Velocity Frequent Flyer and BP's latest initiative will change how Aussies can pay for petrol and earn rewards.
BP customers who belong to the Velocity program can redeem points for savings between $10 and $60 off their eligible fuel and in-store purchases at BP service stations. The average Australian household spends around $60 on fuel each week, so Velocity and BP think the program will help customers save at the pump and put more disposable income back into their pockets.
To start redeeming points for petrol, cardholders will need to create a four-digit PIN at the Velocity site, swipe their Velocity membership card in store before making a payment and request that the purchase is redeemed with points. When you set up your PIN, the redemption amount will be automatically set to $10, so you'll need to nominate to change this if you'd like to redeem more.
Currently, $10 off petrol is worth 1,667 Velocity Points and Velocity members can earn 2 points per litre of fuel or per $1 on in-store purchases (up to $100) at select BP service stations. At this earn rate, this means that you'll need to pay for 834 litres before you can redeem $10 off your next fuel purchase. Let's say that your car holds 50 litres of fuel, you'd need to fill up your car almost 17 times (16.68) before you could redeem your voucher. If you fill up your car once a week, it could take you 17 weeks or just over four months to redeem your voucher. So, unless you purchase fuel at BP religiously, have racked up Velocity Points from flights or regularly use a Velocity frequent flyer credit card to pick up points, you're unlikely to be able to take advantage of Pay with Points more three times a year. Of course, the value you could get from the rewards scheme will depend on how often you purchase fuel at BP and how regularly you refill your car.
How you can earn more rewards
While the rewards could be limited, Velocity and BP are still ahead of Qantas in the petrol rewards game. After dropping (and shortly picking up again) its partnership with Woolworths, Qantas frequent flyers are still unable to earn rewards at Caltex Woolworths service stations.