The best rewards credit cards in Canada for 2024
September 5, 2024
Rewards credit cards are the most popular type of credit card in Canada, and for good reason: they offer tons of benefits in the way of points, cash back, travel perks, and insurance. Continue reading to discover our top rewards and points credit cards.
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Canada’s best rewards credit cards at a glance
Our methodology: how we choose the best credit cards
Ratehub.ca evaluates the best credit card rewards credit cards by considering overall consumer value and suitability for various types of consumers. Our evaluation methodology incorporates factors such as the card’s annual fee, rewards earning rates, ease-of-use, welcome or promotional offers, approval rates, eligibility criteria, and redemption choices. We have also considered the pros and cons of each card to help you determine which case best suits your financial needs and spending habits.
FAQ
What is the best rewards credit card in Canada?
Our pick for the best rewards card in Canada is the American Express Cobalt due to its high-earning point values across almost all major categories, generous welcome bonus and comprehensive insurance package. Plus, point redemption options are highly flexible - you can transfer your rewards points to other valuable loyalty programs like Aeroplan, or use them for statement credits.While selecting your own rewards credit card, it is important to consider your travel, grocery, gas and other expenses to choose a card tailored to your preferences.
Which credit card rewards program is the best?
Truthfully, there is no “best” all-around rewards program. It really depends on what your goals are around earning and collecting points. For instance, Aeroplan is largely considered the best rewards program for North American flights due to their ownership by Air Canada, whereas international flyers may find that the superior flexibility from American Express Membership Rewards gives them more options. For staying at hotels, Marriott Bonvoy points provide the best value, while the Scotia Scene+ program is ideal for movie lovers who want to earn points for a wide variety of redemption options every time they visit the cinema. The important thing is to compare programs to find the one that will work best for you.
How much are rewards points worth?
The value of rewards points varies depending on your card and the type of rewards you’re earning (points or cash back). When it comes to cash back, it’s simply a set percentage of whatever you spend on the card, either across the board or in specific categories such as groceries, gas, or recurring bills. With points, however, you’ll want to follow these steps to find your earning percentage:
- Determine the number of points earned per $1 spent
- Determine the value of one point (Reward value / Points required for reward)
- Multiply the value of one point by the points earned per $1 spent
For example, let’s say you have the TD First Class Travel Visa Infinite, which gives you 9 points for every $1 spent on travel through ExpediaforTD, and 100,000 points gets you $500 worth of travel.
- Points earned per $1 spent: 9
- Value of one point: ($500/100,000 = $0.005)
Value of $1 spent: $0.005 x 9 = $0.045 or 4.5%
How do you redeem credit card rewards?
Whether you’re collecting cash back rewards or points, your provider should have an easy-to-access portal on their app or website through which you can redeem your rewards for travel, merchandise, statement credits, and more (depending on the issuer).
Certain travel rewards cards will even let you transfer your points 1:1 to loyalty programs like Air Miles and Aeroplan.
Do credit card points expire?
In general, credit card points don’t expire as long as your account remains in good standing and you continue to collect points. When it comes to loyalty programs like Aeroplan and Air Miles, however, your points could go down the drain if your account remains inactive for a certain period of time (typically one to two years), unless your credit card rewards program has an exception for cardholders, like with most Aeroplan credit cards. To prevent points from expiring, simply make regular transactions on your account to keep it active. Even one transaction per year (such as earning or redeeming points) should be enough to keep your rewards intact.
Can I get a rewards credit card with bad credit?
Typically, rewards credit cards require a “good” credit score (around 700 or higher). These cards offer perks designed to encourage frequent card use, so banks are cautious about lending to individuals with poor credit or underdeveloped credit.
Best rewards credit card in Canada
Best for Groceries & dining
based on spending $2,200/mo after $156 annual fee
- Earn rewards
1pt – 5pts / dollar spent
- Welcome bonus
15,000 points (a $150 value)
- Annual fee
$156
Perks of the American Express Cobalt® Card
| Perks | Details | |
|---|---|---|
| Lounge access | Not included | You’ll gain complimentary passes to airport lounges. The number of passes and lounges you have access to will vary. |
| Waived foreign transaction fees | Not included | A surcharge that credit card holders pay for purchases made in a foreign currency (typically 2.5%). |
| Travel accident insurance | $250,000 | If you suffer a loss as a result of an accidental bodily injury sustained while occupying a common carrier, you are eligible for this coverage. |
| Travel emergency medical | $5,000,000 for first 15 days (under 65) | If you require urgent medical care while on a trip outside of your home province, you will be covered for any eligible medical expenses incurred. |
| Car rental insurance | MSRP of up to $85,000, for 48 days | Credit card rental car insurance usually covers theft, loss and damage to your rental car in the case of an accidental collision. |
| Trip cancellation | Not included | If you have to cancel your trip before it’s even started, your prepaid travel costs will be covered up to a maximum amount if the cause of cancellation is eligible for the insurance. |
| Trip interruption | Not included | If your trip has to be cut short or is delayed after the scheduled departure date, you will be covered up to a maximum amount for an eligible cause of interruption or delay. |
| Flight delay insurance | $500; delays 4 hours or more | If your flight departure is delayed by a certain number of hours, you’ll be reimbursed a certain amount for necessary and reasonable expenses. |
| Baggage loss insurance | $500 per trip for all persons | If your checked bag cannot be located by a common carrier, you’ll be reimbursed for a portion of the replacement cost of lost personal property. |
| Baggage delay insurance | $500; delays 6 hours or more | If your checked bag is not delivered within a specified time upon your arrival, you’ll be reimbursed for the cost to replace essential items. |
| Hotel/motel burglary | Included | Provides protection, while you’re checked in, for your personal belongings when left unattended in your room up to a certain dollar amount. |
| Mobile insurance | Up to $1,000 for 90 days | Reimburses a portion of your cell phone in the event it’s damaged or lost. Device coverage is limited to a certain period of time after purchasing with your credit card. |
| Purchase assurance | Up to $1,000 for 90 days | Automatically protects new purchases by insuring them for 90 days from the date of purchase in the event of loss, theft or damage. |
| Extended warranty | Up to one additional year | Either doubles the length of the item’s manufacturer’s warranty coverage or extends it by 1 year, whichever is less. |
| Price protection | Included | If, within a certain amount of time of purchasing an item, its price drops or you find an identical item offered for a lower retail price than what you paid, you will be reimbursed for the difference. |
Other perks
- In your first year as a new Cobalt Cardmember, you can earn 1,250 Membership Rewards® points for each monthly billing period in which you spend $750 in net purchases on your Card. This could add up to 15,000 points in a year. That’s up to $150 towards a weekend getaway or concert tickets
- Earn 5x the points on eligible eats and drinks in Canada, including groceries and food delivery. Spend cap applies.
- Earn 3X the points on eligible streaming subscriptions in Canada
- Earn 2X the points on eligible ride shares, transit & gas in Canada
- Earn 1 additional point on eligible hotel and car rental bookings via American Express Travel Online
- Earn 1X point for every $1 in Card purchases everywhere else
- Enjoy access to hotel bookings, a room upgrade (when available), 12pm check-in and late check-out (when available), and up to $100 USD hotel credit to use on amenities when charged to the room for a stay of 2 or more consecutive nights through The Hotel Collection from American Express Travel
- Transfer points 1:1 to several frequent flyer and other loyalty programs
- Cobalt Cardmembers receive regular Perks such as bonus reward offers and access to great events
- Access Front Of The Line® Amex Presale & Reserved Tickets to some of your favourite concerts and theatre performances and special offers and events curated for Cardmembers with Amex ExperiencesTM
- American Express is not responsible for maintaining or monitoring the accuracy of information on this website. For full details and current product information, click the Apply Now link. If you apply and get approved for an American Express Card, (I/we) may receive compensation from American Express, which can be in the form of monetary payment.
Ratehub’s take
The American Express Cobalt is one of Canada’s best travel credit cards. If you’re looking for a versatile credit card that rewards both everyday spending and travel, the American Express Cobalt is an ideal choice. Cardholders can enjoy strong travel insurance, a generous welcome offer, and flexible point redemption options.
Pros
- Exceptional point earning: 5x the points on eligible restaurant and food delivery, 3x the points on eligible streaming services, 2x the points on ride shares, transit and gas. The earning potential for restaurants and takeout is significantly higher than most other cards
- Flexible point redemption: Travelers can choose from three ways to use their points: points 1:1 to several valuable loyalty programs including Aeroplan, use the Fixed Points Program to simplify redemptions regardless of travel dates, or use points for statement credits at a rate of 1 point = 1 cent. Or, redeem Membership Rewards for travel, gift cards, merchandise, or purchases
- Exclusive access: Enjoy privileges such as Front of the Line Presale and Reserved tickets to concerts, theatre performances, movie screenings, culinary events, and other special offers
- Comprehensive travel insurance: Benefit from a strong travel insurance package, including up to $5,000,000 in travel emergency medical
- No additional fee for authorized users: Add authorized users for no extra cost (an average fee of $30-50 on other comparable cards)
Cons
- Monthly fee: A monthly fee of $12.99 (totalling an annual fee of $156, which is higher than most other rewards cards)
- Limited acceptance: American Express isn’t as widely accepted in Canada compared to Visa and Mastercard
- Travel insurance age limitations: The travel insurance package does not cover trip cancellation or medical coverage for cardholders over the age of 65
- Lack of airport lounge access: Frequent travellers may be disappointed as this card does not offer access to airport lounges
Eligibility requirements
Minimum credit score: 725
Minimum income: N/A
Interest rates
Purchase interest: 21.99%
Cash advance: 21.99%
Balance transfer: N/A
Best travel rewards credit card and best no foreign transaction fees credit card
Best for Travel perks
based on spending $2,200/mo after $150 annual fee
- Earn rewards
1pt – 3pts / dollar spent
- Welcome bonus
25,000 points (a $250 value)
- Annual fee
$150
Perks of the Scotiabank Passport™ Visa Infinite* Card
| Perks | Details | |
|---|---|---|
| Lounge access | Includes 6 visits per year | You’ll gain complimentary passes to airport lounges. The number of passes and lounges you have access to will vary. |
| Waived foreign transaction fees | Included | A surcharge that credit card holders pay for purchases made in a foreign currency (typically 2.5%). |
| Travel accident insurance | $500,000 per person ($1 million total) | If you suffer a loss as a result of an accidental bodily injury sustained while occupying a common carrier, you are eligible for this coverage. |
| Travel emergency medical | $2,000,000 for 25 days (under 65) | If you require urgent medical care while on a trip outside of your home province, you will be covered for any eligible medical expenses incurred. |
| Car rental insurance | MSRP of up to $65,000, for 48 days | Credit card rental car insurance usually covers theft, loss and damage to your rental car in the case of an accidental collision. |
| Trip cancellation | Up to $1,500 per person | If you have to cancel your trip before it’s even started, your prepaid travel costs will be covered up to a maximum amount if the cause of cancellation is eligible for the insurance. |
| Trip interruption | Up to $2,500 per person | If your trip has to be cut short or is delayed after the scheduled departure date, you will be covered up to a maximum amount for an eligible cause of interruption or delay. |
| Flight delay insurance | Up to $500 coverage per person | If your flight departure is delayed by a certain number of hours, you’ll be reimbursed a certain amount for necessary and reasonable expenses. |
| Baggage loss insurance | Combined maximum $1,000 | If your checked bag cannot be located by a common carrier, you’ll be reimbursed for a portion of the replacement cost of lost personal property. |
| Baggage delay insurance | Up to $1,000; delays over 4 hours | If your checked bag is not delivered within a specified time upon your arrival, you’ll be reimbursed for the cost to replace essential items. |
| Hotel/motel burglary | Included | Provides protection, while you’re checked in, for your personal belongings when left unattended in your room up to a certain dollar amount. |
| Mobile insurance | Not included | Reimburses a portion of your cell phone in the event it’s damaged or lost. Device coverage is limited to a certain period of time after purchasing with your credit card. |
| Purchase assurance | $60,000 lifetime limit | Automatically protects new purchases by insuring them for 90 days from the date of purchase in the event of loss, theft or damage. |
| Extended warranty | Up to one additional year | Either doubles the length of the item’s manufacturer’s warranty coverage or extends it by 1 year, whichever is less. |
| Price protection | Included | If, within a certain amount of time of purchasing an item, its price drops or you find an identical item offered for a lower retail price than what you paid, you will be reimbursed for the difference. |
Other perks
Ratehub.ca’s 2024 Credit Card Award Winner
- Earn up to $1,100* in value in the first 12 months, including up to 35,000 bonus Scene+ points
- Earn 3x Scene+ points¹ on every $1 you spend at Sobeys, Safeway, IGA, Foodland and participating
Co-ops and more - Earn 2x Scene+ points¹ for every $1 you spend on other eligible grocery stores, dining, eligible entertainment purchases and eligible daily transit options (including rideshares, buses, subways taxis and more)
- Plus earn 1 Scene+ point for every $1 spent on all other eligible everyday purchases
- No Foreign Transaction Fee
- 6 Complimentary Airport Lounge Access
- Comprehensive Travel Insurance coverage
- Visa Infinite* Concierge Services
- Visa Infinite* Hotel Collection
- Visa Infinite* Dining and Wine Country program
- Rates, fees and other information are effective as of July 02, 2024. Subject to change.
Ratehub’s take
The Scotiabank Passport Visa Infinite card makes a great vacation companion, designed for Canadians who travel abroad and explore the world. It is one of the few cards that covers foreign transaction fees, and also includes valuable travel benefits like airport lounge access.
Pros
- No foreign transaction fee: Save 2.5% on all non-Canadian currency purchases
- Scene+ points: Earn three Scene+ points per $1 spent at participating grocery stores (e.g., Sobey’s, IGA, and FreshCo) and two Scene+ points per $1 spent on eligible grocery, dining, entertainment, and daily transit purchases
- Flexible redemption: Enjoy flexible point redemption options including for travel, groceries, statement credits, gift cards, and movie tickets
- Airport lounge access: Access airport lounges with six free visits per year to over 1,200 lounges worldwide
- Visa Infinite benefits: Benefit from the Visa Infinite Luxury Hotel Collection, Visa Infinite Dining series, and complimentary Avis Preferred Plus membership
- Comprehensive travel insurance: Enjoy coverage for emergency medical, trip cancellation/interruption, flight delays, and more
Cons
- Annual fee: The annual fee of $150 is higher than some comparable cards
- Low point return: The earn rate for certain spending categories like dining and entertainment is lower compared to other cards
- Consistent point values: Travel points are always worth one cent per point and you can’t transfer your points to other airline rewards programs like you can with some Amex cards
Eligibility requirements
Minimum credit score: 725
Minimum income: $60,000/yr
Interest rates
Purchase interest: 20.99%
Cash advance: 22.99%
Balance transfer: 22.99%
Best rewards credit card with no annual fee
Best for Flexible spending
based on spending $2,200/mo after $0 annual fee
- Earn rewards
0.5% – 10% / dollar spent
- Welcome bonus
$100
- Annual fee
$0
Perks of the Tangerine Money-Back Credit Card
| Perks | Details | |
|---|---|---|
| Lounge access | Not included | You’ll gain complimentary passes to airport lounges. The number of passes and lounges you have access to will vary. |
| Waived foreign transaction fees | Not included | A surcharge that credit card holders pay for purchases made in a foreign currency (typically 2.5%). |
| Travel accident insurance | Not included | If you suffer a loss as a result of an accidental bodily injury sustained while occupying a common carrier, you are eligible for this coverage. |
| Travel emergency medical | Not included | If you require urgent medical care while on a trip outside of your home province, you will be covered for any eligible medical expenses incurred. |
| Car rental insurance | Not included | Credit card rental car insurance usually covers theft, loss and damage to your rental car in the case of an accidental collision. |
| Trip cancellation | Not included | If you have to cancel your trip before it’s even started, your prepaid travel costs will be covered up to a maximum amount if the cause of cancellation is eligible for the insurance. |
| Trip interruption | Not included | If your trip has to be cut short or is delayed after the scheduled departure date, you will be covered up to a maximum amount for an eligible cause of interruption or delay. |
| Flight delay insurance | Not included | If your flight departure is delayed by a certain number of hours, you’ll be reimbursed a certain amount for necessary and reasonable expenses. |
| Baggage loss insurance | Not included | If your checked bag cannot be located by a common carrier, you’ll be reimbursed for a portion of the replacement cost of lost personal property. |
| Baggage delay insurance | Not included | If your checked bag is not delivered within a specified time upon your arrival, you’ll be reimbursed for the cost to replace essential items. |
| Hotel/motel burglary | Not included | Provides protection, while you’re checked in, for your personal belongings when left unattended in your room up to a certain dollar amount. |
| Mobile insurance | Not included | Reimburses a portion of your cell phone in the event it’s damaged or lost. Device coverage is limited to a certain period of time after purchasing with your credit card. |
| Purchase assurance | Not included | Automatically protects new purchases by insuring them for 90 days from the date of purchase in the event of loss, theft or damage. |
| Extended warranty | Not included | Either doubles the length of the item’s manufacturer’s warranty coverage or extends it by 1 year, whichever is less. |
| Price protection | Not included | If, within a certain amount of time of purchasing an item, its price drops or you find an identical item offered for a lower retail price than what you paid, you will be reimbursed for the difference. |
Other perks
- Ratehub.ca’s 2023 Award Winner – Best No Fee Cash Back Credit Card
- Life’s back in session. Enjoy it with an extra 10% back.*
- Apply for a Tangerine Money-Back Credit Card by October 31, 2024 and earn an extra 10% back (up to $100) when you spend up to $1,000 in everyday purchases within your first 2 months.*
- Earn 2% Money-Back Rewards on purchases in two 2% Money-Back Categories of your choice, and 0.50% Money-Back Rewards on all other purchases.
- Earn extra rewards – have your Money-Back Rewards deposited into a Tangerine Savings Account, and get a 3rd 2% Money-Back Category.
- No limit on the amount of Money-Back Rewards you can earn.
- Change your 2% Money-Back Categories to suit your spending.
Ratehub’s take
While the Tangerine Money-Back Credit Card is a no annual fee card, what really sets it apart is the ability to customize your rewards. With this card, you can choose your own bonus categories (which will earn you a strong cash back rate of 2% per dollar spent). This is rare in the credit card market and means you can avoid being locked into a bonus category that you can’t take full advantage of, or that doesn’t align with your spending habits.
Pros
- Customizable bonus categories: Flexibility to pick up to three bonus categories to earn 2% cash back on (out of a total of 10 options), which is in sharp contrast to most other cards where you have fixed bonus categories that you have no control over. Users are also given the freedom to change the bonus categories at any time (changes will take up to 90 days to come into effect)
- High cash back earning rate: 2% cash back per dollar on bonus categories is one of the richest earn rates for a no-fee card, plus your rewards are unlimited and don’t have monthly or annual maximums
- Wide acceptance: Widely accepted almost everywhere including No Frills and Costco
- Additional cards at no cost: Free supplementary cards for authorized users
- Frequent cash back reimbursement: Cash back is refunded on a monthly basis, instead of the standard annual reimbursement
Cons
- Limited cash back for non-bonus categories: For all purchases that aren’t categorized under one of your chosen bonus categories, you’ll earn just 0.5% cash back
- Limited travel insurance and perks: No travel medical insurance or any substantial side perks
Eligibility requirements
Minimum credit score: 660
Minimum income: $12,000/yr
Interest rates
Purchase interest: 20.95%
Cash advance: 22.95%
Balance transfer: 22.95%
Best premium rewards credit card and best rewards credit card for travel perks
Best for Premium perks
based on spending $2,200/mo after $799 annual fee
- Earn rewards
1pt – 2pts / dollar spent
- Welcome bonus
100,000 points (a $1,000 value)
- Anniversary bonus
40,000 points (a $400 value)
- Annual fee
$799
Perks of the American Express®The Platinum Card®
| Perks | Details | |
|---|---|---|
| Lounge access | Complimentary access; 1,400 lounges | You’ll gain complimentary passes to airport lounges. The number of passes and lounges you have access to will vary. |
| Waived foreign transaction fees | Not included | A surcharge that credit card holders pay for purchases made in a foreign currency (typically 2.5%). |
| Travel accident insurance | $500,000 per person | If you suffer a loss as a result of an accidental bodily injury sustained while occupying a common carrier, you are eligible for this coverage. |
| Travel emergency medical | $5,000,000 for first 15 days (under 65) | If you require urgent medical care while on a trip outside of your home province, you will be covered for any eligible medical expenses incurred. |
| Car rental insurance | MSRP of up to $85,000, for 48 days | Credit card rental car insurance usually covers theft, loss and damage to your rental car in the case of an accidental collision. |
| Trip cancellation | $2,500 per person, $5,000 per trip | If you have to cancel your trip before it’s even started, your prepaid travel costs will be covered up to a maximum amount if the cause of cancellation is eligible for the insurance. |
| Trip interruption | $2,500 per person, $6,000 per trip | If your trip has to be cut short or is delayed after the scheduled departure date, you will be covered up to a maximum amount for an eligible cause of interruption or delay. |
| Flight delay insurance | Up to $1,000; delays over 4 hours | If your flight departure is delayed by a certain number of hours, you’ll be reimbursed a certain amount for necessary and reasonable expenses. |
| Baggage loss insurance | Combined maximum $1,000 | If your checked bag cannot be located by a common carrier, you’ll be reimbursed for a portion of the replacement cost of lost personal property. |
| Baggage delay insurance | Up to $1,000; delays of 6 hours or more | If your checked bag is not delivered within a specified time upon your arrival, you’ll be reimbursed for the cost to replace essential items. |
| Hotel/motel burglary | Included | Provides protection, while you’re checked in, for your personal belongings when left unattended in your room up to a certain dollar amount. |
| Mobile insurance | Not included | Reimburses a portion of your cell phone in the event it’s damaged or lost. Device coverage is limited to a certain period of time after purchasing with your credit card. |
| Purchase assurance | Up to $1,000 within 120 days | Automatically protects new purchases by insuring them for 90 days from the date of purchase in the event of loss, theft or damage. |
| Extended warranty | Up to one additional year | Either doubles the length of the item’s manufacturer’s warranty coverage or extends it by 1 year, whichever is less. |
| Price protection | Included | If, within a certain amount of time of purchasing an item, its price drops or you find an identical item offered for a lower retail price than what you paid, you will be reimbursed for the difference. |
Other perks
- Ratehub.ca’s 2023 Award Winner – Best Perks Credit Card
- Unlock special experiences with the Platinum Card®
- Earn up to 140,000 Membership Rewards® points – that’s up to $1,400 towards a weekend away. Offer ends Jan 28, 2025
- New Platinum® Cardmembers, earn 100,000 Welcome Bonus points after you charge $10,000 in net purchases to your Card in your first 3 months of Cardmembership. Offer ends Jan 28, 2025
- Plus, earn 40,000 points when you make a purchase between 14 and 17 months of Cardmembership. Offer ends Jan 28, 2025
- Earn 2 points for every $1 in Card purchases on eligible dining and food delivery in Canada, 2 points for every $1 in Card purchases on eligible travel, and 1 point for every $1 in all other Card purchases
- Access a $200 Annual Travel Credit through American Express Travel Online or Platinum® Card Travel Service
- Enjoy a $200 Annual Dining Credit at some of Canada’s best restaurants
- Unlock $200 or more in additional value with Member extras. You can earn statement credits for qualifying purchases with participating brands
- Take full advantage of The American Express Global Lounge CollectionTM which unlocks access to over 1,400 airport lounges worldwide. This includes The Centurion® Lounge network, Plaza Premium Lounges, and hundreds of other domestic and international lounges designed to enhance your travel experience
- Enjoy flexible ways to use your points such as statement credits for any eligible purchase charged to your Card, new travel purchases booked on American Express Travel Online through the Flexible Points Travel Program, and eligible flights through the Fixed Points Travel Program
- Transfer points 1:1 to several frequent flyer and other loyalty programs
- Enjoy complimentary benefits that offer an average value of $600 USD at over 1,500 extraordinary properties worldwide when you book Fine Hotels + Resorts
- Platinum Cardmembers can enjoy access to special events and unique opportunities
- Enjoy premium benefits at the Toronto Pearson Airport
- You will also have access to many leading hotel and car rental companies’ loyalty programs. Our partners include Marriott International, Hilton Hotels and Resorts, Hertz and Avis
- Interest applies in accordance with your Cardmember Agreement, Information Box, and Disclosure statement if the total New Balance is not paid by the Payment Due Date each month. All payments must be received by the Payment Due Date shown on the monthly statement
- American Express is not responsible for maintaining or monitoring the accuracy of information on this website. For full details and current product information, click the Apply Now link. If you apply and get approved for an American Express Card, (I/we) may receive compensation from American Express, which can be in the form of monetary payment
Ratehub’s take
While the American Express Platinum card’s annual fee is steep, the premium travel perks arguably outweigh the cost to use it. You’ll enjoy free, unlimited airport lounge access (while most other cards only offer a free membership or a few passes per year), hotel upgrades, a valuable annual travel and dining credit, and more.
Pros
- Unlimited lounge access: Enjoy free, unlimited lounge visits at over 1,400 lounges across the world with the
- American Express Global lounge collection
- Strong travel insurance offering: Includes everything from out-of-province emergency medical to $500,000 travel accident insurance
- Stretch your points values further: Transfer points to other travel loyalty programs at a 1:1 ratio for increased value and flexibility
- Upgraded gold hotel status with Marriott Bonvoy and Hilton Honors and deals on car rentals through American Express Online
Cons
- Very high annual fee
- Doesn’t waive foreign transaction fees, which can really add up when you’re traveling
- This is a charge card, so you’ll have to pay off whatever you spend in full each month or face a high interest rate
- American Express isn’t as widely accepted in Canada compared to Visa and Mastercard
Eligibility requirements
Minimum credit score: 725
Minimum income: $40,000/yr
Interest rates
Purchase interest: N/A
Cash advance: N/A
Balance transfer: N/A
Best cash back rewards credit card for gas and groceries
Best for Groceries & gas
based on spending $2,200/mo after the annual fee
- Earn rewards
1% – 4% / dollar spent
- Welcome bonus
$300
- Annual fee
see Details
Perks of the CIBC Dividend® Visa Infinite* Card
| Perks | Details | |
|---|---|---|
| Lounge access | Not included | You’ll gain complimentary passes to airport lounges. The number of passes and lounges you have access to will vary. |
| Waived foreign transaction fees | Not included | A surcharge that credit card holders pay for purchases made in a foreign currency (typically 2.5%). |
| Travel accident insurance | $500,000 per person | If you suffer a loss as a result of an accidental bodily injury sustained while occupying a common carrier, you are eligible for this coverage. |
| Travel emergency medical | $5,000,000 for 10 days (under 65) | If you require urgent medical care while on a trip outside of your home province, you will be covered for any eligible medical expenses incurred. |
| Car rental insurance | MSRP of up to $65,000, for 48 days | Credit card rental car insurance usually covers theft, loss and damage to your rental car in the case of an accidental collision. |
| Trip cancellation | Not included | If you have to cancel your trip before it’s even started, your prepaid travel costs will be covered up to a maximum amount if the cause of cancellation is eligible for the insurance. |
| Trip interruption | Not included | If your trip has to be cut short or is delayed after the scheduled departure date, you will be covered up to a maximum amount for an eligible cause of interruption or delay. |
| Flight delay insurance | Not included | If your flight departure is delayed by a certain number of hours, you’ll be reimbursed a certain amount for necessary and reasonable expenses. |
| Baggage loss insurance | Not included | If your checked bag cannot be located by a common carrier, you’ll be reimbursed for a portion of the replacement cost of lost personal property. |
| Baggage delay insurance | Not included | If your checked bag is not delivered within a specified time upon your arrival, you’ll be reimbursed for the cost to replace essential items. |
| Hotel/motel burglary | Not included | Provides protection, while you’re checked in, for your personal belongings when left unattended in your room up to a certain dollar amount. |
| Mobile insurance | Up to $1,000 per occurence | Reimburses a portion of your cell phone in the event it’s damaged or lost. Device coverage is limited to a certain period of time after purchasing with your credit card. |
| Purchase assurance | Replacement/repair within 90 days | Automatically protects new purchases by insuring them for 90 days from the date of purchase in the event of loss, theft or damage. |
| Extended warranty | Up to one additional year | Either doubles the length of the item’s manufacturer’s warranty coverage or extends it by 1 year, whichever is less. |
| Price protection | Included | If, within a certain amount of time of purchasing an item, its price drops or you find an identical item offered for a lower retail price than what you paid, you will be reimbursed for the difference. |
Other perks
Ratehub.ca’s 2023 Award Winner – Best Cash Back Credit Card
Welcome Offer: Get a first-year annual fee rebate and earn a 10% cash back welcome bonus of up to $300 (first 4 statements)!†
- After that, get 4% cash back on eligible gas, EV charging and grocery purchases.†
- 2% cash back on eligible transportation, dining purchases and recurring payments†
- 1% cash back on all other purchases†
- Get cash back on demand – redeem your cash back at any time when you have a minimum of $25 through CIBC Online and Mobile Banking®†
- Save on gas with CIBC and Journie Rewards
- Link and use your CIBC Dividend® Visa Infinite* Card with Journie Rewards to save up to 10 cents per litre† at participating Pioneer, Fas Gas, Ultramar and Chevron gas stations.†
- This is a digital-exclusive offer. To be eligible for this offer: 1) this offer must have been directly communicated to you from CIBC or from a partner/affiliate; and 2) you must apply for the eligible card through the link provided in the CIBC or partner/affiliate communication to you.† This offer is reserved for you. Please do not forward it to anyone else.
- CIBC may approve your application, but you are not eligible to receive this Offer if you have opened, transferred or cancelled another Dividend card within the last 12 months.†
- This offer is not available for the residents of Quebec.
- †Terms and Conditions Apply. Select Apply Now to learn more.
Ratehub’s take
The biggest selling point of the CIBC Dividend Visa Infinite is its impressive rewards on everyday essentials. On top of the 1% earn rate for all purchases, this card earns 4% cash back on both groceries and gas purchases – the best on the market, for two of the most common spending categories for Canadian households.
Pros
- High earn rates on specific categories: Significantly higher earn rates on groceries, EV charging, and gas than most other cards (4% cash back)
- Redeem any time: Users can redeem rewards at any time as a statement credit starting in increments of $25
- Convenient payment option for large purchases: Access to CIBC’s Pace It program, allowing you to pay off large purchases in monthly increments
- Exclusive program access: Access to the Visa Infinite Program, entitling you to attend special dining events and hotel perks at participating hotels and restaurants
Cons
- Income requirement: The annual fee ($120) and personal income requirements ($60,000) may be prohibitive
- Limited insurance coverage: Insurance coverage isn’t as comprehensive as other similar rewards cards (if insurance is a priority for you, consider the cards featured on our list of best credit cards for travel insurance)
- Annual cash back is limited: While the points earnings rate is impressive, annual rewards at 4% and 2% are capped at $80,000 total, then you’ll earn at the base rate
Eligibility requirements
Minimum credit score: 725
Minimum income: $60,000/yr
Interest rates
Purchase interest: 20.99%
Cash advance: 22.99%
Balance transfer: 22.99%
Annual fee
$120
Best store rewards credit card
based on spending $2,200/mo after $0 annual fee
- Earn rewards
10% – 45% / dollar spent
- Annual fee
$0
Perks of the PC® World Elite Mastercard®
| Perks | Details | |
|---|---|---|
| Lounge access | Not included | You’ll gain complimentary passes to airport lounges. The number of passes and lounges you have access to will vary. |
| Waived foreign transaction fees | Not included | A surcharge that credit card holders pay for purchases made in a foreign currency (typically 2.5%). |
| Travel accident insurance | Not included | If you suffer a loss as a result of an accidental bodily injury sustained while occupying a common carrier, you are eligible for this coverage. |
| Travel emergency medical | For trips up to 10 days from date of departure, for those under age 65. | If you require urgent medical care while on a trip outside of your home province, you will be covered for any eligible medical expenses incurred. |
| Car rental insurance | Collision damage and theft protection for your car rental needs. | Credit card rental car insurance usually covers theft, loss and damage to your rental car in the case of an accidental collision. |
| Trip cancellation | Not included | If you have to cancel your trip before it’s even started, your prepaid travel costs will be covered up to a maximum amount if the cause of cancellation is eligible for the insurance. |
| Trip interruption | Not included | If your trip has to be cut short or is delayed after the scheduled departure date, you will be covered up to a maximum amount for an eligible cause of interruption or delay. |
| Flight delay insurance | Not included | If your flight departure is delayed by a certain number of hours, you’ll be reimbursed a certain amount for necessary and reasonable expenses. |
| Baggage loss insurance | Not included | If your checked bag cannot be located by a common carrier, you’ll be reimbursed for a portion of the replacement cost of lost personal property. |
| Baggage delay insurance | Not included | If your checked bag is not delivered within a specified time upon your arrival, you’ll be reimbursed for the cost to replace essential items. |
| Hotel/motel burglary | Not included | Provides protection, while you’re checked in, for your personal belongings when left unattended in your room up to a certain dollar amount. |
| Mobile insurance | Not included | Reimburses a portion of your cell phone in the event it’s damaged or lost. Device coverage is limited to a certain period of time after purchasing with your credit card. |
| Purchase assurance | In the event of theft, loss or damage in the first 90 days when you pay in full with your PC Financial Mastercard credit card. | Automatically protects new purchases by insuring them for 90 days from the date of purchase in the event of loss, theft or damage. |
| Extended warranty | Doubles the manufacturer's regular warranty for up to an additional year on items purchased with your PC Financial Mastercard credit card. | Either doubles the length of the item’s manufacturer’s warranty coverage or extends it by 1 year, whichever is less. |
| Price protection | Not included | If, within a certain amount of time of purchasing an item, its price drops or you find an identical item offered for a lower retail price than what you paid, you will be reimbursed for the difference. |
Other perks
- Award-winning, no annual fee rewards credit card
- Get up to $750 in PC Optimum™ points every year (for illustrative purposes only; results may vary.)
- Earn 30 PC Optimum™ points for every $1 spent at Loblaw affiliated grocery stores
- Earn at least 3 cents per litre in PC Optimum™ points on gas at Esso™ and Mobil™ stations
- Earn 45 PC Optimum™ points per $1 spent at Shoppers Drug Mart® stores
- Earn 30 PC Optimum™ points for every $1 spent at Joe Fresh® stores
- Earn 10 PC Optimum™ points for every $1 spent everywhere else you shop
- No limits on points earning and points don’t expire
- Welcome offer of bonus PC Optimum™ points to kickstart your rewards journey
Ratehub’s take
If you are looking for a credit card that will help you save money on groceries, the PC World Elite Mastercard is a great choice, especially for those who frequently shop at Loblaws-owned stores and Shoppers Drug Mart.
Pros
- No annual fee: For a rewards card, charging no annual fee is a major perk and can help you ramp up your earnings even more
- High return on spending: Your points are valuable at Loblaws-affiliated stores and for gas purchases because of high earn rates on everyday spending
- Points stacking: Stack your points by showing your PC Optimum card at Loblaw-affiliated stores and paying with your PC Financial World Elite Mastercard
- Competitive earn rates: Earn rates are high compared to other no-fee credit cards
- Added travel insurance: Offers travel insurance benefits adding value to cardholders
Cons
- Limited rewards outside of Loblaws: While PC Financial Mastercards offer excellent rewards at Loblaw stores, they do not provide great benefits when shopping anywhere else
- Restrictive redemption rules: Points can only be redeemed in increments of 10,000 (10,000 = $10). Points cannot be used to pay for purchases at non-Loblaws retailers or redeemed against a statement balance. Plenty of other rewards cards on the market offering more flexibility
Eligibility requirements
Minimum credit score: 560
Minimum income: $80,000/yr
Interest rates
Purchase interest: 21.99%
Cash advance: 21.97%
Balance transfer: N/A
Best Aeroplan rewards credit card
Best for Aeroplan Points
based on spending $2,200/mo after $139 annual fee
- Earn rewards
1pt – 1.5pts / dollar spent
- Welcome bonus
25,000 points (a $360 value)
- Anniversary bonus
25,000 points (a $360 value)
- Annual fee
$139 $0 first year waived
Perks of the TD® Aeroplan® Visa Infinite* Card
| Perks | Details | |
|---|---|---|
| Lounge access | Not included | You’ll gain complimentary passes to airport lounges. The number of passes and lounges you have access to will vary. |
| Waived foreign transaction fees | Not included | A surcharge that credit card holders pay for purchases made in a foreign currency (typically 2.5%). |
| Travel accident insurance | Included | If you suffer a loss as a result of an accidental bodily injury sustained while occupying a common carrier, you are eligible for this coverage. |
| Travel emergency medical | Included | If you require urgent medical care while on a trip outside of your home province, you will be covered for any eligible medical expenses incurred. |
| Car rental insurance | Included | Credit card rental car insurance usually covers theft, loss and damage to your rental car in the case of an accidental collision. |
| Trip cancellation | Included | If you have to cancel your trip before it’s even started, your prepaid travel costs will be covered up to a maximum amount if the cause of cancellation is eligible for the insurance. |
| Trip interruption | Included | If your trip has to be cut short or is delayed after the scheduled departure date, you will be covered up to a maximum amount for an eligible cause of interruption or delay. |
| Flight delay insurance | Included | If your flight departure is delayed by a certain number of hours, you’ll be reimbursed a certain amount for necessary and reasonable expenses. |
| Baggage loss insurance | Included | If your checked bag cannot be located by a common carrier, you’ll be reimbursed for a portion of the replacement cost of lost personal property. |
| Baggage delay insurance | Included | If your checked bag is not delivered within a specified time upon your arrival, you’ll be reimbursed for the cost to replace essential items. |
| Hotel/motel burglary | Not included | Provides protection, while you’re checked in, for your personal belongings when left unattended in your room up to a certain dollar amount. |
| Mobile insurance | Included | Reimburses a portion of your cell phone in the event it’s damaged or lost. Device coverage is limited to a certain period of time after purchasing with your credit card. |
| Purchase assurance | Included | Automatically protects new purchases by insuring them for 90 days from the date of purchase in the event of loss, theft or damage. |
| Extended warranty | Included | Either doubles the length of the item’s manufacturer’s warranty coverage or extends it by 1 year, whichever is less. |
| Price protection | Not included | If, within a certain amount of time of purchasing an item, its price drops or you find an identical item offered for a lower retail price than what you paid, you will be reimbursed for the difference. |
Other perks
- Earn up to $1,500 in value†, including up to 50,000 Aeroplan points†, no Annual Fee for the first year† and additional travel benefits. Account must be approved by January 6, 2025.
- Earn a welcome bonus of 10,000 Aeroplan points when you make your first purchase with your new card†
- Earn 15,000 Aeroplan points when you spend $7,500 within 180 days of Account opening†
- Plus, earn a one-time anniversary bonus of 25,000 Aeroplan points when you spend $12,000 within 12 months of Account opening†
- Enroll for NEXUS and once every 48 months get an application fee rebate†
- Plus, share free first checked bags with up to 8 travel companions†
- Get an annual fee rebate for the first year†.
- To receive the first-year annual fee rebate, you must activate your Card and make your first Purchase on the Account within the first 3 months after Account opening and you must add your Additional Cardholders by January 6, 2025.
- Earn Aeroplan Points on your everyday purchases
- Earn 1.5 points† for every $1 spent on eligible gas, grocery and direct through Air Canada® purchases (including Air Canada Vacations®) made with your card
- Earn 1 point† for every $1 spent on all other Purchases made with your Card
- Earn points twice when you pay with your Card and provide your Aeroplan number at over 150 Aeroplan partner brands and at 170+ online retailers via the Aeroplan eStore (www.aeroplan.com/estore).
- Your Aeroplan Points do not expire as long as you are a TD® Aeroplan® Visa Infinite* Cardholder in good standing.
- Earn big rewards on the little things: Earn 50% more Aeroplan Points and 50% more Stars at participating Starbucks® stores. Simply link your TD Aeroplan Visa Infinite Card to your Starbucks® Rewards account. Conditions apply.
- Travel with confidence with Travel Medical Insurance†
- Complimentary Visa Infinite* Concierge service† available 24/7
- †Terms and conditions apply.
- Financial institutions pay us for connecting them with customers, including by paying for advertisements, clicks, or when someone applies for/is approved for a product. Terms and conditions apply between you and the provider of the product – please be sure to review them. Product information and details vary for Quebec. The content provided on our site is for information only; it is not meant to be relied on or used in lieu of advice from a professional. Partners/Advertisers are not responsible for the accuracy of information on our site. However, not all products we list are tied to compensation for us. Our industry-leading education centres and calculators are available 24/7, free of charge, and with no obligation to purchase. To learn more, visit our About us page.
Ratehub’s take
For Aeroplan clients and frequent Air Canada fliers, the TD Aeroplan Visa Infinite card offers exceptional benefits for earning more points to redeem on airline travel.
Pros
- Aeroplan redemption: Redeem Aeroplan points for flights on Air Canada or over 27 Star Alliance member airlines, including United Airlines and Lufthansa, to name a few
- Air Canada perks: Access Air Canada perks, including the first bag checked free for the primary cardholder and up to eight travel companions, potentially saving up to $30 per traveller on flights across Canada and the US. Plus, earn credits towards achieving elite airline status
- Nexus Membership reimbursement: Receive up to $100 in Nexus Membership reimbursements every 48 months, making for smoother cross-border travel within Canada or to the US
- Comprehensive travel insurance: Enjoy a strong travel insurance package, including up to 21 days of out-of-province/country medical emergency coverage, flight delay insurance, lost/delayed baggage insurance, and even hotel/motel burglary insurance for stays within the US and Canada
- Double Aeroplan points: Get double the Aeroplan points when using this card along with your Aeroplan card at participating retailers
Cons
- Annual fee: The card’s annual fee is $139, which is slightly higher than the $120 typically found on comparable rewards cards
- Complex points program: The Aeroplan points program isn’t the most straightforward, and it can take some effort to understand how to best maximize points. Note that Aeroplan points can only be redeemed on Air Canada and Star Alliance Members
Eligibility requirements
Minimum credit score: 660
Minimum income: $60,000/yr
Interest rates
Purchase interest: 20.99%
Cash advance: 22.99%
Balance transfer: 22.99%
Best rewards credit card for Air Miles
based on spending $2,200/mo after $120 annual fee
- Earn rewards
0.1pts – 0.3pts / dollar spent
- Welcome bonus
3,000 points (a $315 value)
- Annual fee
$120
Perks of the BMO AIR MILES®† World Elite®* Mastercard®*
| Perks | Details | |
|---|---|---|
| Lounge access | Complimentary membership in Mastercard Travel Pass provided by DragonPass. | You’ll gain complimentary passes to airport lounges. The number of passes and lounges you have access to will vary. |
| Waived foreign transaction fees | Not included | A surcharge that credit card holders pay for purchases made in a foreign currency (typically 2.5%). |
| Travel accident insurance | Not included | If you suffer a loss as a result of an accidental bodily injury sustained while occupying a common carrier, you are eligible for this coverage. |
| Travel emergency medical | Up to $5,000,000 per covered person per trip. Coverage for up to 15 consecutive days per trip for covered persons age 64 or younger. | If you require urgent medical care while on a trip outside of your home province, you will be covered for any eligible medical expenses incurred. |
| Car rental insurance | Maximum Rental Period: 48 consecutive days. Manufacturer’s Suggested Retail Price of a rental car: up to $65,000 | Credit card rental car insurance usually covers theft, loss and damage to your rental car in the case of an accidental collision. |
| Trip cancellation | Up to $1,500 per covered person (maximum $5,000 per account per trip) | If you have to cancel your trip before it’s even started, your prepaid travel costs will be covered up to a maximum amount if the cause of cancellation is eligible for the insurance. |
| Trip interruption | Up to $2,000 per covered person (maximum $10,000 per account per trip) | If your trip has to be cut short or is delayed after the scheduled departure date, you will be covered up to a maximum amount for an eligible cause of interruption or delay. |
| Flight delay insurance | Up to $500 per account per trip when your scheduled flight is delayed by more than 4 hours | If your flight departure is delayed by a certain number of hours, you’ll be reimbursed a certain amount for necessary and reasonable expenses. |
| Baggage loss insurance | Up to $500 per covered person (maximum $1,000 per account per trip) | If your checked bag cannot be located by a common carrier, you’ll be reimbursed for a portion of the replacement cost of lost personal property. |
| Baggage delay insurance | Up to $500 per covered person (maximum $1,000 per account per trip) when your baggage is delayed by the common carrier for more than 6 hours | If your checked bag is not delivered within a specified time upon your arrival, you’ll be reimbursed for the cost to replace essential items. |
| Hotel/motel burglary | Up to $1,000 per occurrence for all covered persons combined | Provides protection, while you’re checked in, for your personal belongings when left unattended in your room up to a certain dollar amount. |
| Mobile insurance | Not included | Reimburses a portion of your cell phone in the event it’s damaged or lost. Device coverage is limited to a certain period of time after purchasing with your credit card. |
| Purchase assurance | 90 days from date of purchase | Automatically protects new purchases by insuring them for 90 days from the date of purchase in the event of loss, theft or damage. |
| Extended warranty | Extends the original manufacturer’s warranty up to 1 year | Either doubles the length of the item’s manufacturer’s warranty coverage or extends it by 1 year, whichever is less. |
| Price protection | Not included | If, within a certain amount of time of purchasing an item, its price drops or you find an identical item offered for a lower retail price than what you paid, you will be reimbursed for the difference. |
Other perks
- Limited time offer: Get 3,000 AIR MILES Bonus Miles! * That’s enough for $310 towards purchases with AIR MILES Cash!* Plus, get the $120 annual fee waived for your first anniversary
- Get 3x the Miles for every $12 spent at participating AIR MILES Partners and 2x the Miles for every $12 spent at any eligible grocery store*.
- Earn 1 reward mile for every $12 in credit card purchases, everywhere you spend*
- Get valuable benefits and offers for digital everyday services from a variety of on-demand apps and subscription services
- Use your card at Costco*
- Extended Warranty
- Access over 1 million Wi-Fi hotspots around the world – all at no added cost, and no added fees or roaming charges*
- Complimentary membership in Mastercard Travel Pass provided by DragonPass.*
- Use less Miles with our exclusive 25% discount on one worldwide AIR MILES flight redemption during the calendar year.*
- BMO AIR MILES World Elite Travel and Medical Protection*
- Unlock Mastercard Travel Rewards cashback offers when you travel and shop outside of Canada
- BMO is not responsible for maintaining the content on this site. Please click on the Apply now link for the most up to date information
- *Terms and conditions apply
Ratehub’s take
If you regularly shop at Metro or fill up your gas at Shell, this rewards credit card could be a good option for you. However, the points earnings from this card are low for a rewards card, and there are fewer Air Miles partners now after the program was restructured. Dream Miles are generally worth more towards travel purchases, so if you’re planning a trip, you could choose to collect more Dream Miles than Cash Miles.
Pros
- Earn bonus rewards at Air Miles partners: You can earn three times the points for spending at Air Miles partners, and quadruple your points on gas purchases at Shell if you also have a ShellGO+ membership.
- Customize your earnings: You can decide how much of your points will go to redemptions for cash at the checkout, or for Dream Miles towards travel purchases. You’ll need at least 95 Cash Miles for $10 off in purchases, so they are worth 10.5 cents—which is good value.
Cons
- Limited redemption options: Unless you are a frequent shopper at their partner stores or gas stations, it might be hard for you to get the most value
- Lower base earn rate: The base earn rate of one Mile for every $12 spent is very low relative to other rewards cards
- Higher annual fee: After the first year, you’ll be charged a $120 annual fee, which is relatively high for the lower points earnings rate you get with this card
Eligibility requirements
Minimum credit score: 760
Minimum income: $80,000/yr
Interest rates
Purchase interest: 20.99%
Cash advance: 23.99%
Balance transfer: 23.99%
Summary of the best rewards credit cards in Canada
How rewards credit cards work in Canada:
What is a rewards credit card?
Rewards credit cards offer “rewards” in the form of cash back, points or miles for every dollar you spend. You can use these rewards to offset your statement balance or for purposes like travel, purchasing merchandise and gift cards, and more (depending on the issuer).
The ideal user for a rewards card is someone who consistently pays off their monthly statement in full. This is because carrying a credit card balance generates interest charges, which can erode any potential savings gained from accumulating rewards.
It's important to note that popular credit cards offer additional rewards for specific types of purchases. Merchant category codes play a critical role in helping cards distinguish between money spent at a grocery store versus a restaurant.
Types of credit card rewards
1. Cash back rewards
Cash back rewards are precisely what they sound like - a percentage of cash back you’ll get for each purchase made with your card. You can apply this cash back to reduce your statement balance or save on upcoming purchases. Most cash back rewards cards offer higher percentages for select spending categories such as groceries, restaurants, or travel. This means you can earn more if your card aligns with your spending habits. One of the key advantages of cash back is its simplicity - unlike points, your cash back balance is straightforward and expressed in dollars and cents.
2. Points-based rewards
Points-based rewards work similarly to cash back but require a bit more calculation to determine their true value (for more details, refer to FAQ section). Like cash back, points-based rewards cards allow you to earn points based on your spending. You typically earn more points for specific types of purchases. Once you’ve collected enough points to redeem, you can usually do so through the provider’s online portal or app. Redemption options may vary, ranging from merchandise and gift cards to travel and statement credits, depending on the issuer.
3. Travel rewards
Travel rewards cards offer an opportunity to earn miles, which are rewards associated with co-branded credit cards like the TD Aeroplan Visa Infinite or BMO Air Miles World Elite Mastercard. With every dollar you spend on cards like these, you collect “miles” that can be redeemed for discounts on air travel or even a free flight, depending on the number of miles you've earned. It is important to note that the number of miles you collect doesn’t represent how far you can travel for free. Instead, it simply signifies how many points you’ve earned. The average value of a mile is around $0.01, although the specific value may vary depending on the card's point system.
4. Gas rewards
Gas rewards cards offer a unique advantage for those who frequently find themselves at the pump. These cards allow you to earn rewards, typically in the form of points or cash back, every time you fill up your car’s tank. You can accumulate rewards with each purchase which can then be redeemed for discounts on future gas purchases. Over time this can lead to significant savings, making gas rewards cards an excellent option for commuters and drivers looking to offset their gas costs. One important thing to note with gas rewards cards, is they may also provide additional benefits such as discounts on roadside assistance, vehicle maintenance or other vehicle related purchases.
5. Hotel rewards cards
Hotel reward cards cater to avid and frequent travellers who often stay at hotels. These cards allow you to earn points for every dollar spent on eligible hotel stays. The accumulated rewards can be used for complimentary hotel nights, room upgrades, and even free stays at participating hotels within the card’s network. Additionally, many hotel rewards credit cards offer perks such as early check-in, late check-out, complimentary breakfast, access to exclusive hotel amenities, and more.
6. Store / brand rewards credit cards
Store or brand reward cards can help shoppers save and improve your shopping experience with a specific retailer. These cards allow you to earn rewards, such as loyalty points or discounts, with each purchase from the specified retailer. These cards are a great choice for frequent shoppers at a retailer who wish to take advantage of exclusive deals and savings.
Popular credit card reward programs in Canada
Credit card reward programs hold strong appeal. Given that there are a multitude of options available, it is important to understand how each reward program works before selecting your card of choice. A high level understanding of your card can help you better use your points. Here is a brief overview of some of the most popular rewards and loyalty programs in Canada:
Air Miles Rewards
Chances are you’re well aware of the Air Miles rewards program, as this program has been around for a long time and has nearly 10 million active accounts in Canada. This program offers members Air Miles rewards, when they make purchases at partner retailers using an Air Miles co-branded credit card. These miles can then be redeemed for a wide array of products, such as free flights, hotel stays, gift cards, merchandise, and more. The Air Miles program has changed in recent years, and there are fewer partners to earn points with now. You can earn points at Air Miles partners including Metro, Dollarama, Shell, Hello Fresh, and others. You’ll earn more points when you book through Air Miles travel. You also get to choose how many Cash Miles you want to earn vs. Dream Miles, which is great customizability, but many Air Miles credit cards have very low earn rates.
Aeroplan Rewards
Aeroplan is a travel rewards loyalty rewards program operated by Air Canada, Canada’s largest airline. The value of an Aeroplan point varies, but on average one point is worth 2 cents. Points are most valuable for long-haul flights within North America, based on our analysis. Aeroplan points are earned by using an Aeroplan credit card for everyday purchases, flying with Air Canada or one of its partner airlines (United, Lufthansa, etc.), or making qualifying bookings or in-store purchases through Aeroplan’s brand of partners, such as Avis car rentals, LCBO, and Uber Eats. Aeroplan points can be redeemed for flights, hotel accommodations, gift cards, and much more.
Aeroplan point values for flights, example using a flight from Toronto to Vancouver:
17,000 points required + $329 cash for taxes/ fees = $0.025 value per point (2.5 cents)
TD Aeroplan Visa offers 1.5 points per $1 on groceries = 1.5 x $0.025 = 3.75% return on spending (values vary depending on flights selected)
American Express Membership Rewards
American Express Membership Rewards are exclusively for American Express cardholders. This reward program grants points each time you use your card for purchases. AMEX Membership Reward points are known to be easily redeemable for a variety of rewards, including flights, travel experiences, gift cards, and merchandise, including Amazon purchases.
The average value of 1 American Express Membership Rewards point is 1 cent per point, although points often have more value for flights within North America than for other routes. You can redeem points through the Fixed Points Travel program, where you always need a set amount of points for the ticket price of flight routes, and you have to pay for taxes and fees yourself. The points required depend on the length of your trip in miles.
Example calculation: how many Amex points you need for a flight
Points earned per $1 spent on restaurants/ grocery with Amex Cobalt: 5 points
Value of one point for a flight to Calgary from Toronto with Fixed Points: (40,000 points required, base ticket cost is $324.38 +$154.37 in taxes/ fees)
Value of 1 point $324.38/40,000 = $0.0081
Value of $1 spent with the Amex Cobalt
$0.0081 x 5 points = 4.05% return
- 15,000 points (maximum $300 base ticket price) required for Canada/U.S. flights: Calgary – Vancouver, Montreal – New York, Toronto – Montreal, Toronto – New York, Toronto – Ottawa
- 20,000 points (maximum $300 base ticket price) required for Canada/U.S. flights within or from a Canadian Province/Territory to an adjacent Canadian Province/Territory/U.S. State (except Alaska)
- 40,000 points (maximum $700 base ticket price) for Canada/U.S. flights : From a Canadian Province/Territory to a non-adjacent Canadian Province/Territory/ U.S. State (for example. Toronto to Vancouver)
- 60,000 points (maximum $900 base ticket price) for flights from Canada to Europe
- 50,000 points (maximum $800 base ticket price) for vacation destinations (Canada to Alaska, Bermuda, Caribbean, Central America, Hawaii or Mexico)
- 100,000 points (maximum $1,700 base ticket price) for worldwide flights; from Canada to Africa, Asia, Australia, Middle East, New Zealand, South America or South Pacific
BMO Rewards
Redemption options with this program for travel are flexible - using the Pay with Points, you can book flights, hotels and other travel with any provider and redeem your BMO Rewards points as a statement credit to cover the purchase. Your points are always worth the same using this method at 150 points = $1 (or less than 1 cent at 1 point = $0.0067), which isn’t the highest value around, but the flexibility for redemptions is a major plus. For a $300 flight from Toronto to New York, for example, you’d need 44,777 points. You can also use BMO Rewards for investments at a rate of 15,000 points = $100, which is also worth $0.0067 per point. Redemptions for merchandise or gift cards have a bit less value at 200 BMO rewards points = $1 (1 point = $0.005).
CIBC Rewards: Aventura Rewards
Aventura Rewards is another flexible rewards program that allows cardholders to earn points with co-branded Aventura credit cards. While the average point value of 1 cent per point is strong, CIBC rewards points can no longer be transferred to other programs like Aeroplan, so you’ll have to book through the CIBC Rewards Centre. Aventura Points are worth 1 cent per dollar on average.
PC Optimum Rewards
The PC Optimum loyalty rewards program is under the umbrella of Loblaws which includes participating stores such as Real Canadian Superstore, No Frills, Shoppers Drug Mart, Mobil and Esso gas stations. Members earn points every time they make eligible purchases at any PC Optimum partner retailer. PC Optimum points can be redeemed in increments of 10,000 points equating to $10, which can be applied to in-store purchases and for discounts on gas. PC Optimum cards provide great value if you’re a frequent shopper at their partner stores and gas stations.
With the PC World Elite Mastercard, the return at Loblaws is:
Points earned per $1 spent: 30
Value of one point: ($10/10,000 = $0.001)
Value of $1 spent: $0.001 x 30 = 3% return on $1 spent
Scene+ Rewards
Scene+ has certainly evolved into a comprehensive points system over the past few years. Scene+ allows you to earn and redeem points from spending at several grocery stores, Cineplex theaters to dining at restaurants, shopping at partner retailers, and even booking travel through Scene+ Travel. Points values are fixed for travel, so it makes the redemption process a lot easier, but you’re potentially missing out on higher point values. 1 Scene point is worth 1 cent when redeemed for travel.
Return on groceries with the Scotiabank Passport Visa Infinite:
1 Scene point = 1 cent when redeemed for travel
(i.e., you need 300,000 points for $300 towards a flight purchase)
So for groceries at partner stores, your return is:
3 points x 0.01 = 3% return
Additional benefits of reward credit cards
Reward credit cards can go beyond points and cash back to offer a range of additional benefits and perks. These extra benefits can enhance your overall credit card experience, adding significant value to your card membership. We have listed three common key perks to consider:
- Airport lounge access: Many reward credit cards provide complimentary or discounted access to airport lounges, giving you enhanced comfort while waiting for your flight.
- Rental car insurance: With rental car insurance coverage, these reward credit cards can save you money on insurance fees when renting a car.
- Exclusive discounts: Reward credit cards often come with exclusive discounts and offers from partner merchants, helping you save on everyday expenses.
How to maximize your credit card rewards
1. Pay your bills in full and on time
It’s been said before, but it’s worth repeating: to make the most of your rewards credit card, it is critical to pay your statements in full each month. This ensures that interest charges don't outweigh the benefits of your rewards, allowing you to take advantage of your savings and really get the best out of your card.
2. Take advantage of welcome offers
Most rewards cards offer attractive welcome bonuses, allowing you to earn big if you meet a specific spending threshold within a given promotional period (usually the first three months or so). Strategically plan to make larger purchases during this period to take advantage of these offers, which can quickly boost your points or cash back earnings.
3. Spend in accelerated categories
Many reward credit cards feature “accelerated” spending categories that offer higher-than-average points or cash back rates. These categories can include groceries, gas, travel, recurring bills, and more, depending on the card. Select a card with accelerated categories that align with your spending habits to maximize your rewards.
4. Stack your cards
For those who can handle multiple cards, a common strategy is to carry multiple rewards cards, each serving different purposes. For example, you may keep a travel rewards card specifically for travel purchases, while an everyday cash back card offering high earning rates on gas and groceries becomes your primary choice for weekly expenses. This approach allows you to maximize rewards in every spending category.
5. "Double-dip" with loyalty cards
If you carry a co-branded rewards credit card in your wallet, like the TD Aeroplan Visa Infinite, you can effectively “double-dip” by using it alongside your loyalty card at participating retailers like the LCBO. This means you'll get double the points compared to what you would typically earn, bringing you closer to a free flight or other rewards.
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