate for Amex customers in the letter, which is why it would have seemed confusing. The new cash back earn rates  posted on our website (http://www.bnz.co.nz/support/new-cash-back-rewards)) are correct. All affected customers will receive communication from us to acknowledge this error. Apologies for the confusion caused.

#9

Please send the link to the call centre staff as they told me they do not know what the earning rate will be after 31 Oct 2015 and are waiting to find out the details themselves.

#10

Hi Yvonne, so what you are saying is that for Global plus AMEX card holders, who have a current reward rate of $AP1 for $67 spend, will actually be worse off come 1 May when it reduces to $80 spend and then worse off again come 1 Nov when it falls again to $1 per $100 spend. 
The problem is not that BNZ reported the conversion rate wrong, it is that BNZ are trying are trying to sell it as somehow a good thing and that we are getting more for staying with BNZ . It is not confusing, it is just plain wrong.

#11

The brochure mailed out tried to justify the shortcoming that cash credits could not be automatically despatched to another (say a savings account) as consistent with the customer having the choice. Does the bank think its customers are bereft of intelligence? As matters stand from 1 May there is no choice: the cash back goes int the credit card account like it or not.

#12

The bank has made a hash of this whole business , or so it seems to me. My apprehension is that it was taken by surprise when the airpoints rug was pulled out from under it feet and that it has false footed ever since. The great value of the airpoints scheme was that their numbers (equating $$) grew steadily without need of extra effort and, before you knew it, there were enough for another flight. It was as if a savings account  locked into travel and I for one very much liked that; so much so in fact that I (a  loyal BNZ customer since 1978 - 37 years) have signed up for a Westpac airpoints card and will be cancelling my  GlobalPlus Master and American Express cards. Lastly, is it possible for the individual who responds for the bank to resist the use of the tedious Americanism “reaching out”?

#13

Indeed Wuz! The last time I was “reaching out” I had a hell of a hangover!!!

#14

Just a quick message - I am seriously looking at moving my banking (mortgages, credit cards and business mortgages) away from BNZ due to the loss of the Airpoints program.

I have read up on your cash back rewards scheme which seems OK (but certainly not as good as the airpoints programme), however…the real deal breaker for me is that the ‘cash back’ is paid directly into the credit card account or loan account.  This doesn’t work for me at all!  Part of the attraction with the airpoints scheme was that I could see the air dollars accumulating each month - I’d usually generate around $2000 per year which would then go towards a holiday.  Having this money put into the credit card and loan account wouldn’t give me the same satisfaction and therefore is why I’m looking to move away from the BNZ as my loans roll over.

IF you were to reconsider how the cash back rewards are managed then I would certainly consider not shifting my business away from BNZ.

It seems BNZ have made a total mess of this whole thing and upset many customers with a sub-standard ‘easy option’ replacement to what was a great scheme.  If this was BNZs decision to move from AirNZ to save some operating costs it’s quite possibly a false economy (despite all the models and research that may have been run before making the move)

#15

Like a number of customers I am a relatively long term BNZ customer (about 20 years) who is considering changing over this Air Points issue. As others have said part of the attraction has been to see Air Points building and unless the cash back can be directed to an account chosen by me, eg my holiday Account, rather than just credited against the card, then I will not be happy and may well make a change.