Much like any other credit card, cards that earn Virgin Velocity rewards points have different features and fees. Make sure that any card fees and interest rates don’t outweigh the benefits of earning points.
The more points you’ll earn for each $1 spent, or the higher the earn rate, the more you’re getting out of your plastic.
If you’re comparing credit cards with Virgin Velocity points, check whether any of the credit cards offer bonus points when signing up. But remember, there’s more to a credit card than bonus points; while they can be worthwhile, it’s the ongoing costs of the card that you need to be comfortable committing to.
When it comes to rewards cards like credit cards with Virgin Velocity points, the interest rate tends to be higher than standard credit cards with fewer features.
If you tend not to pay your card balance in full each month, a higher interest rate may cancel out the benefits of any rewards points. Look for cards that offer a lower interest rate and be wary of any potential interest you could accrue on your card balance.
Interest-free days are another feature to keep an eye out for. This grace period, usually between 45 and 55 days, when your purchases are not hit with interest can help you keep your card costs down.
Much like interest rates, rewards cards like credit cards with Virgin Velocity points tend to have higher annual fees than cards with fewer features. While you may be earning points, you’ll also be paying for the luxury by way of higher rates and card fees.
On occasion, some cards may waive or discount the first year of fees as an incentive. Before you apply for a credit card with Virgin Velocity points, be sure to do your research to make sure that the standard annual card fee doesn’t outweigh the perks of earning points.
If you plan to use the card overseas, be aware of any international currency charges or additional fees. It’s worth noting that cash advances generally don’t earn Virgin Velocity points and tend to incur a high cash advance interest rate.
Some credit cards with Virgin Velocity points come with bonus perks like complimentary travel insurance and other freebies. All of these will be outlined in the rewards program on the provider's website.
In most cases, complimentary travel insurance is usually offered on platinum or premium credit cards. The upside of premium platinum cards is that they tend to have a lot more features, the downside is that the annual fees and interest rates are often higher.
If you’re a frequent traveller, paying the premium for a card that offers you extra features may work in your favour. But if you don’t travel often or you require complicated insurances, premium platinum cards might not be the best value. Always check the terms and conditions of the insurances to make sure that the level of complimentary cover and the inclusions suit your situation.
Other card perks may include a complimentary domestic flight, flight upgrades or vouchers or complimentary entry passes into the Virgin Australia lounge.