Velocity Frequent Flyer is raising carrier charges

Posted: 4 October 2019 2:47 pm
News

Virgin Australia business class

After being introduced in January this year, charges for rewards flights are increasing by up to $48.

Velocity Frequent Flyer has announced it will be raising its carrier charges on rewards seat redemptions from 8 January 2020, citing rising airline operating costs.

The changes only impact Virgin Australia operated flights, and are effective for bookings made on or after 8 January 2020.

Charges are increasing by up to $6.50 on domestic and Trans-Tasman flights, and by up to $48 for business class flights to Hong Kong. This represents an overall increase of between 29% - 186% depending on the routes and seat classes.

This change follows on from Velocity's introduction of carrier charges earlier in 2019.

There are no changes for flights to Los Angeles, nor are there any changes in fees for premium economy seats or partner flights.

You can see the full list of increases in the table below:

Route Economy Economy (from 8 Jan 2020) Increase Business Class Business Class (from 8 Jan 2020) Increase
Domestic and Trans-Tasman $3.50 $10.00 +$6.50 (186%) $5.50 $10.00 +$4.50 (82%)
International short haul $25.00 $35.00 +$10 (40%) $50.00 $70.00 +$20 (40%)
Hong Kong $35.00 $45.00 +$10 (29%) $50.00 $98.00 +$48 (96%)

Source: Velocity Frequent Flyer

How do Velocity Frequent Flyer's current extra charges compare to the Qantas Frequent Flyer program?

When booking a rewards seat you'll have to pay a certain number of frequent flyer points plus extra fees and charges. These can vary depending on the route and class.

The Velocity Frequent Flyer program has traditionally had lower extra charges compared to Qantas. Below is a comparison of the current amounts you'll pay for different flights on top of the required points for a selection of flights.

Route Class Velocity points required + extra charges (current) Qantas points required + extra charges
Brisbane to Perth Economy Class 17,800 + $29.19 18,000 + $42
Brisbane to Perth Business Class 35,500 + $31.39 41,500 + $42
Sydney to Auckland Economy Class 17,800 + $126.88 18,000 + $139
Sydney to Auckland Business Class 35,500 + $128.88 41,500 + $139
Melbourne to Hong Kong Economy Class 27,800 + $120 25,200 + $131
Melbourne to Hong Kong Business Class 59,500 + $135 68,400 + $141

Source: Velocity Frequent Flyer and Qantas Frequent Flyer websites, 4 October 2019

Assuming Velocity makes no other changes to the points and costs of reward flights, the total cost to book a flight with points from 8 January 2020 compared with Qantas might look like the table below:

Routes Class Velocity points + carrier charges from 8 Jan 2020 Qantas points + carrier charges
Brisbane to Perth Economy Class 17,800 + $35.69 18,000 + $42
Brisbane to Perth Business Class 35,500 + $35.89 41,500 + $42
Sydney to Auckland Economy Class 17,800 + $136.88 18,000 + $139
Sydney to Auckland Business Class 35,500 + $148.88 41,500 + $139
Melbourne to Hong Kong Economy Class 27,800 + $130 25,200 + $131
Melbourne to Hong Kong Business Class 59,500 + $183 68,400 +$141

The Points Finder Take

This fee increase brings Velocity closer to Qantas in terms of total cost for flight redemptions, and will be significant for some more than others e.g. those travelling to Hong Kong. Fortunately, frequent flyers planning to use points for flights in the near future can avoid the increase in fees by booking before 8 Jan 2020.

Latest Points Finder headlines, tips and guides

Image: Virgin Australia

Supercharge your frequent flyer points with Points Finder

Ask an Expert

You are about to post a question on finder.com.au:

  • Do not enter personal information (eg. surname, phone number, bank details) as your question will be made public
  • finder.com.au is a financial comparison and information service, not a bank or product provider
  • We cannot provide you with personal advice or recommendations
  • Your answer might already be waiting – check previous questions below to see if yours has already been asked

Finder only provides general advice and factual information, so consider your own circumstances, or seek advice before you decide to act on our content. By submitting a question, you're accepting our Terms of Use, Disclaimer & Privacy Policy and Privacy & Cookies Policy.
Ask a question
Go to site