Virgin Australia Velocity Flyer Credit Card (Balance transfer offer)

0% balance transfer offer for 24 months

If you currently have unpaid balances on one or more of your existing credit cards, you can take advantage of this generous balance transfer offer. Transfer the balances (up to 80% of your approved credit limit) to your new card, and pay no interest at all for 24 months. It’s not the longest period available on the market (some cards offer 28 months), but it’s certainly long enough to let you either save or make a reasonable amount of money. Just note the 1% balance transfer fee ($40 on a $4,000 transfer), which slightly reduces your overall savings

Save money, even if you could afford to pay off the balance. Instead of repaying that $4,000 straight away, you could place it in a 5% p.a. mortgage offset account for 24 months and reduce your home loan interest by about $400, assuming monthly compounding.

Make money if you don’t have a mortgage. Putting the same $4,000 in a 3.5% p.a. high-interest savings account for 24 months would earn you roughly $290 in interest, depending on the compounding frequency.

Planning to use the card for purchases? Keep in mind that while your balance transfer is unpaid, your monthly 44 interest-free days on purchases won’t apply — any purchases will be charged interest immediately. You’ll also miss out on earning Velocity Points for purchases until the balance is cleared, and you’ll forfeit any first purchase bonus points, since making a purchase would trigger interest.

Also, be aware that any remaining balance left unpaid at the end of 24 months will start costing you interest at a whopping 20.99% p.a. This is the cash advance rate, which, along with the purchase interest rate of 20.74%, is a fairly normal rate for a credit card. Escape paying these high rates by avoiding both cash advances and overdue purchase balances.

Enjoy an exclusive $129 Virgin Australia gift voucher

Get a $129 Virgin Australia flight voucher each year. All you need to do is make a retail purchase in the two months before you request it. The voucher works on any Virgin Australia flight — even sale fares — and some holiday packages too. For example, if you spot a sale fare from Melbourne to Brisbane for $152, you’d only have to cover the $23 difference out of your own pocket.

Some limited insurance cover

This is Virgin Australia’s entry-level Velocity Points card, so it doesn’t include international travel insurance or the full suite of perks that come with the High Flyer version. But you still get two handy types of purchase protection:

• Purchase Protection Insurance – If something you buy with the card is lost, stolen, or damaged within 90 days, you’re covered, provided the full purchase was charged to your credit card.
• Extended Warranty Insurance – This extends the manufacturer’s warranty by up to one extra year. Coverage is capped at $10,000 per item and $40,000 total per year and applies only when you pay with the card.

Visa benefits

Some of the advantages accompanying this card come courtesy of Visa rather than Virgin.

• Visa concierge service. A virtual personal assistant online or by phone, anywhere in the world, for restaurant, theatre, travel and entertainment bookings and recommendations.
• Visa offers + perks. Get access to exclusive offers, giveaways, and benefits.
• Visa payWave. Fast and easy contactless payments under $100.
• Verified by Visa. A one-time password delivered by SMS for online shopping adds an extra level of security.
• Visa Checkout. Optional enrolment to simplify and speed up online shopping by storing your card and shipping details
• Visa Zero Liability policy. You won’t be held responsible for fraudulent or unauthorised use of your card, but do advise your card issuer at once if it’s lost or stolen. (This comes in addition to the Fraudshield service provided by Virgin Money, the card issuer, which advises you of any irregular or suspicious transactions on your account.)

And the cost is...

$149 p.a.—with no first-year discount. While it’s slightly higher than the value of the annual $129 flight voucher, it’s easy to offset most of the cost if you use the voucher for a trip you were planning anyway. Just keep in mind that this is a fixed yearly fee, so it’s worth weighing up how often you’ll fly with Virgin Australia or take advantage of the other card features.

You can have up to four supplementary cards on your account, but unfortunately, you’ll have to pay $39 for each one. This brings the continuing cost to $168 for a couple wanting two cards on the same account.

What makes the Virgin Australia Velocity Flyer Credit Card a good fit?

If you’re a Velocity Frequent Flyer and regularly fly with Virgin Australia, this card makes sense, especially if you’re looking to earn points on everyday spending without a hefty annual fee. You’ll earn 0.66 Velocity Points per $1 on eligible purchases up to $1,500 per statement period and 0.5 points per $1 after that. Plus, the $129 annual flight voucher goes a long way toward offsetting the $149 annual fee, especially if you fly even once a year.

The 0% p.a. balance transfer offer for 24 months is a standout for anyone trying to clear existing credit card debt while avoiding interest for a generous period. Just be mindful that you’ll want to hold off on using the card for purchases during that time to avoid losing interest-free days and bonus points.

Overall, it’s a practical choice for those who value simplicity, fly with Virgin often, and want a way to earn rewards and manage debt without jumping into premium card territory.