MyCard is rolling out significant updates to its credit card lineup from 1 October 2026. These changes affect all cards earning MyCard Rewards or Qantas Points, with adjustments to earn rates, redemption values and even the removal of the MyCard Prestige card.
MyCard has issued a formal variation notice outlining the upcoming changes to its cards and rewards program. Cardholders are now receiving these updates by mail or email.
MyCard states that the Reserve Bank of Australia’s new interchange reforms are driving the overhaul. Interchange fees have long helped subsidise credit‑card rewards programs, but the RBA’s changes will significantly reduce the revenue banks earn from each transaction. As interchange income drops, rewards programs become harder to sustain at current levels — making cards less rewarding for consumers.
Reward redemptions becoming more expensive
Let’s start with the redemptions part of the equation. In the variation notice, MyCard said that more points will be required for redemptions from October 2026. Some examples given by MyCard are
- Gift cards
- A $100 gift card will increase from 20,900 → 33,700 points (a 61% increase)
- Velocity Frequent Flyer transfers
- Base-level Rewards card: changing from 2.5:1 → 3:1
- The Premier Card is currently on a 2:1 ratio. There is no indication of what this will be post 1 October
It seems that the way MyCard have implemented these changes is to reduce their book value of a point. That is, each point is worth less. To offset this, customers will receive a one‑off adjustment to their existing points balances to maintain approximate value.
MyCard Rewards earning rate changes
Of course, to redeem rewards, you need to earn points first. And here, MyCard is rolling out a series of changes that affects each of its cards differently. Keep in mind when reading this that while you’ll still have opportunities to earn one or two points per dollar, those points won’t have as much value.
MyCard Premier: Updated Points Structure
MyCard Premier cardholders will see a substantial shift in their points earning. Interestingly, it is moving toward a more travel-centric model. The current structure (capped at 200,000 points per year) offers:
- Online spending — 2 points per $1
- General domestic purchases — 1 point per $1
- International transactions — 2 points per $1
What’s changing from 1 October 2026
The earn rates will change to favour travel and overseas spending:
- Eligible travel purchases booked directly with airlines, hotels, cruise lines, taxis and rideshare services — 2 points per $1
- Eligible international transactions — 2 points per $1
- All other domestic purchases — 1.5 points per $1
Two major improvements stand out:
- The annual cap of 200,000 points is being removed.
- The base earn rate increases from 1 point to 1.5 points per dollar, though the online‑spend bonus disappears. While that might sound good, with the changes in redemption values, this might not be the windfall it first seems
MyCard Rewards: Higher Fees, Better Earn Rates
MyCard’s entry‑level Rewards card is also changing. The annual fee increases from $199 to $249, but earn rates improve across key categories:
- International transactions — doubled from 1 to 2 points per $1
- Supermarket and petrol purchases — now 2 points per $1, up from 1
- All other domestic spending — increases from 1 to 1.5 points per $1
Additionally, the monthly points cap (currently $10,000/month) will be removed, allowing more flexibility for high‑volume spenders.
MyCard Premier Qantas: Reduced Earn Rates
If you have a card that earns directly to Qantas Frequent Flyer, there are some changes coming here as well. The Qantas Points variant currently earns:
- 1 Qantas Point per $1 on online and overseas spending
- 0.5 Qantas Points per $1 on domestic purchases
- Capped at 100,000 points per year
From 1 October 2026
The earn rate becomes a flat 0.5 Qantas Points per $1 across all categories, with a new cap:
- $7,000 per transaction period, effectively limiting earn potential to 3,500 points per month
For many, this is a substantial reduction in earnings. Given the uncapped earn rates on the standard MyCard Premier, many cardholders may prefer switching to the non‑Qantas variant.
Prestige card discontinued
Finally, the MyCard Prestige card, MyCard’s top-tier product, will be discontinued from 1 October 2026. MyCard Prestige has been closed for new application for a few weeks, so its discontinuation was on the cards. Anyone with an existing MyCard Prestige card will move to the MyCard Premier product. The timeline for this is as follows;
- Existing cardholders can continue using Prestige until 30 September 2026.
- From 1 October, all remaining Prestige members will be transitioned to the MyCard Premier card.
Which MyCard Option Now Offers the Best Value?
The answer depends on your spending style:
- Frequent travellers: MyCard Premier (non‑Qantas) now delivers the strongest earn rates
- Qantas loyalists: The Premier Qantas variant is weaker — consider switching
- Everyday spenders: MyCard Rewards becomes more rewarding despite the higher fee
Final Words
From October 2026, banks will earn substantially less interchange revenue on every consumer credit card transaction. Historically, this revenue has supported:
- Generous points earn rates
- Large sign‑up bonuses
- High‑value redemption options
As I mentioned earlier this year, with that funding reduced, issuers across Australia are reassessing how their rewards programs operate. I expect that there will be more changes in earn rates, caps, fees and card tiers coming up.
