Existing cardholders: Find out what you need to know about the move to MyCard including important information about managing your account and helpful FAQs.
New applications: Applications for new MyCard credit cards are coming soon.
Life is an endless balancing act. Bills, groceries, kids’ activities, the next getaway you never seem to have the time to plan. Credit cards can feel like just another thing to keep track of, with their own rules and fine print.
But when you know how to use one, a credit card can become more than a way to pay. It’s a tool that can smooth out your week-to-week, give you breathing space between paydays, and even open the door to rewards and experiences that you might not find otherwise.
The key isn’t memorising every clause in the terms and conditions (though you should read them). It’s knowing the handful of features you can use to your advantage, every day, so your card works for you, and not the other way around.
From monthly statements to credit limits, we’ve simplified your credit card essentials so you can make better, more informed financial decisions.
Your monthly statement, also known as your credit card bill, outlines all transactions made during the statement period and shows your closing balance, which is the total amount owing at the end of that period. Pay attention to the payment due date. If you can pay the closing balance in full by this date you can keep or start an interest free period on purchases and avoid paying additional interest. Your statement isn’t just a bill, it’s a way for you to track, manage and uncover insights about your spending habits. A thorough check each month can help you spot patterns, or transactions that don’t look right and keep everything ticking along.
Every statement will show the minimum you must pay to keep your account in good standing (healthy and on track). Remember that paying just the minimum amount only avoids late fees and your account becoming overdue, but it means you’ll still carry over debt and that amount will be charged interest. So, if possible, aim to pay off your closing balance by the statement due date. Paying the minimum keeps things on track, but paying more when you can helps reduce interest and clear your balance faster. Even small extra repayments add up over time.
Some cards have interest-free days (often up to 44 or 55 days) from a purchase, where you won’t pay interest on a purchase, provided you pay your closing balance in full by the payment due date each statement. Remember, the number of interest free days you get for a purchase depends on when the transaction occurs within a statement period.
The earlier you make a purchase within your statement period, the more interest free days you’ll receive on that purchase. If you don’t pay off your closing balance by the due date, you’ll start to incur interest on all purchases, it is not a rolling interest free period. The earlier in the cycle you spend, the more interest free days you get.
E.g. “If a statement period starts on the 1st and ends on the 30th of the month, a coffee purchased on the 1st would get up to 44 or 55 interest free days, while one purchased on the 15th will only get up to 29 or 40 interest free days.”
The rates you pay for your spending on your card can differ based on the type of transaction. Before applying for a new card, make sure to check the following rates:
Retail Purchase Rate. Charged when carrying over a balance on everyday card purchases, fees, or interest charges. You start being charged interest when you don’t pay off your statement closing balance in full by the due date, or from the date of purchase if you're not eligible for interest free days.
Cash Advance Rate. Charged on cash advances and related fees. This includes withdrawing cash from your credit card at an ATM, or purchasing a traveller’s cheque or money order. If you need cash in hand, fast, withdrawing cash from a deposit account using a debit card instead of a credit card account is usually the smarter play. Transactions that incur the Cash Advance Rate are not eligible for interest free days.
Credit cards can carry a monthly or annual fee. This fee is usually charged to your account automatically at the end of the statement period and will be included in your closing balance on your statement.
A credit limit is the maximum you can usually spend on your card. It’s set when your application is approved, and the limit is based on the amount you request in your application and your eligibility. There will usually be a minimum limit set for a card, so make sure you check before applying.
This is the golden rule. Repay your closing balance shown on your statement in full by the due date each month and you’ll avoid interest on purchases altogether, while maximising those interest-free days. If that’s not realistic, paying down as much as possible can still reduce what you’ll owe, the interest you pay and help keep things manageable.
Spend creep is real and we might not even notice we’re spending more when it’s so easy to tap and move on. Set up a regular cadence to check-in on your app or online during your statement period to help you track your spending before it turns into a bigger bill that’s harder to manage.
Credit cards aren’t just for the big things. They can be for the day-to-day too, like covering grocery shops until payday. But don’t just tap, ensure you’re being cautious of additional surcharge fees and rates that merchants may charge you for credit card payments.
If you have a rewards card, the perks can be great but they’re best when they’re an extra benefit, not the driver. Spend what you normally would, manage it well, and let the rewards stack up in the background.
There’s no one-size-fits-all credit card. Each type has its place as follows:
Low-rate cards keep interest down on purchases.
No-frills cards give simple product offerings, usually with lower annual fees.
Rewards cards earn points on eligible transactions (e.g. travel, dining, or groceries). These have higher annual fees compared to Low-rate or No-frills cards.
Premium cards have higher annual fees but come with rewards points and bigger benefits like lounge access, concierge services, or travel insurance.
Credit cards don’t need to be complicated and when you understand the basics, they can become a flexible tool to support your lifestyle. Whether it’s smoothing cash flow, spreading costs, or enjoying rewards (if you have a rewards card), the key is using your card in a way that works for you.
The information contained in this article is intended to be of a general nature only. It has been prepared without taking into account any person’s objectives, financial situation or needs. Before acting on this information, you should consider whether it is appropriate for your circumstances.
MyCard branded credit products are issued by National Australia Bank Limited (ABN 12 004 044 937, AFSL and Australian Credit Licence 230686) (“NAB”). Our/us/we means NAB.