Virgin Australia has announced plans to refund 61,000 customers who were overcharged due to an issue in its pricing system. The error affected bookings between April 21, 2020, and March 31, 2025.
The airline explained that the problem occurred when tickets were re-priced following changes to passengers’ itineraries. This issue impacted about 0.1% of bookings made during the specified period.
A Virgin Australia spokesperson explained, “We have policies in place to guide how and when we adjust ticket prices when a guest changes their travel plans. Recently, we discovered that, in some cases between April 21, 2020, and March 31, 2025, ticket prices were adjusted in ways that did not follow our guidelines. We are now refunding the affected customers for the extra charges.”
The error was identified after the airline conducted tests on an upgrade to its booking and ticketing system. Virgin Australia has committed to proactively contacting all affected customers to process their refunds, with the average refund amount being around $55.
In response to the situation, Virgin Australia has informed the Australian Competition and Consumer Commission (ACCC) and is working with the regulator on any further necessary actions.
Customers will be contacted and given the option to receive their refund as cash, credit, or frequent flyer points. They will also have the chance to donate the refund to charity.
“We want to do the right thing at Virgin Australia, which means admitting when we make mistakes and fixing them,” the spokesperson added.
To speed up the refund process, the airline has enlisted the help of Deloitte Australia. Affected customers can claim their refund within 12 months. Any unclaimed amounts will be donated to charity.
Virgin Australia has confirmed that it has contact details for all impacted customers and will send communications outlining the refund process.
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