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Travel rewards credit cards

Earn travel points for your everyday credit card spending and enjoy free flights, airport lounge access, upgrades and other perks.

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With a travel rewards card, you can be rewarded for your spending and earn points toward your travels. As well as points, some travel rewards credit cards also offer travel perks, including complimentary insurance, airport lounge access and flight vouchers. Find out how travel rewards credit cards work, the pros and cons, as well as factors you should compare when considering which travel credit card may be right for you.

American Express Cobalt Card

American Express Cobalt Card

19.99 % APR

Purchase interest rate

Eligibility criteria, terms and conditions, fees and charges apply

American Express Cobalt Card

Apply today and earn up to 30,000 Membership Rewards points in your first year.

  • Purchase interest rate: 19.99%
  • Cash advance rate: 21.99%
  • Annual fee: $120
  • Credit rating: Fair+
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Compare travel rewards credit cards

Name Product Purchase Interest Rate Cash Advance Rate Annual Fee Minimum Income Benefits with this card Description
American Express Cobalt Card
19.99%
21.99%
$120
N/A
Earn 5 Membership Rewards points per $1 spent at eligible grocery stores, restaurants, bars, cafés and food delivery services, and earn 2 Membership Rewards points per $1 spent at eligible gas stations, and on transit and travel purchases, and earn 1 Membership Rewards point per $1 spent elsewhere. Terms apply
Earn up to 30,000 Membership Rewards points in your first year.
American Express AIR MILES Platinum Credit Card
20.99%
21.99%
$120
N/A
Earn 1 AIR MILE for every $5 spent on eligible food, drink, gas and transit purchases (up to an annual spend of $30,000), and earn 1 AIR MILE for every $10 spent on all other eligible purchases (and after the $30,000 annual spend)
Earn a Welcome Bonus of 3,000 AIR MILES when you spend at least $1,500 in eligible purchases within the first three months.
BMO AIR MILES World Elite Mastercard
19.99%
22.99%
$0 annual fee for the first year ($120 thereafter)
$80,000
Get 1 AIR MILE for every $10 spent on eligible purchases and get 5x the Miles at Shell until December 31, 2020.
Earn a bonus of up to 2,000 AIR MILES. Terms apply. Plus, get the annual fee of $120 waived in the first year. Get 5x the Miles at Shell until December 31, 2020.
Marriott Bonvoy American Express Card
19.99%
21.99%
$120
N/A
Receive 5 Marriott Bonvoy™ points per dollar spent on eligible purchases at participating Marriott Bonvoy™ properties and 2 points on all other spend. Terms apply
Receive 50,000 bonus Marriott Bonvoy™ points when you charge $1,500 in the first three months of card membership. Terms apply
BMO World Elite Mastercard
19.99%
22.99%
$0 annual fee for the first year ($150 thereafter)
$80,000
Get 3 BMO Rewards points per $1 spent on eligible travel, dining and entertainment purchases (up to $50,000 spend annually), and get 2 BMO Rewards points per $1 spent on all other eligible purchases (and once you reach the $50,000 annual spend).
Get up to $575 in value in your first year. Get a bonus of 40,000 BMO Rewards points ($285 travel value booked on bmorewards.com). Plus, get the $150 annual fee waived in the first year.
American Express Business Edge Card
19.99%
21.99%
$99
N/A
Earn 3 Membership Rewards points for every $1 spent on eligible business essentials including office supplies, electronics, rides, gas, eats and drinks (up to an annual earn of 75,000 Membership Rewards), and earn 1 Membership Reward point for every $1 spent on all other eligible purchases
Earn up to 42,000 Membership Rewards points in your first year. Earn a Welcome Bonus of 30,000 Membership Rewards points when you spend at least $5,000 on eligible purchases within the first three months, and earn 1,000 Membership Rewards points each month (a total of 12,000 annually) when you spend a minimum of $3,000 on eligible purchases
Shell AIR MILES Mastercard from BMO
19.99%
22.99%
$0
$15,000
Get 2 AIR MILES for every $20 spent at participating AIR MILES Partners, and get 1 AIR MILE for every $20 spent on eligible purchases elsewhere.
Get 950 AIR MILES Bonus Miles (enough for $100 towards purchases with AIR MILES Cash). Plus, get 5x the Miles at Shell until December 31, 2020.
American Express Gold Rewards Card
30% annual interest rate applies to balances not paid in full each month
N/A
$150
N/A
Earn 2 Membership Rewards points for every $1 spent on eligible gas station, grocery store, drug store and travel purchases and on eligible hotel and car rental bookings made with American Express Travel, and earn 1 Membership Reward point for every $1 spent on all other eligible purchases
Earn a Welcome Bonus of 25,000 Membership Rewards points when you spend at least $1,500 on eligible purchases within the first three months
HSBC +Rewards™ Mastercard®
11.9%
11.9%
$0 annual fee for the first year ($25 thereafter)
N/A
Earn 2 Points for every $1 spent on eligible dining or entertainment purchases.
Earn 20,000 Points ($100 travel value) plus a full annual fee rebate for the Primary Cardholder for the first year ($25 value). Apply by December 28, 2020. Conditions Apply. This offer is only available to residents of Canada other than the province of Quebec. (Quebec residents eligible for separate offer).
HSBC World Elite® Mastercard®
19.9%
22.9%
$0 annual fee for the first year ($149 thereafter)
$80,000
Earn 3% in travel rewards on all eligible travel purchases (6 Points per $1 spent) and earn 1.5% in travel rewards on all other eligible purchases (3 Points per $1 spent).
Earn up to 100,000 Points ($500 travel value) plus get a full annual fee rebate for the Primary Cardholder for the first year. Apply by December 28, 2020. Conditions Apply. This offer is only available to residents of Canada other than the province of Quebec. (Quebec residents eligible for separate offer).
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How do travel rewards cards work?

Travel rewards credit cards give you a way to earn points on your everyday spending by offering a set number of points for every dollar spent (such as 1 point for $1 spent or 1 point for $2 spent) on eligible purchases. This means the more you spend, the more points you can rack up. There are different ways to earn and redeem reward points depending on the type of credit card you choose and the rewards offered by the provider.

Some travel rewards credit cards send points directly to your account and other rewards credit cards allow you to transfer points to a variety of other eligible travel reward accounts. Your card may also have tiered earn rates – different earn rates depending on the type of purchase – and points caps that reduce or limit points earnings after you spend a certain amount each statement period. As your points are debited to your account, you can redeem them for a variety of rewards including flights, upgrades, accommodation and plenty of other perks.

When you’re chosing a travel rewards credit card, there are two different options to consider:

1. Direct earn cards. These credit cards partner with a single airline rewards program and earn points that are credited directly to your linked travel rewards account. Direct earn cards generally have a better earn rate than other options, so you could potentially get more rewards for your spending if you’re loyal to one travel rewards program.
2. Indirect earn cards. These reward credit cards earn points that can be transferred to a wide range of travel rewards programs. Unlike direct earn travel rewards credit cards, the value of the points you earn on these types of cards may differ when transferred to a travel rewards account.

How to compare travel rewards credit cards

With a large variety of travel rewards credit cards in Canada, you have plenty of options to discover a card that suits your travel goals and financial circumstances. You should compare the following key factors when choosing the best travel rewards credit card for you:

  • The travel rewards program. Choosing a credit card that earns points for a specific travel program you already use will help you maximize your rewards. For example, if you exclusively fly with WestJet, you wouldn’t get as much value from a card that offered British Airways points. If you don’t belong to a program yet, think about which airline(s) you travel with the most and look at their loyalty program options.
  • Points earning rate. Check the standard rate of points you’ll earn for each dollar spent on the card. Be aware that a different earn rate could apply for certain types of spending, such as overseas purchases. There are usually some transactions that won’t earn points – such as cash advances and gambling transactions – and there may be a limit to the points you can earn each month or year, so make sure you check restrictions for the cards you’re comparing.
  • Reward values. Consider the types of rewards you want to claim, the number of points you’ll need and how much you’d have to spend to redeem your preferred reward. Check how these values measure up between programs, so you can apply for the card that offers the greatest value based on your spending and reward goals.
  • Annual fee. Ideally, the card’s annual fee should cost less than the rewards and any complimentary extras that you intend to use. If you don’t reap these rewards, it may not be worth paying a high annual fee for the card.
  • Promotional rates and features. Travel rewards credit cards sometimes have promotions for new customers, such as bonus points, 0% purchase rates or no annual fee for the first year. These benefits can add value to the card that you choose, but make sure you read the terms and conditions and confirm the length of the introductory period so that these offers work for you.
  • Complimentary extras. Travel rewards credit cards often come with a selection of complimentary extras such as international travel insurance, extended warranties, concierge services and airline lounge access. The value of these perks can be used to offset the cost of the annual fee of the credit card, as long as you know you will actually use them.

Is a travel rewards card right for me?

If you’re interested in getting a travel rewards credit card, weigh up these pros and cons to decide if it will be worth it for you:

Pros

  • Redeem flights and travel upgrades faster. If you’re earning points every time you spend with your credit card, you can maximize the number of points you’re earning and reach your reward goals faster. Points can likely be used toward both domestic and international flights, as well as perks like business class upgrades, seat upgrades, dining upgrades and airport lounge access.
  • Sign-up bonus points. Some credit cards offer introductory bonus points as an incentive for new customers to sign up. Depending on the card, you could earn up to 100,000 bonus points (or more) when you meet the spend requirement. Not only will this give your points balance a boost, but it’s also another way you can redeem rewards more quickly.
  • Large range of rewards. You can use the points you earn to redeem rewards including flights with your preferred airline and its partners, hotels, online shopping and more.
  • Travel perks. Designed to suit frequent flyers and travellers, these cards often come with extra features such as flight vouchers, airport lounge passes and 24/7 concierge services.
  • Complimentary insurance. Many travel rewards credit cards come with complimentary travel insurance, which can help you save on stand-alone insurance costs when you’re travelling.

Cons

  • High interest rates. Travel rewards credit cards often come with less competitive interest rates than other cards and are suited to cardholders who consistently pay off their balance each month and can avoid the high interest charges.
  • Expensive annual fees. Travel rewards credit cards typically come with higher annual fees than standard credit card options. Make sure that the value of the points you can earn and the extra features of the card outweigh the annual fee.
  • Temptation to spend. If you struggle to repay your credit card on time each month or you need to consolidate debt, a travel rewards credit card might tempt you to spend for the sake of receiving points. If you are struggling to pay off existing debt, you might want to consider a card designed for balance transfers instead.
  • Airline and flight restrictions. If you want to use points for flights or upgrades, you will likely be limited to a specific airline or alliance of airlines. There may also be blackout dates or limited availability for reward flights and upgrades.
  • Offer requirements. Travel rewards credit cards that come with introductory offers or complimentary insurance may have specific spending requirements you need to meet to enjoy these benefits. Make sure that the spend requirement is realistic with your budget and monthly spending.
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How to redeem travel rewards points

Once you’ve earned enough points, you can redeem them for a variety of rewards, depending on the provider. Popular rewards you could redeem with your travel rewards program include flights, gift vouchers and hotels. The number of points you need for a reward varies depending on the travel rewards program and the type of reward you choose.

What credit card transactions don’t earn points?

The list of transactions that do and don’t earn points when you use a travel rewards credit card varies between providers and products. The following are some of the most common exclusions:

  • Cash advance transactions
  • Balance transfers
  • Gambling charges
  • Purchasing foreign currency
  • Account fees
  • Reversed transactions
  • Government payments
  • Some monthly bills
Keep in mind that not all cards have the same exclusions, so it’s important to check the terms and conditions or product disclosure statement for full details of what individual travel rewards credit cards do and don’t count as an “eligible transaction”.

How to get bonus points with a travel rewards credit card

Many travel rewards credit cards will offer introductory bonus points in order to get you to sign-up for the card. Some cards will offer 50,000 or even 100,000 bonus points as an introductory bonus, which can sometimes be enough to get you to another continent by only using your points. While this may sound like a great offer, you typically have to spend a certain amount of money within a given time period in order to qualify for the full set of points.

For example, if you read the fine print of the offer, you may discover that you must spend $5,000 in one month in order to qualify for the points. Although you may manage to spend this in one month, you may also discover that only “eligible purchases” qualify for the points. So while everyday purchases like groceries, gas and clothes may count towards the $5,000 total, other purchases like cash advances or payments for certain bills via your credit card may not count.

Always be aware of the terms and conditions of a credit card before you commit to a new card.

Frequently asked questions about travel rewards credit cards

If you want to know more about travel rewards credit cards, check out these answers to the most popular questions we’re asked about them – including how to earn and redeem points. If you still have a question, get in touch with us using the “Ask a Question” box below and we will respond to your query.

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