The Norwegian CashPoints loyalty program is taking a break. As the carrier moves through the bankruptcy protection and reorganization processes in Ireland and Norway the bulk of the programs benefits will be removed.
An initial pause
Initially the program is paused specifically with respect to earning and redemption on Norwegian products or flights. The pause is “temporary” but the carrier did not disclose any details or even estimates on how long that might last.
Travelers can still earn with 3rd party partners and Norwegian undoubtedly hopes that behavior continues. Those partners pay Norwegian for the points distributed and that cash is much needed by the company.
Potentially limited restart
When the pause ends travelers will once again be able to earn and redeem points on Norwegian travel. But for passengers with massive CashPoints balances there’s still some bad news.
The carrier “reserves a right to limit the spending of CashPoints as means of payment until the impact of the ongoing pandemic is under control and Norwegian’s commercial activities can return to a new normal.”
Again, no details provided, but if it looks like people are liquidating their accounts the company can scale back what is permitted to ensure sufficient real cash is coming in to keep the planes in the air.
Extending validity
On the plus side, the program will again extend the validity of CashPoints balances. Though if it is like last time that will require proactive work by the member rather than being an automated process. Which is a(nother) great way to shed liability in the program while appearing generous in actions.
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I got the email too from them today. I was down to 14 cash points, not expecting Norway to bail them out forever. And yet it seems like all bets are not yet off on Norwegian getting bailed out by the Norwegian government for purposes of a short/mid-haul carrier.
I never kept many points in the program, both because I’d redeem any time I had some and because I rarely accrued. I certainly understand not wanting to fly on paper gains that were wiped out long ago, but it is not a good look for the program or the company. It shows just how dire the situation is IMO.
There is a Bank Norwegian that acts as an online-only bank.
That bank still has a Norwegian CashPoints-earning credit card. I would assume that it’s a dying product …. if it’s still even in use.