PayRewards soars with Virgin Australia Business Flyer

Savvy businesses funnelling their expenses through Pay.com.au can now choose to earn Velocity Points through Virgin Australia Business Flyer.

From today, you’ll be able to swap 2.5 PayRewards Points for 1 Velocity Point. This is in line with PayRewards’ other partners – Qantas Business Rewards and Singapore Airlines KrisFlyer, which both transfer to their respective programs at the same rate.

Disclaimer: Point Hacks is affiliated with Pay.com.au.

Why Virgin Australia Business Flyer is a great partner for PayRewards

Virgin Australia’s business loyalty program is targeted at SMEs. It’s free to join and members get discounted flights and Business Flyer points whenever someone in the company travels for work. With Pay.com.au, PayRewards Points transfer to Virgin Australia Business Flyer.

You can then transfer Business Flyer points to a personal Velocity account at a 1:1 rate. For example, if you have 150,000 Business Flyer points and need to be in London for a conference, you could transfer 139,000 points to Velocity Frequent Flyer and use those points for a Business reward seat with a partner airline such as Singapore Airlines, Qatar Airways, Etihad and more (plus fees and taxes).

How do I earn PayRewards Points?

Once your business is signed up with Pay.com.au, you can earn points in the PayRewards loyalty program. There is an additional percentage fee on top of your payment processing fee.

The highest level, VIP Premier, nets you 2 points per dollar processed. It comes at a fee of 1.8% (ex GST) on top of your usual Pay.com.au processing fee.

If you pay your bills through Pay.com.au via a bank transfer (which doesn’t normally earn points), you can still opt for a PayRewards VIP or VIP Premier tier to earn PayRewards Points instead.

1. No tier selected	2. VIP tier selected	3. VIP Premier tier selected.
No PayRewards Points earned	1 PayRewards Points per $1	2 PayRewards Points per $1
No extra cost	1.0% ex GST on top of your Pay processing fee*	1.8% ex GST on top of your Pay processing fee*

*Pay.com.au processing fees based on your selected Pay plan (Free, Regular or Premier). The fee may be tax-deductible. For example, let’s break this down for an upcoming AU$150,000 payment.

Example transaction with PayRewards Points

Firstly, you’ll earn points on your rewards credit card through Pay.com.au (that’s the whole point, after all). Say you hold an American Express Platinum Card. Your Amex transaction fee will depend on which Pay.com.au plan you choose. On a Premium plan for transactions over $100K, that’s 1.85% (ex-GST), or $2,775.

With this Amex card, you’ll earn 337,500 Membership Rewards Points which can convert to 168,750 Velocity Points, because you can transfer Membership Rewards points to Velocity.

And if you opt for PayRewards VIP Premier, you’ll also earn a further 300,000 PayRewards Points on the transaction, which converts to 120,000 Velocity Points. You’ll now have a total of 288,750 Velocity Points – enough for two Sydney-London flights in Business Class.

You’d be charged a further $2,700 (ex-GST) for the PayRewards fee – for a total of $5,475 ex-GST. But you’d gain enough Velocity Points to fly Sydney-London return in supreme comfort!

Remember that business transaction fees are often tax-deductible (but seek individual advice to confirm). You’ll also benefit from interest-free or cash flow periods on your credit card, where your supplier is paid instantly, and you hold onto your cash for up to 55 extra days.

Disclaimer: Point Hacks is affiliated with Pay.com.au. Earn 10,000 bonus PayRewards Points when you get started with Pay.com.au.