Amex launches bonus Velocity Points offer on its $0 annual fee card

Posted: 16 July 2019 11:45 am
News

Backpacker on a swing bridge.

Boost your balance with 10,000 bonus Velocity Points when you spend $750.

In good news for points collectors, American Express is offering new Australian cardholders 10,000 bonus Velocity Points when they apply for an Escape card through Finder by 8 August 2019. While 10,000 bonus points isn't a massive sum, it is one of few offers designed for points collectors who aren't looking for premium perks (and the hefty annual fees that come with them).

How does it work?

The American Express Velocity Escape Card offers 10,000 bonus Velocity Points when cardholders meet the spend requirement of $750 within the first 3 months of card approval. It earns a highly competitive 0.75 Velocity Points per $1 spent (0.5 points on government transactions) and an additional point on select Virgin Australia spend. Your points are uncapped and credited directly to your Velocity account. With 10,000 Velocity Points cardholders could fly one-way from Melbourne to Adelaide in Economy (7,800 points plus taxes, fees and charges).

It charges a $0 ongoing annual fee and offers a balance transfer rate of 0% p.a. for the first 12 months (with a 1% balance transfer fee). With no lounge passes or overseas travel insurance, this card is suited to new points chasers who spend modestly and are looking to give their frequent flyer account a kick-start. However, with a purchase interest rate of 20.74% p.a., you should pay back your balance in full each month.

How does this card compare?

The Velocity Escape rewards customers with a modest amount of bonus points without the price tag, so we've compared it with the Virgin Australia Velocity Flyer Card that offers up to 30,000 bonus Velocity Points (in the form of 3 bonus points per $1 spent) over the first 3 months. It charges an ongoing $50 annual fee and offers a $129 Virgin Australia Gift Voucher each year.

American Express Velocity Escape Virgin Australia Velocity Flyer Card
Picture not described Picture not described
Total bonus points 10,000 Velocity Points 30,000 Velocity Points
Spend for total bonus $750 over 3 months $10,000 over 3 months
Annual fee $0 $50
Balance transfer 0% for 12 months, 1% fee 0% for 18 months, no fee
Purchase rate 20.74% p.a. 20.74% p.a.
Earn rate
  • 0.75/$1 on eligible purchases
  • 0.5/$1 on government
  • 1.75 on Virgin spend
  • 0.66/$1 up to $1,500 per statement period (0.5/$1 thereafter)
Minimum credit limit $2,000 $6,000
Insurance covers Purchase and refund Transit accident and guaranteed pricing scheme
Extras None Yearly $129 Virgin Australia Gift Voucher

Rates, fees and features are correct at the time of writing.

While the Virgin Money card comes with a bigger bonus points offer and more perks, it charges a more expensive annual fee and the spend requirement to get the total bonus points is significantly higher. The other major consideration when comparing an American Express to a Visa credit card is the wider acceptance of Visa versus Amex, and you should factor in where you do the majority of your credit card spending.

Although 10,000 bonus Velocity Points aren't likely to get you very far on their own, the low spend requirement and ongoing $0 annual fee makes this offer worth considering. If you want to see how it stacks up against others, check out Finder's frequent flyer credit card comparison for more current offers.

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