Qantas willing to refund unused Covid travel credits as expiry looms

The airline will hand back customers some of the money related to Covid-19 cancellations as the December expiry date looms.

Qantas will hand back some of the money it collected from customers for flights that were ultimately cancelled due to Covid restrictions, as the clock ticks down towards the December 31 expiry of the travel credits.

The airline has claimed refunds were always available to the majority of those with travel credits, but it’s now easier to access a refund with the help of a dedicated call centre concierge.

Around $2bn worth of Covid credits were issued across the Qantas Group when borders suddenly slammed shut in March 2020 causing mass flight cancellations.

More cancellations occurred as state borders closed and reopened on multiple occasions throughout 2020, 2021 and in early 2022.

Qantas has revealed about $400m in travel credits are still outstanding, as it ups efforts to ensure customers are not left out of pocket.

About two-thirds of the remaining credits are worth less than $500.

As well as making the process to claim a refund in the place of a credit easier, Qantas is offering double frequent flyer points when a credit is used on a travel booking.

Qantas has about $400m in Covid travel credits still outstanding. Picture: James D. Morgan/Getty Images

It is also launching a “find my credit” tool to help customers locate bookings up to three years old.

The tool can be found on the qantas.com website.

Qantas said the outstanding amount of $400m was reducing each week, and included $250m worth of bookings made directly with the airline and $150m made through a travel agent or other third party.

A statement issued by Qantas on Monday said “the majority of customers with a Covid credit still have the option to request a refund if they prefer”.

The best way to go about that, was to phone the dedicated call centre credits concierge on 1300 171 505 or the agent with whom they booked.

Qantas chief customer officer Markus Svensson said they knew the credits system had been challenging because of “the sheer complexity of putting millions of bookings in a holding pattern for up to three years”.

“We’ve made a number of improvements to our systems along the way and that’s clear from the amount of credit that has already been claimed,” he said.

“The majority of the Covid credits we hold can be converted into refunds, but we can’t do it automatically as the credit cards used for the purchase as far back as 2019 may have expired.

“We’d obviously like customers to use their Covid credit to fly with us, but if they’d prefer a refund, we’re putting additional processes in place to help with that.”

The Australian Competition & Consumer Commission is continuing to investigate Qantas’ handling of Covid travel credits.

The investigation was triggered by numerous complaints from customers who were directed to more expensive airfares when they tried to use travel credits to book flights, as opposed to if they were paying cash.

Qantas has indicated it’s on track for a record full year profit in the 12 months to June 30, of close to $2.5bn.