Kiwibank customers warned to transfer payments before credit card switch
Wednesday, 5 February 2020
Kiwibank customers are being reminded they'll need to update their credit card details for any direct debits they've set up – or they might default on their payments when their cards are cancelled over the next month.
The bank is replacing its Mastercards with new Visa cards. They will have a new card number, expiry date and security number.
It has written to customers to let them know their new cards will arrive within the next 30 days. A month after the card arrives, their existing card will be cancelled.
'Kiwibank has chosen to have all cards, both debit and credit, with Visa to make it easier in future to introduce new features and services. This means that we are moving all of our Mastercard credit card customers across to Visa,' bank spokeswoman Kara Tait said.
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'As customers' card details change customers will need to update regular payments and subscriptions once they receive their new card. We acknowledge updating regular payment details for a new card can be inconvenient, but due to privacy restrictions we can't update these payments for our customers.
'If the timing of the migration doesn't suit customers, they can notify us and choose a more convenient time. When we send a customer their new Visa card, it appears immediately in their internet banking and mobile app. Their balance and credit limit stay the same. Customers will never be left without a credit card service and their Mastercard will keep working for approximately one month after the Visa arrives.'
She said Airpoints balances would remain in place and points would be earnt in the same way on the new cards.
The change was first signalled in June, and the bank reduced some of the interest rates charged on credit card balances.
Consumer NZ spokeswoman Jessica Wilson said, provided customers were given enough notice of the change there was no reason the bank could not shift them from one type of credit card to another.
She said the bank would know if customers were paying regular payments on their credit cards and the onus was on it to make sure they were aware of the need to use the new card before the existing one was cancelled.