Bank of Melbourne No Annual Fee Credit Card

Bank of Melbourne No Annual Fee Card

Card features
balance transfer
purchase rate
annual fee
Bank of Melbourne No Annual Fee Card
Apply by 02 jun 20
2 reviews
Bank of Melbourne No Annual Fee Card
Pay no annual fee, ever.
You can have 3 additional cards at no extra cost.
Up to 55 days on purchases
Add to comparison
20.74% p.a.

Pros & cons

What's good?

What's not so good?

Pay no annual fee, ever.
You can have 3 additional cards at no extra cost.
Up to 55 days on purchases
Pay faster at the checkout using Visa payWave.
The interest rate on purchases is quite high for a basic card.

The interest free period is the maximum number of days during which interest is not charged on new purchases. If your account has an interest free period for purchases, to be entitled to that interest free period, you need to pay off the “monthly payment balance” listed on your statement of account (not the full closing balance) by the relevant payment due date.
Joint applications are limited to branch and customer care only. Currently, the bank is not accepting balance transfer requests with joint applications.

Disclaimer (2): Reviews rely upon third party information that may not be correct or may be changed without Credit Card Compare’s knowledge. You must carefully consider your own circumstances before making any commitments and confirm all offers and terms with credit card providers before accepting them. Please refer to our T&Cs for more.

Our review

Our review of the Bank of Melbourne No Annual Fee CardReviewed by Yvonne Taylor

How would it feel to have an emergency line of credit in your pocket, a source of funds you could call on in a crisis, without having to pay a fee for the privilege? That’s exactly what you get with the Bank of Melbourne No Annual Fee Card.

You can make it your primary card – the one you automatically bring out of your wallet when you want to make a purchase on credit – or a secondary card to use only in emergencies, simply because it doesn’t cost you anything to hold it in reserve.

- on balance transfers for –

Here is another tempting offer to make this card an attractive option. Transfer your unpaid balance from another card, or cards, and pay no interest for a whole year. If you have a card balance amounting to, say, $5,000, on which you’re currently paying interest at 20% p.a., you could save $980 in interest. There is, however, a 1% balance transfer fee to be paid, which would reduce your savings to $930.

If you already have enough cash to repay your balance, you could still transfer it to this card and deposit the cash instead in an interest-earning bank account or mortgage offset account for -.

However, after the expiry of the interest-free balance transfer period you’ll be paying 21.49% p.a. (the ongoing purchase interest rate) if you don’t clear the unpaid amount.

Emergency line of credit

If you do plan to use it as a back-up card, it can also become a reserve line of credit. The same interest rate – 21.49% p.a. – applies to cash advances, and although this would be a painful rate to pay long term you could still use your card as an extra line of credit to call on when needed. Preferably use this facility for short periods only, because you’ll pay daily interest on cash advances from the moment you receive them. There’s also a 2% cash advance fee payable on all amounts advanced, so if you withdraw $1,000 it will cost you $1,020 even before you start paying interest.

Protection for your family

You can extend the benefit of this no-cost financial security blanket to as many as three supplementary cardholders. This makes it a great alternative if your primary card charges a fee for each additional card issued. If you have teenage children, for example, it will be comforting to know that they always have the price of a cab fare home in their pocket. Explanations can wait until morning.

Up to 55 days on purchases

Probably the best part of paying no annual fee is the fact that, provided you are in control of your finances, you get to use the bank’s money for nothing and leave your own cash on deposit for up to 55 extra days, 12 times a year. Just make sure you pay the balance owing each month, on or before the due date shown on your statement, and you will never pay any interest. The absence of an annual fee means that the Bank of Melbourne would have been justified in offering only the shorter credit term – the 44 days interest-free allowed by some competing cards – but they have chosen the more generous option.

However, if you do choose to carry an interest-free balance transfer during the introductory period, the monthly interest-free days on purchases do not apply. You will be charged the standard purchase interest rate from the date of each purchase transaction.

Contactless transactions

Goodbye PINs, hello speed and convenience. Visa payWave allows you to use this card for quick, effortless daily purchases (under $100 each). For amounts over $100 you can still use payWave, but you’ll need to enter your PIN to confirm the transaction.

Maximum security

The regular 24/7 Falcon Fraud Monitoring service, to detect suspicious transactions on your card, is backed up with Verified by Visa, a one-time password system delivered by SMS, when you shop online.

Online shoppers need to be aware that a 3% foreign transaction fee is added to all transactions with overseas-based merchants, but such a fee is standard for most cards.

Other 'no fee’ cards to consider

There are several other 'no annual fee’ cards available. Take a look at the following:

  • Citi Simplicity Card
  • Coles No Annual Fee Mastercard
  • The American Express Essential Credit Card
  • ME frank Credit Card
  • 28 Degrees Platinum Mastercard

Whilst all of these cards have monthly interest-free periods, and many of them allow you to earn rewards points, they may tie up some of your available credit when you need it for other purposes. With the Bank of Melbourne No Annual Fee Card you can opt for a credit limit as low as $500.

Why should you choose to carry this card?

Perhaps this question would be better phrased as 'Why not?’. The card costs nothing to keep on one side for emergencies, and it doesn’t use up chunks of your credit standing. Although it comes with no rewards points, cashback or complimentary insurance, it can be a great starter card, or a permanent card if these extras are of no interest to you.

As an emergency card, it will prove its worth if your main credit card is ever lost, stolen or declined, or if your main card is an AmEx card and you’d like a backup Visa for wider acceptance. Transfer a balance and reduce your interest bill or even earn some interest. Why not, indeed?

Disclaimer: Reviews rely upon third party information that may not be correct or may be changed without Credit Card Compare’s knowledge. You must carefully consider your own circumstances before making any commitments and confirm all offers and terms with credit card providers before accepting them. Please refer to our T&Cs for more.

User reviews

4.2 out of 5.0 based on 2 reviews100% of reviewers would recommend this card

Rates and fees
Customer service

Reviews from users

Amazing, great service and no fees

Reviewed and recommended by Kara on 26 Aug 2016

First, the service at Bank of Melbourne is second to none. Second, the no-fee feature is a nice little bonus. Ease of use and online banking is also a plus. Hard to pass by.

I have been a loyal client and now have opened a few different types of accounts with Bank of Melbourne, and couldn’t imagine going elsewhere.

I like this card

Reviewed and recommended by Lewis on 03 Jul 2016

I like this card. Even though it has no frills, it suits me and works just fine with our other accounts. I have had it for years and I like it very much. Plus, there is no difficulty using it or dealing with Bank of Melbourne.

Disclaimer: The opinions expressed about credit cards are the reviewer's alone, and do not reflect the views of Credit Card Compare or the credit card issuer. Reviews have not been approved or otherwise endorsed by Credit Card Compare.

The basics

About this card

Card setup
Card tier
Card type
Card use
Credit rating
Gambling transactions allowed
Joint application
Minimum age
18 years old
Minimum income
Minimum income for pensioners
Same as standard
Rewards program
Temporary residents


Additional cardholders
Additional card fee
$0 p.a.

Credit limits

Minimum credit limit
Maximum credit limit


Interest charged from
Purchase date
Interest free period
Up to 55 days on purchases
Minimum repayment

Rates & fees

Ongoing interest rates

Cash advances 1.79% 21.49% p.a.
Purchases 1.73% 20.74% p.a.


Annual fee
$0 p.a.
Cash advance fee
Dishonour fee
Duplicate statement fee
Foreign exchange fee
Late payment fee
Over limit fee
Overseas ATM balance fee
Overseas ATM withdrawal fee
Overseas emergency card replacement fee
Transaction verification fee

Minimum criteria for this card

What you need before applying

Be over 18 years old
You are a resident or citizen of Australia
Earn a regular Weekly income
You have your personal details ready to complete the online application
Have not applied for multiple credit cards recently
Joint applications are allowed
Temporary residents are eligible
Age Pension, Disability Pension and Widower's Pension are acceptable.
Family Tax Benefits and Parenting Payments is acceptable.
Austudy, Carer's Allowance, Child Support Payments and Foster Care Allowance are not acceptable.
Disclaimer: The minimum criteria are intended only to be a guide. Your application may still be rejected by the bank even if you can answer 'Yes' to all the minimum criteria. The final decision regarding your application is up to the bank.

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