The Virgin Flyer credit card is designed for frequent flyers, especially those who fly with a friend! Aside from the Velocity Rewards points, it is worth considering the Virgin Flyer for the great balance transfer deal of 1.9% p.a. for 9 months.

Benefit of the Card’s Best Features?

As with other frequent flyer credit cards, the Virgin Flyer lets you earn points for each dollar you spend. Its earn rate is 1 point per dollar for the first $1,500 spent monthly. If you spend more than $1,500, you will get 1 point for each additional $2. There is no cap to the amount of points you can earn. To give you an idea of what these points are worth, it will take about 9,800 points to go from Sydney to Melbourne with Virgin Australia. If you want to fly from Sydney to London, it will be about 230,000 points.

This card also has a unique offer which lets you instantly get a free flight. When you book 1 ticket on a Virgin Australia flight, you will get a second ticket free (the tickets have to be booked together, so it is more like you are receiving a 50% discount). You can use this deal up to 4 times a year for the same flight route.

The Virgin Flyer currently has a nice promotional deal for balance transfers. You get 1.9% p.a. for 9 months – much better than what most credit cards in Australia offer. After 9 months, the unpaid balance will revert to the standard purchase rate of 20.99% p.a.

There are some other small perks with the Virgin Flyer card. You can get cards for family or friends over the age of 16, take advantage of complimentary travel insurance, and advanced security features. If you are a big spender, then you may appreciate the $6,000 minimum credit limit and $100,000 maximum limit – though others could consider this a drawback.

Are There Any Drawbacks?

The standard purchase rate of 20.99% p.a. is hardly ideal, but is in line with the industry standard for frequent flyer cards. There is an interest free period but it is only 44 days instead of the norm of 55 days. As expected, the cash advance interest rate is high at 20.99% p.a., the same as the purchase rate. There are other fees for cash advances though including $2.70 or 2.70% of the amount withdrawn (whichever is higher). If you get cash out while abroad, then you will pay even more. There is no interest free period for cash advances.

If you won’t be taking advantage of the frequent flyer rewards, then the annual fee of $99 p.a. is hardly worth it. For each additional cardholder, you will have to pay a further $39 p.a.

Fees with the Virgin Flyer Credit Card are slightly higher than average, but that’s normal with any rewards card. Watch out for late payments, which can add up quickly. You will have to pay $10 for a late payment plus another $10 for each 7 days until the payment is made.

Before you get really excited about the buy-one-get-one-free deal that Virgin Flyer Credit Card is offering, you should know that there is some carefully hidden fine print. You will only be able to use the free seat deal on F class tickets. These are the ones which usually fly at 6am or late at night.

Who Would be Suited?

Unlike most frequent flyer credit cards, the Virgin Flyer is not really suited for business travellers. Instead, it is great for couples and families that fly to the same destination several times a year. So long as you don’t mind flying F class flights, you can save yourself a lot of money on travel costs just by having this card, regardless of the annual fee.

Who is Eligible?

To be eligible for a Virgin Flyer credit card, you must be at least 18 years old, a permanent Australian resident, have a good credit rating, and a minimum income of $35,000.