Air New Zealand to Pocket $20 Million from Unused Travel Credits

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If you’ve got unused Air New Zealand travel credits sitting in your account, now’s the time to check.

The airline expects to bank  $20 million in revenue from unused travel credits in the second half of its 2025 financial year.

That’s $20 million from credits that customers are unlikely to redeem—money that could otherwise have gone back into travellers’ pockets.

These credits were mostly issued during the COVID-19 pandemic and are now considered unlikely to be redeemed.

The airline accounts for this as “credit breakage” revenue.

Despite targeted efforts—such as emails, app notifications, and phone calls—to prompt customers to use their credits, around 15 percent remain unclaimed.

Credits issued before October 2022 must be redeemed by 31 January 2026, with travel to be completed by 31 December 2026.

Consumer groups have voiced concern over the loss to travellers, calling for law changes that would require airlines to issue refunds for cancelled flights.

Kiwis are encouraged to check their Air New Zealand accounts and use any outstanding credits before they expire.

Credits can be used for:

  • Air New Zealand fares (including partner airline flights)
  • Flight changes
  • Seats and extra bags
  • Upgrades to existing bookings
  • Additional costs must be paid by credit card

Credits cannot be used for:

  • Airpoints™ Store purchases (unless your credit contains Airpoints dollars).
  • Voluntary carbon offset contributions
  • Hotels or rental cars

Creative Ways to Use Up Your Credit

If you’re not planning to fly but still have Air New Zealand credit, here are a few creative ways to make the most of it:

  • Gift a Trip – Book a flight for a friend or family member. Credits can be used for anyone’s travel, not just your own.
  • Upgrade Someone Else’s Booking – Know someone flying soon? Surprise them by using your credit to upgrade their seat or cover extra baggage.
  • Book a Short Getaway – Even if you’re not travelling far, use the credit for a domestic weekend trip or a day-return flight for a change of scenery.
  • Business Use – If you run a small business, use the credit for employee travel, meetings, or client visits.
  • Plan Ahead – Lock in a future trip for when you might want to travel. Just make sure to book by 31 January 2026 and travel by 31 December 2026. 
  • Combine with a Deal – Watch for Air New Zealand sales and use your credit during promotions to stretch its value further.

For more information on how to use your credit, visit the dedicated Air New Zealand Credit Redemption page here

More information can be found here: Air New Zealand expects to bank $20 million of unused credits

About Emma Healey

Emma is a recognised family finance and budgeting expert and founder of Mum's Money. Her advice has been featured in Stuff, NZHerald, Readers Digest, Yahoo Finance, Lifehacker, The Simple Dollar, MSN Money and more.