A few months ago, I almost lost all my points with Velocity, Virgin Australia’s frequent-flyer scheme. To be fair to Virgin, they gave me plenty of warning that I’d have to earn more points or redeem some to keep my account active.
Since I am rarely in Australia, earning more was going to be a bit tricky, so I decided to redeem some points and make a donation to charity. A win-win, there. I get to keep the rest of my points while feeling good about helping out the less fortunate.
This week, I’ve received an email from Velocity saying that the rules are changing so that inactive accounts will be closed after 24 months (previously 36) and that points transfers between family members will no longer be deemed eligible activity to prevent points from expiring.
This doesn’t apply to me — and, to be honest, it seems quite reasonable — but it did serve as a reminder that is relevant to all of us who accrue frequent-flyer points: make sure you know the rules.
I am a member of six frequent-flyer schemes, which is almost certainly too many, ad I have lost points through expiry on one of those accounts. It was a small amount, and given my location and circumstances at the time, there was very little I could do about it.
Of course, airlines want you to continue to earn points, through flying and other activity such as shopping at their store or related retailers, staying at certain hotels and using co-branded credit cards.
Like credit cards themselves, frequent flyer schemes can be very useful — but you really have to know how to operate the accounts to your own advantage. Just as you should, ideally, try to pay out your credit card each month to avoid extra fees and interest, you should know the “tricks” that give you extra value and stop you from having to surrender hard-earned points.
There are web sites dedicated to this, and I’ll be revisiting the topic here. For now, the best advice I can give you is to take the time to read the emails you get sent and visit the loyalty scheme’s web site to acquaint yourself with the fine print.
Update: I’ve since received an email from Qantas notifying me of news ways to redeem upgrades with its Frequent Flyer scheme, which may alter my plans for my 50,000-plus points. It does pay to keep on top of these things.
