Velocity Credit Cards

A Velocity credit card gives you a way to earn frequent flyer points for every $1 you spend on eligible purchases. Some of these credit cards also have big bonus point offers when you sign up, which can help you get Velocity rewards flights, status and other perks you want sooner.

Interested? Here's a closer look at what you need to know about Velocity Frequent Flyer credit cards.

How do Velocity Frequent Flyer credit cards work?

• Video Transcript

  G'day, I'm Angus Kidman from finder and I'm here to talk to you about frequent flyer credit card bonus points offers.

  These are the offers that you see where it says "hey sign up for this credit card and we'll give you 100,000 bonus frequent flyer points" and that's a really tempting offer. You know, that many points could get you on a return trip to London.

  And this can be a great way to top up your reward point balance but you do have to be aware of the traps. Now the biggest trap is this: very often these cards will have some kind of spend requirement where you have to spend a certain amount of money within a given period of time in order to qualify for the full set of points.

  So let's say that I saw an offer that promised 50,000 Qantas Frequent Flyer Reward Points. Great I think, but then when I actually look at the conditions it turns out that I have to spend $5,000 on that card within the first three months in order to get those bonus points.

  Now you probably could do that with your everyday spending, but there's something else you need to be aware of and that's that you can only spend on what are known as eligible transactions.

  So normal regular purchases like groceries or petrol or Hawaiian shirts are totally covered by that but there are some things that aren't. Usually you'll find that payments to Bpay, payments to the ATO or cash advances will not be included as eligible transactions so make sure you're aware of what the rules are and what the time period is where you have to make those purchases.

  Every single card is going to have a slightly different kind of offer so it's really important to understand all the details before you sign up for it.

  Now if you compare frequent flyer credit cards at finder as well as showing you all those terms and conditions we'll also tell you about the key features of the card. Things like the annual fee and the interest rate on purchases, and that way you can pick a card that not only helps you maximise your points total but is also a great card for everyday spending.

How can I earn points with a Velocity credit card?

All you have to do to get started is add your Velocity Frequent Flyer membership details to your credit card account – sometimes you're even asked to do this when you apply.

Then, when you use a Velocity credit card to pay for groceries, food delivery, a new outfit or any other eligible transaction, you'll get a set number of points per $1 spent. For example, if you got a card that offered 1 Velocity Point per $1 and spent $200 at the supermarket, you'd get 200 Velocity Points.

Types of credit cards that earn Velocity points

There are actually two ways to earn Velocity Points with a credit card: by earning Velocity Points directly or by transferring reward points to your frequent flyer account. Here's a closer look at how each one works:

• Credit cards that earn Velocity Points directly

These cards earn Velocity Points that are automatically transferred to your frequent flyer account. Currently, American Express, BOQ Specialist, Virgin Money and Westpac all offer these "direct earn" Velocity Frequent Flyer credit cards.

• Cards that let you transfer reward points to Velocity Frequent Flyer

With these cards, you can transfer points from a credit card rewards program into your Velocity account. You can also redeem points for other rewards offered directly through the credit card rewards program.

Credit card providers that give you this option include American Express, Commonwealth Bank, Westpac, ANZ, HSBC, St.George, Bank of Melbourne, BankSA, Citi, Suncorp Bank and Bank of Queensland. When you're comparing these cards, check the transfer rate (how many Velocity Points you'll get from a transfer), as it does vary.

Take it further: If you get a card that offers point transfers, keep an eye out for transfer bonus offers that can add to your Velocity Frequent Flyer balance. For example, you could get a 15% bonus when you transfer rewards points to Velocity Points during an offer period.

How to find the best credit card for earning Velocity Frequent Flyer points

If you want a rewards credit card that earns Velocity Points, looking at these features will help you find one that suits your needs:

• Earn rate. This is the number of points you'll earn per $1 spent and, generally, 1 Velocity Point per $1 is a competitive earn rate for a direct earn card. Make sure you also check for any points caps or spend thresholds in your comparison.
• Bonus points. Some Velocity credit cards some with bonus point offers on sign-up. These offers typically range from 10,000 to 120,000 points when you meet the spend requirements. For example, a card might offer 80,000 bonus points when you spend $4,000 in the first 3 months.
• Annual fee. Although some Velocity Frequent Flyer cards charge $0 annual fees, you can usually expect more competitive earn rates and extra features if a card has a higher annual fee.
• Interest rates. This will usually hover around 20% p.a. If you regularly carry a balance between statement periods, the interest costs you'll accrue can easily outweigh the value of your Velocity Points. So, rewards cards are best suited to cardholders who regularly pay their account in full.
• Complimentary travel insurance. A Velocity credit card that offers complimentary travel insurance can help you save on the cost of buying cover outright. While complimentary credit card travel insurance conditions vary between providers, usually you and eligible family members travelling with you will get cover for medical expenses, lost or stolen luggage and legal liability.
• Flight offers. Some Velocity reward credit cards offer a complimentary domestic flight or flight voucher each year you have the card and meet the eligibility requirements. For example, the Virgin Australia Velocity Flyer and High Flyer credit cards both offer a $129 Virgin Australia gift voucher every year when you make a retail purchase in the 2 months prior to requesting your voucher.
• Lounge passes. Many Velocity Frequent Flyer cards also offer complimentary single entry passes to Virgin Australia lounges, where you can enjoy complimentary food and beverages, high-speed Wi-Fi, dedicated check-in, bathrooms and shower facilities as well as meeting rooms and working spaces. If you have an American Express Velocity card, you may also receive passes to visit the American Express lounges at Sydney and Melbourne airport.

How can I earn more points with a Velocity Frequent Flyer credit card?

Here are some of the ways you could maximise the Velocity Points you earn with a frequent flyer credit card:

• Shop with bonus points partners. Some Velocity frequent flyer credit cards offer bonus points for spending with specific partners. For example, you may be able to earn bonus Velocity Points when shopping with Virgin Australia, another retail partner or when you spend money overseas. Make sure you know what bonuses are available so you can get more Velocity Points with your credit card. The complete list of Velocity everyday partners is available on the Velocity website.
• Pay for big ticket items on your card. Booking travel, buying furniture or going to a major event, paying with your Velocity credit card can help you earn more points for these big-ticket expenses. Just make sure you can pay off the purchases before interest is charged, otherwise the cost could outweigh the value of the Velocity Points you earned.
• Take advantage of bonus points offers. Many Velocity credit cards offer bonus points when you first sign up for a card, which will help boost your frequent flyer balance. You'll usually need to meet some conditions to take advantage, such as spending a particular amount of money in the first few months you have the card.
• Spend with Velocity partners. As a Velocity member, you can also earn points when you spend with program partners such as Virgin Australia, Coles, BP service stations, Jetts Fitness, Virgin Mobile and a wide range of retailers on the Velocity eStore. If you use your Velocity credit card with these partners, you'll earn points twice: once through Velocity and once through your card. See our guide to earning Velocity Points to get started.
• Additional cardholders. Many Velocity Frequent Flyer credit cards allow you to link additional cardholders to the single account. All of the points earned on the additional card are pooled within the one Velocity account. This can be an easy way to boost your Velocity Points if you request an additional card for your partner or for employees if you're using a business card.

How many points can I earn with a Velocity Frequent Flyer credit card?

The maximum number of Velocity Points you can earn with your credit card will depend on the card's bonus points offer and earn rate, plus how much you spend. When you're looking at Velocity Frequent Flyer credit cards, you can use these factors to get an idea of how many points you'll earn each month.

The table below has examples for two Velocity credit cards to give you an idea of how it works.

From these examples, we can see that even a small difference in the earn rate can have a big impact on how many points you earn. In this case, the American Express card would earn 910 Velocity Points more per month – which could mean an extra 10,920 points per year compared to the Virgin Australia card.

But there are a few key points to think about:

• The number of points you'll earn largely depends on the earn rate of the card and how much you spend each month on eligible purchases.
• The more you spend and the higher the earn rate, the more Velocity Points you'll earn with your Velocity Frequent Flyer credit card.
• When making these calculations, think about whether you can afford to pay off the balance before the statement period ends (to avoid collecting interest).
• Always check the card's annual fee to decide if the value of the rewards (and other perks) will outweigh the yearly costs of the card.

Virgin Australia Velocity Frequent Flyer credit cards can be a smart way to get more frequent flyer rewards from your everyday purchases. With so many different costs, earn rates and other perks available, comparing a range of Velocity credit cards will help you find one you want.

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