Following the announcement that Virgin Australia has entered voluntary administration, the airline’s Velocity frequent flyer program—a separate business—has announced a decision to pause all redemptions for an initial period of four weeks, effective immediately.

Velocity’s media release [21 April 2020] stated,

“Although Velocity is owned by the Virgin Australia Group, it is a separate company and it is not in administration. That means we’re still operating, but we’ve made some temporary program changes in the interests of members.”

Velocity Frequent Flyer update [21 April 2020]

The decision was made, according to Velocity, because the ongoing travel restrictions have reduced flights and, therefore, opportunities for Velocity members to redeem their points for flights. As a result, members have rushed to use their points to shop online for items like gift cards, electronic goods, and wine.

“This unexpected demand has made it difficult for our suppliers to provide these offers and limits the availability for all members to redeem their Points.”

Velocity Frequent Flyer update [21 April 2020]

Velocity members have been advised that:

• Their Points will remain in their accounts.
• Their existing Points will not expire through this period. The expiration period for existing Points will be extended by the timeframe of the pause.
• They will continue to earn Points with Velocity partners, even though they won’t be able to redeem them during the pause.

These changes take effect immediately. Although the initial timeframe for this restriction is four weeks, Velocity Members have been advised that this period may be extended.

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