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If you are a resident of Denmark, Norway, Sweden or Finland, the Bank Norwegian VISA credit card is something that you could benefit greatly from if you, like me, like to travel. Unfortunately the product is not available outside these four countries. This is a product I use daily and I am really excited about the benefits it offers. You can get free airline tickets and free travel insurance for you, and 3 fellow travelers as well, all for free. You don’t have to put yourself into any kind of debt or spend more money than you already are to get the free benefits.
Why would a credit card companies give away free airline ticket and insurance in the first place?
Credit card companies make a lot of money. There many different credit card companies out there and they all want your business. Therefore they offer benefits if you use their card. it could be cash back in the form of money or travel points. The Bank Norwegian VISA credit card gives you a 1 % cash back in the form of Cash Points, that you can use to buy airline tickets at the airline Norwegian. If you for example buy something for 1000 DKK you will earn 10 Cash Points. 10 Cash Point = 10 NOK = 7.64 DKK. So the value of the Cash Point depend on current exchange rate of the Norwegian Kroner. With these Cash Points you can pay for your airline tickets. If you you pay for the ticket with the card or Cash Points, you also get free travel insurance for up to 90 days covering not only you, but 3 fellow travelers. This is something you would otherwise have to pay a lot of money for. Of course the credit card companies hope that you will do like most credit card holders and not pay out the balance in full after the initial 45 days of interest free credit. Most credit card holders will just pay the required minimum payment and carry the rest as credit card debt. This is very profitable for the credit card companies. For you however, they minimum payment usually does not cover much more than the interest and maybe some fees, so it will take you a really long time to pay the money back.
How to use the Bank Norwegian VISA credit card to your benefit.
Before I tell you anything else, it is important to know how to use a credit card without paying interest. If you use it incorrectly, like most people do, you will still get the airline tickets and the travel insurance, but it will come at a high price. You will carry credit card debt, which has some of the highest interest rates in the market. For the Bank Norwegian VISA credit card in particular, you would pay 19,99 %! Let me tell how you can avoid this. If you have any kind of doubt that you have the self discipline to use the card this way, then I highly recommend that you never apply for any credit card out there! Here are the basic rules.
- Do not change you spending habits.
- Only use the card for day to day spending, that you would have in any case.
- Pay your balance out in full at the end of the month, with the unused money on your normal bank account.
This way the use of the card is absolutely free, without paying any interests or fees. On top of that, you reap all the benefits of the use of the card. Last year I earned 1460 Cash Point, about 150 euros of airline tickets, just by using the card for my day to day spendings. Bus tickets, groceries, soap, deodorant, toothpaste, basic clothing, Uber, Airbnb, subscriptions, insurance, dentist, electric, water and gas bill. Anything really. As long as these are expenses that you would have in any case. If you have a chance to put your rent on the card, that would be a great opportunity, as your rent is usually the biggest of your monthly expenses. You get the advantages simply by using the Bank Norwegian VISA credit card instead of another card, without benefits. This is called credit card churning. If you do it right you can get all the benefits of the card for free and it does not cost you anything more than the time it takes to apply for the card.
Benefits of the Bank Norwegian VISA credit card.
The first great benefit of the card is that it does not have a yearly fee associated with it. This means that you can get all the added benefits of the card completely for free. The card offers 6 weeks of interest free credit. After that you pay 19,99 %. The invoice comes in on an email around the 20th of each month. If you are using e-boks, I recommend that you sign up with them so you will be notified of the arrival of the invoice here. The invoice holds the transactions on the card from the 16th of last month to the 15th of the current month. You can get a credit limit up to 100.000 DKK = 13.389 EUR on the card.
There are no fees on purchases made with the card in your local currency. If you use the card in other currencies, a currency surcharge of 1.75% of the exchange rate is added. If you need to make a purchase in another currency I recommend that you have a look at Revolut. This is a free debit card where you can exchange to another currencies for free and then use the card in that new currency. There are also no fees from withdrawing money from an ATM in your country or abroad. At least not from Bank Norwegian, but there could be local fees. Many other cards will charge you a fee to withdraw cash. Either a percentage of the withdrawn amount or a fixed fee.
Free travel and cancellation insurance for you and three fellow travelers.
Travel and cancellation insurance from AIG is included when you pay for the airline ticket with your Bank Norwegian VISA credit card. Actually you just have to pay at least 50 % or more of your travel transportation costs in order to get the insurance. You also have to start and end you journey in Denmark, Norway, Sweden or Finland. You can take a look at how well the insurance covers in the travel insurance terms. It covers pretty well everything you need. It even covers travels to the USA which is one of the most expensive countries to buy travel insurance for. The biggest drawback I can see, is that it does not cover anything with two wheels and a motor. So if you plan on renting a scooter, motorcycle, electric bike, electric skateboard or similar, you will need to purchase additional insurance. The card gives 90 days free travel insurance. That should be sufficient for most vacations. I used this method to get free travel insurance when I was in Brazil earlier this year for 89 days. The travel insurance does not only cover you but also 3 fellow travelers! That means that you can get free travel insurance for your whole family. Free insurance is included on some other credit cards that I know of, but that is credit cards with a yearly fee and the travel length is maximum 30 days! For 100 euros a year my insurance company offered travel insurance for 30 days at the time. That was the best deal I found, until I came across the Bank Norwegian VISA credit card. In my case in particular, I sometimes need a traveling insurance for 3 months at the time. As most tourist visas run out after 90 days, the insurance offered with the Bank Norwegian VISA credit card in perfect for my travels, as I normally like to stay for an extended period in a new location.
Earning Cash Points to buy airline tickets.
You get 1 % Cash Points on purchases up to 75.000 DKK or 10.042 EUR a year. Above that amount you earn 0,5 % Cash Points. You do now earn Cash Points on cash withdrawals and airline tickets from other airlines that Norwegian. If you buy LowFare airline ticket at Norwegian with the card, then you earn 4 % Cash Points. This is really great if you are traveling on a budget like me, as the Norwegian airline is a cheap airline with destinations all over the world. You also get 10 % Cash Points on Flex airline tickets, but these are more expensive and in my opinion not worth the extra money. You only earn Cash Points on the actual price of the ticket, not the added airport taxes and fees. Renting a car, paying for parking, purchasing tickets, wine, liquer, gift cards or booking a hotel via Norwegian Reward will also give you a Cash Point boost.
On the Norwegian Reward website you can see all the different options for earning extra Cash Points.
The Bank Norwegian website and mobile app.
Bank Norwegian has both a website and a mobile app supported on both iOS and Android. You have pretty much the same functionality in the app as on the website and I found that the app is sufficient for anything I need. Both the website and app are simple and easy to use. They offer basic functionality, but it is sufficient as it is a simple product.
You can see all your transactions and choose the see transactions in a specific time span or transactions that will be on the next invoice. You can also search for transactions based on amount and transaction text.
- PIN code.
You can change your PIN code at any time and you can also view the current PIN code for the card. This is really great as you can then quickly change your PIN code if you think someone spotted it. The card also offers contactless payment, so you don’t have to use your PIN code for smaller purchases.
- Block card and order new card.
You can block the card immediately if you lost the card. This will be a hard block and you will have to order a new card afterwards. Ordering a new card can be done in the app and on the website as well. It would be really nice with a soft block function as well so you can unblock the card again, should you find it in you pocket after doing laundry. It has been known to happen.
- My purchases.
You can see a breakdown of your purchases divided up in categories like, “food and drinks”, “travel”, “cash withdrawals”, in a specific time frame. Under each of these main categories, you be able to see the expenses split up on subcategories as well. Under “travel”, this could be “hotels”, “airline”, “transportation”, air shuttle”, “tax free shopping”, etc.
- Available credit.
On the main page for your credit card you can see your available credit. you already used credit.
- Credit limit change.
You can change your credit limit up and down on their app almost instantly! If you raise the credit, there will be a quick credit score. This is great for traveling, as you may need more money fast if you suddenly have an unexpected cost. If you travel in a country with higher chances of getting your credit card abused, you can set the limit lower on the fly. Really great feature. If you do not like the feature, it can even be disabled.
You can always see your latest invoice in the app. You can see if it has been paid yet, the latest date it has to be paid, the minimum amount to pay, the full balance and an OCR line with your account number and customer number. You also have access to all previous invoices from Bank Norwegian. The invoice cannot be setup with direct debit. You manually have to pay it in your netbank using the OCR line every month.
- Transferring money to your bank account.
You have the option to transfer money to your own main bank account. However this will make the amount you transfer interest bearing from the time of the transfer. A cash withdrawal would be with 6-2 week credits, depending on what date the withdrawal has been made.
- Customer service and FAQ.
There is an extensive FAQ section in the app. The FAQ can be searched. If you do not find the information you are looking for here, you can send an email to customer service via a form or simply give customer service a call, which I recommend. You will get your question answered or your problem solved right away.
- Other products.
The mobile app also promotes other Bank Norwegian products such as savings account, insurance against identity theft, payment insurance and direct to consumer loans. I am not using any of these products.
How do i get a Bank Norwegian VISA credit card?
There are some prerequisites that need to be met in order for you to apply for the card. In Denmark for example you have to be at least 23 years old and not have a history of bad credit. If these basic prerequisites are met, you can fill in an online application form. The form can be filled in in a few minutes and when you submit the application Bank Norwegian will do a credit evaluation based on your information. If you are approved, your card will arrive within a couple of weeks.
Share the knowledge of this great free product!
Do you have a friend who you think would like to know about this opportunity of getting free airline tickets and travel insurance? Feel free to share this great and free product with them by using the sharing links below. If you live outside the 4 countries where the Bank Norwegian VISA credit card is available, which credit cards do you have in your country that offers cash back? Do you have a credit card? Are you churning? Please leave a comment below if you have a question or just an opinion about the product.