Velocity Frequent Flyer members will be able to redeem their points on domestic flights from 1 September, after previously freezing the service when Virgin Australia entered administration.
The business, which is separate to the airline, said in a statement it was “hopeful” coronavirus travel restrictions and border closures would be lifted in July, in line with Prime Minister Scott Morrison’s three-step lockdown exit plan unveiled last week.
On 21 April, Velocity suspended redemptions for four weeks after customers crashed the site trying to use up their remaining points.
In order to mitigate worries that restrictions won’t be lifted, Velocity said it will waive fees for any changes or cancellations passengers make until 1 September.
It has also committed to refunding points or cash in full to the original form of payment before that date.
The business said in a statement, “We’re hopeful that domestic travel restrictions and state and territory border lockdowns ease by September and for many of us, a local holiday and catching up with interstate family and friends will be well over-due.
“We look forward to sharing more offers with our members as we emerge from the COVID-19 crisis and travel resumes more broadly.”
When Virgin Australia entered administration, Deloitte confirmed it had no plans to cancel customer credit for cancelled flights, and said members would be able to continue to maintain and earn points throughout the pause.
Partner Vaughan Strawbridge also stressed Velocity is a separate company that hasn’t itself gone into administration.
Deloitte, meanwhile, has asked all bidders for the airline to submit their plans by Friday at 6pm.
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As of Wednesday, potential suitors linked include the state of Queensland, BGB Capital, Wesfarmers and Andrew Forrest, along with rumoured interest from state governments.
For more of our in-depth coverage, click the links below:
- Velocity Frequent Flyer points have been paused, but won’t be cancelled;
- Sir Richard Branson hits out at the Australian government as he pays tribute to Virgin staff;
- The TWU and opposition urges the government to make a ‘bold’ move to save the airline;
- Australia’s states have entered an apparent bailout bidding war to help Virgin Australia – on the condition the reborn business shifts its base away from Brisbane.
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