Changes to your credit card interest free period

What’s changing?

Along with most other banks in Australia, we are making changes to interest free period calculations, in line with Australian government reforms.

The changes will apply to Purchase Transactions made in statement periods starting from December 2018, and any interest charges from 1 January 2019.

What this means for you?

As a simple rule-of-thumb, if you pay your Closing Balance in full by the Due Date, you will avoid paying interest on Purchase Transactions.

Here’s some information to help you understand what these interest free period calculation changes may mean for you:

 What you repay 

What this means for you

Repay your Closing Balance in full by the Due Date, every month You will not be charged any interest on Purchase Transactions.

These changes will not impact you if you continue to pay your Closing Balance in full, each month.
Don’t pay off your Closing Balance in full by the Due Date  If you don’t pay off the Closing Balance in full by the Due Date, we will start charging interest on Purchase Transactions from the next day. The interest will be calculated on the balance owing each day, and that will continue until you repay the Closing Balance in full. 

This has changed, because we used to calculate interest daily from the day of the Purchase Transaction until you paid it off.
Never pay your Closing Balance in full by the Due Date  You will continue to be charged interest daily on the balance, owing, the same as you do today. 

The changes will only affect you if you want to regain your interest free days on Purchase Transactions.

How to regain interest free days on purchases

We are simplifying the way you can regain interest free days, if you have missed paying your closing balance in full or usually do not do so. 

To regain access to interest free days, all you need to do is to pay the full closing balance shown on your most recent statement. Once that happens, your purchases will once again be interest free.  There’s no need to wait for your next payment due date to regain interest free status.


For more information about how interest is calculated, and how to make the most out of your interest free day period refer to: