Virgin Credit Card to Become Westpac Ignite MasterCard

28 January 2009

Over recent weeks all 600,000 Virgin Credit Card customers have received letters notifying them of the intended swap of Virgin Credit Cards to Westpac Ignite MasterCard, due on 9th February 2009.

Customers of Virgin Credit cards will be sent a replacement Ignite MasterCard and need not apply to become a Westpac customer as Westpac has always been the card issuer and credit provider for Virgin Credit Card.

The last Virgin credit card was issued on the 3rd April 2008 after being taken off the market for the issue of new cards; however existing card holders have been able to use their cards up until now with the launch of the Ignite MasterCard.

Holders of the Virgin Credit Card will still have access to all the same features with the Ignite MasterCard that they had will using the Virgin Credit Card, including no annual fees and an interest rate of 12.99%.

What Features will remain on the new Ignite MasterCard?

The Ignite MasterCard will retain all the same features that the Virgin Credit Card has including all account details, no annual fees, the low 12.99% p.a. interest rate on purchases, the same credit card number and up to 55 days interest free on purchases.

Additionally benefits of using the Ignite MatserCard will include newer and tighter CHIP security and the new Instant Offers program.

All current Virgin Credit Card customers will still be able to use Online Banking at westpac.com.au from Monday 9th February 2009 and access Telephone Banking through 1800 080 000 to access accounts. Until 9th February customers may use both online and telephone banking as normal.

When Will Customers Receive Their Ignite MasterCards?

The Ignite MasterCard will be issued on the 9th February 2009. What this means for Virgin Credit Card users is that their accounts will stay exactly the same with minimal interruption to credit facilities and that they can use their Virgin Credit Cards up to the day they receive their new Ignite MasterCard.

Differences with PIN (Personal Identification Number)

With both the current Virgin Credit Card and the new Ignite MasterCard, a PIN will only be needed when withdrawing from an ATM, authorizing transactions or traveling overseas.

It is important to note that customers PIN will change for the Ignite MasterCard from what they are using with their Virgin Credit Card as a new security chip will be issued within the new card. Customers who have used their Virgin Credit Card within the last 20 months will receive notification of their new PIN within 10 days of receiving their Ignite MasterCard.

For customer who have NOT used their card or PIN within the last 20 months or need to be issued a new PIN, call 1800 080 000.

Card Security on the new Ignite MasterCard

The new Ignite MasterCard will be issued with the latest embedded security CHIP which has stronger protection against counterfeiting and "skimming" when used at a CHIP terminal. For customers, there will be no difference to how they use their cards, either within Australia or overseas.

Why the Change from Virgin Credit Card to Ignite MasterCard?

Virgin Money together with Westpac developed and released the Virgin Credit Card in Australia in 2003. The partnership commenced after Virgin Money initiated its first launch outside the UK when it introduced its credit cards to Australia, followed by home loans, superannuation and personal loans.

The Australian Virgin Credit Card was operated by Westpac as a result of this partnership with the MasterCard logo attached.

However, Westpac acquired the Virgin Money credit card portfolio in 2008 after Virgin Money reported losses of $19.445 million, a loss for the third consecutive year.

The Virgin Credit Card was marketed as the cheapest alternative in the credit card sector with additional benefits such as up to 55 interest-free days and an interest rate of 12.99% as of April 2007. The main advantage to the Virgin Credit Card, from both a marketing and consumer perspective, was its promise of no annual fees and interest rates lower than most other bank provided credit cards.

Furthermore, the Virgin credit card offered discounts within participating retailers or restaurants, although this will not continue under the new Ignite MasterCard with Westpac planning to commence its own loyalty scheme.

For those customers not considering changing to the Ignite MasterCard, you may wish to consider a balance transfer to another credit card or compare other no annual fee credit cards. To compare these types of cards click on the appropriate link below: