Canadas Best Aeroplan Credit Cards
By;Winston Sih;and;Keph Senett;on June 18, 2021
For frequent flyers of Air Canada and Star Alliance partners, these top picks come with lucrative welcome offers to consider right now.;
Canadians have been hotly anticipating information about the changes to Aeroplan and Aeroplan-branded credit cards since Air Canada acquired the loyalty program. The good news is that the changes are finalized, and weve got all the details about the best Aeroplan credit cards you can apply for.
Under the brand-new Aeroplan program, earn rates remain pretty much the same as before, with the notable exception that drug store purchases are no longer a bonus spending category. For travel-related perks, the program has changed for the better, with both new and updated Aeroplan-branded credit cards. Beefed-up travel insurance, free luggage check for your first bag, preferred pricing, and points that never expire are just a few of the welcome tweaks to cards in the Aeroplan family. And if thats not enough to tempt you, consider the slew of juicy welcome bonuses designed to lure consumers over to the new program.
Whether youre looking for a pared-down card to get you started with Aeroplan or a full-service travel card with all the bells and whistles, theres an Aeroplan credit card for you.
Manage Your Money Without Credit Card Rewards Points And Hassles
If youre still asking yourself the question, Are credit card points worth it?, we hope youve found your answer. But just in case, well say it again: Credit card points are nothing but bad newsespecially for people who dont follow a budget and are tempted to overspend. If impulse buying and overspending come naturally to you, the pressure to spend;more;in order to get those rewards, points and miles will be on your shoulders. After racking up $5,000 in debt on your card, youll be wishing you could swap some of those credit card rewards for a large payment toward your debt. Was putting that $200 steak dinner on your card last month really a good idea?
If youre concerned about points, rewards and cash-back offers, youre obviously someone who;wants;to be smart with your money. Good newsyoure on the right track! But trust us: Theres a;better way.
Focus on creating solid, long-term spending habits like keeping a zero-based budget and saving up for that dream trip to Europe . When you do that, you could build a lasting financial future that doesnt include credit cardsever! All you have to do is build up the courage and motivation to take the first step.
Learn how to dump debt for good and save for the future with Ramsey+.;Start a free trial of Ramsey+;and take control of your finances!
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Balance Transfer Credit Cards
Once you accumulate a debt load on an existing credit card, the interest will compoundrapidly. Your best bet is to transfer the debt to a balance transfer credit card, which lets you move debt from a high-interest card to one with a lower rate. These cards often offer promotional interest rates for a specific period0% interest for the first 10 months, for examplewhich can buy you time to pay down your balance with little or no interest. Sometimes, even the regular interest rate on a balance transfer card is lower than usual.
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What Credit Card Has The Best Points Program
Though there are lots of great points programs out there, we believe Chase Ultimate Rewards® is one of the best. It has a number of flexible redemption options and allows you to maximize your rewards value by transferring points to any of its many travel partners. Some of the cards that earn Chase Ultimate Rewards® include the Chase Freedom Flex, the Chase Freedom Unlimited®, the Chase Sapphire Preferred® Card and the Chase Sapphire Reserve®.
For rates and fees of The Platinum Card® from American Express, please click here.
For rates and fees of American Express® Gold Card, please click here.
The information related to American Express® Green Card, The Amex EveryDay® Preferred Credit Card from American Express, The Business Platinum Card® from American Express, Blue from American Express®, American Express® Business Gold Card and The Blue Business® Plus Credit Card from American Express has been independently collected by ValuePenguin and has not been reviewed or provided by the issuer of this card prior to publication. Terms apply to American Express credit card offers. See americanexpress.com for more information.
These responses are not provided or commissioned by the bank advertiser. Responses have not been reviewed, approved or otherwise endorsed by the bank advertiser. It is not the bank advertiser’s responsibility to ensure all posts and/or questions are answered.
How Does That Convert To Avios Or Virgin Points
You will NOT be converting your Tesco Clubcard points to Avios. The partnership with Avios ended in January 2021.
You can still convert your Clubcard points to Virgin Points.
One Clubcard point is worth 2.5 Virgin points, so every £1 spent on the card gets you up to 0.312 Virgin Points.; This rate is doubled for spending at Tesco.
You will receive a statement once a quarter containing your Clubcard vouchers, and you can convert these online to Virgin Points or redeem them for any of Tescos other Clubcard partner deals. You can even spend the vouchers in-store at Tesco at their face value, although this is a poor use of them.
I would usually say that earning 0.312 points per £1 is a good return from a free Visa or Mastercard.; However, the Tesco card is competing against the most generous free Visa or Mastercard reward in the UK, which is the 0.75 Virgin Atlantic points per £1 offered on the free Virgin Atlantic Reward Mastercard.
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Discover It Secured Credit Card
Our pick for: Bad credit;
Like other secured credit cards for people building or rebuilding credit,;the Discover it® Secured Credit Card requires a cash security deposit. Unlike most others,;it offers rewards. But what really makes it stand out from the competition is its upgrade possibilities. The issuer has a process in place for automatically reviewing accounts for possible transition to an unsecured card. Read our review.;
Rbc Westjet World Elite
If youre looking to redeem miles exclusively for flights and youre willing to be flexible, the RBC WestJet World Elite Mastercard is a strong choice, made even stronger if you already bank with RBC Royal Bank. Earn 1.5% on everything you buy , and 2% when you purchase through WestJet. Redeeming is simple, too: 1 point equals $1 on WestJet flights, so there arent any complicated rewards charts to follow. Plus, thanks to an annual companion flight incentive, you can book a second WestJet ticket at a reduced farea tremendous value if youre travelling with a loved one. The primary cardholder gets the first checked bag free on WestJet flights for themselves and up to eight guests on the same reservation, providing additional incentive on a $119 annual fee thats below most comparable Aeroplan cards. Lastly, if youre an RBC Royal Bank customer with a VIP banking plan, you can waive the cost of this card.
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American Express Gold Card
One of the most popular cards for TPG staffers during the pandemic, the Amex Gold offers 60,000 Membership Rewards points after spending $4,000 on eligible purchases on your new card within the first six months of card membership. This bonus is worth $1,200 based on our valuations, but be sure to check the CardMatch Tool to see if youre targeted for an even higher offer .
The card is also great for many everyday purchases. Youll earn 4x points at U.S. supermarkets and 4x points on dining at restaurants. The card has a $250 annual fee .
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Avoid Applying For Credit Cards That Have Rewards Similar To A Card You Already Have
If you already have a card that provides 2% cash back on restaurant purchases up to $1,000 per quarter, and youre unlikely to exceed that spending level, theres no point getting a second card with an identical benefit. A better strategy is to get a card that specializes in a different spending category.
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Who Should Apply For A Rewards Card
If you pay for purchases with cash or debit, you’re leaving extra money on the table. Using one of the rewards credit cards mentioned above can earn you more than $2,000 in rewards over five years. This is a large amount of money that can help offset the cost of past purchases or fund upcoming expenses.
Rewards credit cards often require good or excellent credit , so check your credit score before applying for one of these cards.
How To Calculate The Value Of Your Points Or Miles
Calculating the value youre receiving for your points is very easy. Just use this simple formula:
Price in cash / number of points required
Lets look at an example. The above chart tells you that if youre not getting at least 1.5 cents per Hyatt point, you should use cash. The Hyatt award chart prices its hotels as follows:
Standard Category 7 hotel rooms cost 30,000 points per night. That means if the room youre looking to reserve isnt at least $450 per night, you should use cash and save your points for a better redemption.
Take the world-famous Park Hyatt Paris Vendome. Its a Category 7 hotel with;average rates in November exceeding $850 per night. But you can reserve it for just 30,000 points per night. Lets use our formula:
Price in cash / Number of points required = 2.8 cents per point
This is a good use of your points well above the 1.5 cent mark.
Now lets look at the same dates for the;Park Hyatt Beaver Creek. Its also a Category 7 hotel, with rates in November around $300 . You can reserve it for 30,000 points, but that wouldnt be a great deal. Lets use that formula again:
Price in cash / Number of points required = 1 cent per point
This is a bad use of your points. Better to save them and just pay cash if you want to reserve these nights. During ski season, this hotels prices surge to an offensive rate. Using 30,000 points to book this hotel at that time will yield you a much better value per point.
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Mbna True Line Gold Mastercard*
People looking to reduce the amount of interest they pay should consider a low-interest credit card like the MBNA True Line Gold card. You wont earn anything for your spending on the card, but the interest rate is just 8.99%, which is significantly lower than the average of 19.99% most other credit cards charge. If youre currently carrying a balance on a credit card with a higher interest rate, then you should also consider taking advantage of the optional balance transfer at the time of application. Balances transferred wont be charged interest for a full six months, which could save you bundles.
- Annual fee: $39
- Purchase interest rate: 8.99%
- Balance transfer offer: Optional balance transfer at 0% interest for the first 6 months
NOTE:;this offer is not available for residents of Quebec
Blue Cash Preferred Card From American Express: Best For Us Streaming Rewards
Welcome offer: Earn 20% back on Amazon.com purchases on the card within the first six months of card membership, up to $200 back. Plus, earn $150 back after you spend $3,000 in purchases on the card within the first six months of card membership. Cash back received in the form of statement credits.
Rewards rate: Earn 6% cash back at U.S. supermarkets and select U.S. streaming services; 3% on transit and at U.S. gas stations; 1% on other eligible purchases. Cash back is received in the form of Reward Dollars that can be redeemed for statement credits.
Annual fee:;$0 introductory annual fee for the first year, then $95
Who should apply:The Blue Cash Preferred offers valuable bonus categories that keep up with changing consumer habits. With;a new streaming service;being launched every other day, earning 6% on streaming is a great bonus category that only a few cards recognize.
This card is also a commuters dream, with unlimited 3% cash back on gas and transit . Although the card does not earn Membership Rewards points, it remains a simple way to earn rewards on common everyday spending categories.
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Axis Bank Vistara Signature Credit Card
If you are a frequent traveler and mostly prefer Vistara airlines then this card will be apt for you. You get up to 2% Club Vistara Points which you can redeem for free flights and flight upgrades. The milestone benefits of this card are excellent so the more you spend the more travel benefits you will get.
In a year, you can avail up to four premium economic tickets by reaching milestones. You can also enjoy travel insurance protection, Club Vistara Silver membership, & discounted golf access.
How Do I Compare Rewards Credit Cards
When comparing rewards credit cards, its important to to first of all decide which particular perk is the most important to you. For example, if a card with no fee is important to you, you might exclude cards with fees from your comparison, even if they fare better in the sign-up bonus category.
Here are some of the main points to consider when doing your comparison.
Sign up bonus
Some cards have a lot higher sign up bonuses than others. More often than not, the higher the sign up bonus, the higher the annual fee on the card or spending limit to unlock that sign bonus.
Try not to be swayed by the lure of an amazing sign up bonus if the annual fee or spending limit would be difficult to achieve with your budget.
Speaking of the annual fee, this can be from a comfortable $0 per year, to an eye-watering $550. While at first that might not seem a lot when spread over the course of 12-months, oftentimes annual fees are due in full on your first credit card statement.
Before applying, its worth making sure the annual fee of the reward card youre considering wouldnt leave your monthly budget short.
Certain cards offer more rewards for spending in specific categories. Some reward spending on groceries, some on eating out. Whereas others are primarily focused on rewarding for spending on travel and leisure. If your spending is varied month to month, then watch out for cards which rotate the bonus earning categories so you can maximize your rewards.
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Cons Of Cash Back Cards:
- No travel perks; Cash back credit cards are typically very light on perks, particularly when it comes to travel protections and benefits.
- Limited ability to maximize your rewards; Cash back credit cards dont let you transfer points or miles to airline or hotel partners, where you can often get outsized value.
- Earning caps; Some cash back cards come with earning caps that drastically limit how much you can earn in rewards each year.
- Smaller sign-up bonuses; Both cash back and travel cards frequently offer a bonus for opening a card and meeting a spending threshold. Unfortunately, with cash back cards, bonuses tend to be much smaller.
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Pros And Cons Of Points Cards
- Sign-up bonuses are usually more generous. If youre looking for a sizable welcome bonus, the best credit cards for travel often offer hundreds of dollars worth of rewards, particularly if you meet an initial spending requirement.
- They often come with travel benefits.;Many points cards also offer membership perks like airport lounge access or no foreign transaction fees.
- Annual fees can add up and become costly, sometimes tallying;hundreds of dollars per year.
- The value of your points varies. The way in which you can redeem them also varies by issuer, so youll have to do a little more legwork to learn how to get the greatest value from your points.
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Ink Business Preferred Credit Card: Best For Flexible Rewards For Business
This popular small business rewards card offers Ultimate Rewards points and a very generous new account bonus.
- Earn a 100,000 point bonus after spending $15,000 on purchases within three months of account opening
- Earn 3X points on shipping and other select business categories
- Points are earned in the Chase Ultimate Rewards program which allows transfers to participating airlines and hotels
- Points are worth 25% more when booking travel through Chase Ultimate Rewards
- High minimum spending requirement to earn the new account bonus
- $95 annual fee
If youre looking for an excellent credit card deal for your business, look no further than the Chase Ink Business Preferred Credit Card. This card offers 100,000 welcome bonus points when you spend $15,000 within first three months of account opening. These points are worth $1,250 towards travel when redeemed through Chase Ultimate Rewards or $1,000 in cash back. Youll also earn 3x points on travel, shipping, advertising purchases made with social media sites and search engines, and internet, cable, and phone services , plus 1x points on other purchases.
Should You Get A Cash
We recommend cash-back credit cards for everyone. Given that even the best cards don’t charge an annual fee, most of them offer a sign-up bonus and the redemption process is very simple, there are essentially no downsides to holding a cash-back credit card.;
The principal drawbacks are paying interest on a statement balance and being compelled to increase your spending due to the rewards structure. Studies have shown that when paying with a credit card, consumers tend to spend substantially more than when paying with cash, up to 83% more in some cases. This is why it’s important to carefully monitor whether or not you’re spending more when you use a credit card. If you spend 50% more on dining after getting 4% cash back on a dining credit card, you’re ultimately not doing yourself any good.
Cash-back credit cards are also ideal for those who want just one type of rewards card versus many. For instance, one of the flat-rate credit cards, like the Citi Double Cash card or the Chase Freedom Unlimited, would serve you well as the only credit card in your wallet. On the contrary, if you’re OK with paying multiple bills and using different cards for different purchases, cash-back cards are complementary to other types of rewards cards. Say you have a travel rewards credit card, for example, that gives you 5x points on flights. You can use that card for your flight reservations, and your flat-rate cash-back card for everything else.
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