Sarah, a 32-year-old marketing manager from Sydney, is planning her dream trip to Italy. She’s got her sights set on sipping espresso in Rome and exploring the Amalfi Coast. But with flights, hotels, and dining, the costs are adding up fast.
Sarah’s secret weapon? A travel credit card that earns her Qantas Points on every purchase and offers free travel insurance. By using her card strategically, she’s already saved enough points for a business-class upgrade.
Travel credit cards are designed for people like Sarah—frequent travelers who want to stretch their dollars further. These cards offer rewards like frequent flyer points, travel credits, and perks such as lounge access or no foreign transaction fees. In 2025, with over 12 million credit cards in circulation in Australia and a national credit card debt of $19.8 billion, picking a card that aligns with your travel goals is crucial.
What to Look for in a Travel Credit Card
Choosing the right travel credit card can feel overwhelming with so many options. Here are the key factors to consider:
- Rewards Program: Look for cards tied to frequent flyer programs like Qantas or Velocity, or flexible rewards like American Express Membership Rewards.
- Foreign Transaction Fees: Cards with no or low foreign transaction fees save you money on overseas purchases.
- Annual Fees: High annual fees can be worth it if the rewards and perks outweigh the cost.
- Travel Perks: Complimentary travel insurance, airport lounge access, and travel credits add value.
- Sign-Up Bonuses: Many cards offer bonus points for new cardholders who meet minimum spend requirements.
- Interest Rates: If you don’t pay off your balance monthly, a lower interest rate can save you from hefty charges.
By focusing on these factors, you can narrow down the best card for your needs, whether you’re a budget traveler or a luxury jet-setter.
- Best Credit Cards for Qantas Points in Australia for 2025
- Master Your Keyboard, Master Your Finances
- Why Cashback Credit Cards Are a Game-Changer
Top Travel Credit Cards in Australia for 2025
Here’s a curated list of the best travel credit cards for Australians in 2025, based on rewards, fees, and perks. Each card has been selected for its value to different types of travelers.
| Card Name | Annual Fee | Bonus Points | Key Perks | Best For |
|---|---|---|---|---|
| Qantas American Express Ultimate Card | $450 | 50,000 Qantas Points (spend $5,000 in 3 months) | $450 Qantas travel credit, 2 Qantas Club lounge passes, no foreign transaction fees | Frequent Qantas flyers |
| American Express Platinum Card | $1,450 | 150,000 Membership Rewards Points (spend $5,000 in 3 months) | Access to 1,200+ airport lounges, comprehensive travel insurance | Luxury travelers |
| CommBank Ultimate Awards Card | $420 ($35/month, waived if you spend $4,000/month) | Up to 3 CommBank Awards Points per $1 spent overseas | No foreign transaction fees, 2 DragonPass lounge passes | Flexible spenders |
| Bankwest Zero Platinum Mastercard | $0 | None | No foreign transaction fees, 0% p.a. balance transfer for 24 months | Budget travelers |
| Latitude 28 Degrees Global Platinum | $0 | None | No foreign transaction fees, no annual fee | Cost-conscious travelers |
1. Qantas American Express Ultimate Card
Best for Frequent Qantas Flyers
John, a Melbourne-based consultant, flies Qantas monthly for work. He swears by the Qantas American Express Ultimate Card. With a $450 annual fee, it’s not cheap, but the $450 Qantas travel credit offsets the cost, and he earns 1.25 Qantas Points per $1 on everyday purchases. Last year, he redeemed points for a business-class flight to Singapore, saving thousands.
- Pros: 50,000 bonus Qantas Points (apply by July 1, 2025, and spend $5,000 in 3 months), no foreign transaction fees, two Qantas Club lounge passes.
- Cons: High interest rate (23.99% p.a.), steep annual fee for low spenders.
- Why It’s Great: Perfect for Qantas loyalists who want travel credits and lounge access.
2. American Express Platinum Card
Best for Luxury Travelers
If you’re chasing premium perks, the American Express Platinum Card is hard to beat. With a $1,450 annual fee, it’s a big investment, but it offers 150,000 bonus Membership Rewards Points (spend $5,000 in 3 months) and access to over 1,200 airport lounges worldwide, including Sydney’s American Express Lounge.
- Pros: High points-earning rate (2.25 points per $1), comprehensive travel insurance, luxury hotel benefits.
- Cons: High annual fee, 3% foreign transaction fees.
- Why It’s Great: Ideal for frequent travelers who value luxury and flexibility.
3. CommBank Ultimate Awards Card
Best for Flexible Spenders
The CommBank Ultimate Awards Card is a favorite for travelers who want flexibility. With no foreign transaction fees and the option to earn Qantas Points (for an extra $60/year), it’s great for international spending. The $35 monthly fee is waived if you spend $4,000 monthly, making it cost-effective for big spenders.
- Pros: Up to 3 CommBank Awards Points per $1 spent overseas, two DragonPass lounge passes, free travel insurance.
- Cons: Low domestic earn rates, monthly fee for low spenders.
- Why It’s Great: Suits travelers who want no foreign transaction fees and flexible rewards.
4. Bankwest Zero Platinum Mastercard
Best for Budget Travelers
Lisa, a Perth student, uses the Bankwest Zero Platinum Mastercard for online shopping and travel. With no annual fee and no foreign transaction fees, it’s a no-frills option that saves her money on international purchases. While it doesn’t offer rewards, it’s perfect for cost-conscious travelers.
- Pros: $0 annual fee, no foreign transaction fees, 0% p.a. balance transfer for 24 months.
- Cons: No rewards program, no complimentary travel insurance.
- Why It’s Great: Ideal for travelers who prioritize low costs over rewards.
5. Latitude 28 Degrees Global Platinum
Best for Cost-Conscious Travelers
The Latitude 28 Degrees Global Platinum card is a go-to for travelers who hate fees. With no annual fee and no foreign transaction fees, it’s a simple, cost-effective choice. However, it lacks rewards and complimentary travel insurance, so it’s best for those who prioritize savings over perks.
- Pros: No annual fee, no foreign transaction fees.
- Cons: No rewards, no travel insurance.
- Why It’s Great: Perfect for budget travelers who make frequent overseas purchases.
How to Maximize Your Travel Credit Card Rewards
Getting the most out of your travel credit card requires strategy. Here are expert tips to boost your rewards:
- Pay Off Your Balance Monthly: High interest rates (like 23.99% p.a. on the Qantas AMEX Ultimate) can eat into your rewards if you carry a balance.
- Use for Everyday Spending: Put all your purchases on your card to rack up points, but pay it off to avoid interest.
- Leverage Sign-Up Bonuses: Cards like the American Express Platinum offer massive bonus points for meeting minimum spend requirements.
- Add Additional Cardholders: Some cards, like the Qantas AMEX Ultimate, allow up to four additional cardholders at no extra cost, pooling points faster.
- Double-Dip with Rewards Programs: Pair your card with programs like Flybuys or Everyday Rewards to earn extra points.
Pro Tip: Always read the fine print. For example, travel insurance often requires activation or specific spending thresholds, and some rewards have expiration dates.
Real-Life Example: How Emma Saved on Her Honeymoon
Emma, a 29-year-old teacher from Brisbane, used the CommBank Ultimate Awards Card to plan her honeymoon in Fiji. By spending $4,000 monthly, she avoided the $420 annual fee and earned 3 CommBank Awards Points per $1 on overseas purchases. She also took advantage of two DragonPass lounge passes for a relaxing layover. Emma’s strategic spending earned her enough points for a free return flight, saving her and her partner over $1,000.
Things to Watch Out For
While travel credit cards offer great benefits, there are pitfalls to avoid:
- High Annual Fees: Cards like the American Express Platinum ($1,450) may not be worth it if you don’t use the perks.
- Foreign Transaction Fees: Some cards, like the AMEX Platinum, charge up to 3% on overseas purchases.
- Travel Insurance Exclusions: Coverage may not include pre-existing conditions or high-risk activities like skiing.
- Spending Temptation: Rewards can encourage overspending, so stick to a budget.
Alternatives to Travel Credit Cards
Not sure a travel credit card is right for you? Consider these alternatives:
- Travel Debit Cards: The Wise debit card lets you hold 40+ currencies with low conversion fees, perfect for international spending.
- Prepaid Travel Cards: Load funds in advance to control spending, with no credit checks required.
- Low-Rate Credit Cards: If you carry a balance, a card like the Westpac Low Rate Card (13.74% p.a.) can save you on interest.
Final Thoughts: Choosing Your Perfect Travel Credit Card
Picking the best travel credit card in Australia for 2025 depends on your travel habits and financial goals. If you’re a frequent Qantas flyer like John, the Qantas American Express Ultimate Card offers unbeatable rewards. For luxury travelers, the American Express Platinum Card delivers premium perks. Budget-conscious travelers like Lisa can save with no-fee options like the Bankwest Zero Platinum or Latitude 28 Degrees.
Before applying, compare cards based on rewards, fees, and perks. Check the Product Disclosure Statement (PDS) and ensure you can meet spending requirements for bonuses. With the right card, you’ll be sipping cocktails in Bali or exploring Paris in no time—without breaking the bank.
What’s your top priority in a travel credit card? Share your thoughts below, and happy travels!
