Amanda Smith
Georgia Rose
Virgin Australia Velocity Flyer Credit Card
- Two offers available: 60,000 Velocity Points, or 0% p.a. interest for 24 months with a balance transfer.
- 60,000 Velocity Points offer: Take out a Velocity Flyer Card, spend $1,500 on your card each month in the first 2 months and you’ll get 30,000 Velocity Points each month, for a total of up to 60,000 Points. Plus, enjoy 0% p.a. for 12 months on balance transfers + half annual fee for the first year ($149 after that).
- 0% p.a. interest for 24 months with a balance transfer offer: Transfer your balance to the Virgin Australia Velocity Flyer Card and pay no interest on that balance for 24 months. 1% balance transfer fee applies. Reverts to cash advance rate.
- Earn 0.66 Velocity Points per $1 spent on Eligible Transactions up to $1,500 each statement period, 0.5 Points per $1 spent thereafter.
- Earn 1 extra Velocity Point for every $1 spent directly with Virgin Australia.
- $129 Virgin Australia Gift Voucher, each year, when you make a retail purchase in the 2 months prior to requesting the voucher.
- $6,000 to $100,000 credit limit range.
- Use your phone or wearable to pay from your credit card account, with Apple Pay, Samsung Pay or Google Pay.
- Virgin Money app benefits — spend tracker, alert and insights into your credit card spend, and more.
- Purchase Protection Insurance.
- Extended Warranty Insurance.
- Fraudshield.
- Visa Platinum Benefits.
- Visa Platinum Concierge Service.
The Virgin Australia Velocity Flyer Card is one of two rewards credit cards offered by Virgin Money that earn Velocity Points — redeemable through the Velocity Frequent Flyer program.
The card has two welcome offers — up to 60,000 Velocity Points in the first two months, 0% p.a. for 12 months on balance transfers, and half off the annual fee for the first year. Or, get 0% for 24 months on balance transfers (1% transfer fee applies).
Fees, interest rates and other details
| Feature | Virgin Australia Velocity Flyer Card |
|---|---|
| Annual fee | If you take advantage of the 60,000 Velocity Points welcome offer, the annual fee is $74 for the first year, then $149 in subsequent years. If you opt for the 24 month balance transfer welcome offer, the annual fee is $149. |
| (Variable) purchase rate | 20.74% per annum. |
| (Variable) cash advance rate | 20.99% per annum. |
| Regular balance transfer rate | 20.99% per annum (0% for 12 months or 24 months, depending on the welcome offer, then it reverts to the cash advance rate (20.99%). |
| Minimum credit limit | $6,000. |
| Interest-free days on purchases | Up to 44 days interest-free if the statement balance is paid in full by the statement due date. Remember, this will not apply to cash advances. |
| Additional cardholders | $39 (applicants must be at least 16 years old). |
| Card network | Visa. |
| Intro offer | Two welcome offers are available for new applicants: • Up to 60,000 Velocity Points – spend at least $1,500 a month for the first two months to get 30,000 points each month. Plus, get 0% p.a. for 12 months on balance transfers and half-off the annual fee for the first year. • 0% p.a. for 24 months on balance transfers (1% balance transfer fee applies). |
| Rewards program | Velocity Frequent Flyer. |
| Rewards details | Earn 0.66 points per dollar on eligible purchases up to $1,500 per month, then 0.5 points per dollar thereafter. Additional: Earn 1 point per $1 on all bookings made direct through Virgin Australia. |
| Included insurance | • Purchase Protection Insurance for 90 days after the transaction • Extended Warranty Insurance for up to 12 months. |
| Benefits | • Get a $129 Virgin Australia gift voucher every year, in the form of a travel credit, as long as you redeem within two months of a purchase made with the card. • Two types of insurance to protect credit card purchases (purchase protection and extended warranty). • Visa Platinum benefits, such as seat selection and first entry at events. • Visa Concierge Service. • Zero Liability. • Fraudshield features for added safety. |
Basic overview
The Virgin Australia Velocity Flyer Card comes with the ability to earn Velocity Points, a yearly Virgin Australia gift voucher, two balance transfer offers for new applicants, and a generous credit limit range (up to $100,000).
Choose the welcome offer that most benefits you, but keep in mind the 20.99% revert rate after the promotions end (and an annual fee that doubles after the first year if you select the 60,000 Velocity Points offer).
Understanding the annual fee’s value
If you apply for the Velocity Points offer, the annual fee is discounted for the first year ($74), then reverts to $149 moving forward. If you apply for the 24-month balance transfer offer, the annual fee is $149 from the first year.
Over time, the rewards and benefits of a credit card could potentially outweigh the annual fee depending on how you use the card. Here are a few ways you could ‘cover’ the $74 annual fee, (and subsequent $149):
- Balance transfer promotion: If you transfer $10,000 to the Virgin Australia Velocity Flyer Card at 0.% p.a. for 24 months (and your current rate is 20%), you could save over $2,000 in interest by paying it off within the two-year promotion. The extra cash in your pocket could help cover the annual fee for many years moving forward. But keep in mind, this example relies on you paying off the debt in full by the end of the promotional period. If you fail to clear the debt, the card’s revert rate (20.99%) will apply, which – in this example – is higher than what you started with.
- 60,000 Velocity Points promotion: If you spend at least $1,500 each month for the first two months, you can earn a bonus of $60,000 Velocity Points. These points can be redeemed for things like international flights, saving you hundreds of dollars that can be put toward the card fee.
- Redeem the flight gift voucher: If you fly with Virgin Australia at least once a year, you can save $129 per year off your booking (which is close to covering the annual fee). This offer requires you make at least one purchase on your card within two months of requesting the voucher.
Promotional offers
Velocity Points welcome offer: Up to 60,000 bonus Velocity Points are available to new cardholders. To redeem, you must spend at least $1,500 on your card each month for the first two months (30,000 points per month).
You also get 0% p.a. on balance transfer for 12 months. Transfer fees may apply.
Balance transfer offer: Get 0% on balance transfers for 24 months (1% transfer fee applies).
What’s the welcome offer worth?
Velocity Frequent Flyer points don’t have a direct monetary value — it depends on how you redeem them. However, 60,000 points could get you close to a return flight from Perth to Bali, plus fees.
For the balance transfer offers, if you transfer $10,000 from a card with a 20% interest rate, you could save approximately $900 over 12 months or $2,000 in 24 months, depending on the balance transfer offer you choose.
The above offers and the redeemable value of the points were current at the time of writing and are subject to change.
There are two balance transfer offers available, one of which is included in a points offer.
- Get 0% interest for 12 months when you choose the 60,000 Velocity points welcome offer, or
- Get 0% for 24 months when you choose the main balance transfer offer.
The card’s minimum credit limit is $6,000 and total balance transfers cannot exceed 80% of the credit limit. For example, if you’re approved for a $10,000 credit limit, the balance transfer must be $8,000 or lower. Any outstanding balance at the end of the promotional period will revert to the cash advance rate of 20.99%. A balance transfer fee, such as 1% of the transferred amount may be applied to the transfer. Velocity Points are not awarded for balance transfers.
To retain the 0% interest rate on your balance transfer, you may be required to pay off all new charges made to the card, as well as any minimums, by the due date shown on your statement each month. We recommend checking the Balance Transfer terms and conditions to ensure you understand what is required to retain the balance transfer rate.
Mind the revert rate
If you have a credit card balance on a card with a higher interest rate, moving the balance to one with a lower interest could save you money — and give you time to pay down the balance. Remember that the new card’s standard interest rate applies once the promotional period ends. So, ideally, you want to pay off the debt during the promotional period. It’s also important to consider the new card’s standard rate versus the interest rate you are paying on your current card, especially where you may be unable to pay the balance transfer off within the lower interest rate period.
Virgin Money balance transfer rules
Before choosing the balance transfer offer, it’s important to know the rules of how balance transfers work at Virgin Money.
- Transfer limits: Virgin Money balance transfers cannot exceed 80% of an approved available credit limit, and must be more than $500.
- Eligible cards: Balance transfers are accepted from other banks and financial institutions (non-Virgin Money cards). You can transfer credit card balances, personal loans and lines of credit.
- Interest-free days: The 44-day interest free period still applies to new purchases, as long as you pay the statement balance (and any minimum payments due on your balance transfer) in full by the due date.
- Eligible customers: Balance transfers are available to new customers or current Virgin Money cardholders who want to apply.
- Transfer fees: The 12-month balance transfer welcome offer has a 1% fee added to the outstanding balance upon transfer.
Rewards
As a Virgin Australia credit card, Velocity Frequent Flyer is the exclusive rewards program. You can earn points by using the card for eligible purchases, and booking travel with Virgin Australia.
The current earn rates are:
- 0.66 points per dollar up to $1,500 per month, then 0.5 points per dollar spent, using your card.
- 1 point per dollar on purchases with Virgin Australia, using your Velocity Flyer card.
Velocity Frequent Flyer points can be used for travel bookings (with Virgin Australia or partner airlines), seat upgrades, hotels, car hire, travel packages, gift cards, retail shopping and more.
There are 15 Velocity Frequent Flyer airline partners, including Singapore Airlines, United Airlines, Air Canada, Etihad, and Qatar.
Know the true cost of rewards
To earn credit card rewards, your account typically needs to be in good standing, and you may need to meet spending minimums. It’s important to keep in mind that in doing so, you may also incur fees and interest charges in addition to the annual card fee. These costs may offset the overall value of the rewards you accumulate and potentially any ‘savings’ you make through an introductory offer or through redeeming points for other benefits. So, it’s crucial to balance your spending and account management to maximise benefits whilst mitigating costs.
Our take
The below pros and cons are based in part on NerdWallet’s editorial expertise and data collected from over 100 Australian credit cards.
Pros
- Two welcome offers to choose from:
- Up to 60,000 bonus Velocity Points (when you spend $1,500 per month in the first two months) and 0% p.a. interest rate for 12 months on balance transfers.
- 0% p.a. interest rate for 24 months on balance transfers.
- The annual fee is discounted for the first year ($74) with the 60,000 Velocity Points welcome offer.
- Cardholders get a $129 Virgin Australia travel voucher every year.
Cons
- You can only earn 0.66 Velocity Points up to $1,500, then it drops to 0.5 points per dollar.
- For a traveller card, it lacks complimentary insurances such as travel and rental vehicle excess insurance.
- A higher than average international transaction fee (3.3% versus the standard 3%).
- Additional cards are not free. There’s a $39 charge to add a secondary cardholder.
Eligibility
Who may be eligible?
To apply for Virgin Australia Velocity Flyer card, you need to be:
- 18 years old or older
- an Australian citizen or resident
- have a minimum income of $35,000
- have a good credit rating.
You must be approved for a credit limit of at least $6,000 to get the Virgin Australia Velocity Flyer Card.
Always check the product brochure and the card’s terms and conditions when determining if you’re suitable for a specific credit card, even if you’re eligible.
Who might be suited to this card?
According to Virgin Money’s Target Market Determination (TMD), the Virgin Australia Velocity Flyer Card is designed for customers who:
- are seeking a line of credit facility for everyday spending to earn up to 0.66 Velocity Points per dollar on certain purchases and the ability to access complimentary insurances and card benefits
- are Velocity Frequent Flyer members or are looking to become members
- meet eligibility criteria and serviceability requirements for the card
- are unlikely to hold substantial balances for prolonged periods except to take advantage of reduced interest rates and/or instalment repayments on a Fixed Payment Option or a Balance Transfer (including holding a Balance Transfer for longer than the period during which a reduced interest rate applies).
Who might not be suited to this card?
According to Virgin Money’s Target Market Determination (TMD), the Virgin Australia Velocity Flyer Card is not designed for customers who:
- want a credit card without the ability to earn reward points
- do not meet the eligibility criteria and serviceability requirements for the card.
How to submit an application
To complete the credit card application online, you will need:
- identification documents
- information about your income and expenses
- current credit balances and limits
- account details of any credit balances you plan to transfer (if taking advantage of balance transfer offer).
Simply click on the ‘Apply now’ button for the offer you want to access (bonus points or balance transfer) and follow the prompts.
Customer satisfaction ratings
Note: Customer review websites can be insightful, but keep in mind that the reviews may not accurately reflect the average experience; for example, unhappy customers may be overrepresented in these reviews. Products also change over time, and reviews may reflect experiences with features and benefits that are no longer available. Nevertheless, these sites are just one way to learn more about the company and the products on offer before you make a decision.
As of this writing:
- Based on more than 118 Trustpilot reviews, Virgin Money Australia scored: 1.5 out of 5 stars.
- Based on more than 87 ratings from Product Review, Virgin Australia Velocity Flyer card scored: 1.7 out of 5 stars.
NerdWallet does not endorse Trustpilot or Product Review scores and provides them for illustrative purposes only.
Frequently asked questions
The Virgin Australia Velocity Flyer Card has an annual fee of $149. If you select the 60,000 Velocity Points welcome offer, the fee is $74 for the first year, then $149 for each year following.
Virgin Money is owned by the Bank of Queensland Group (BOQ), however it is part of the global Virgin brand and network.
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