“You can go to Europe for free once a year!”
Unfortunately, there’s no single “best” travel rewards program because it really depends on your individual travel style and spending habits. Here are some factors to consider:
- Where and how often do you travel? Frequent international travelers might prioritize programs with strong airline partnerships or flexible redemption options. Travelers who primarily stay within North America might be happy with a program focused on major domestic airlines.
- What kind of travel rewards are you interested in? Do you prioritize flights? Hotels? Experiences like tours or cruises? Different programs offer different strengths in terms of redemption options.
- Do you spend a lot on your credit card each month? Programs with high points-earning rates on everyday purchases can be especially beneficial for high spenders.
Here are a few popular travel rewards programs to consider, keeping in mind the focus is on Canada (similar programs exist in the US):
For Frequent Flyers:
- Aeroplan: This program, especially strong with Air Canada, might be ideal if you primarily fly within Canada or with Star Alliance partners.
- Avion Rewards (RBC): Offers flexibility with various airline partnerships and decent earning rates.
For Flexibility and Transfer Partners:
- American Express Membership Rewards: Points can be transferred to a wide range of airline and hotel programs, offering great redemption options.
- Marriott Bonvoy: Strong for hotel stays with Marriott properties and some airline transfer partners.
For Everyday Spending:
- Scotia Rewards: Good for everyday purchases with decent points-earning rates and flexible redemption options.
- Tangerine Miles: No annual fee and offers good value for everyday spending, especially with travel partners like Air Canada.
Here are some resources to help you compare different programs:
- NerdWallet: https://www.nerdwallet.com/best/credit-cards/travel (Canada specific)
- Rewards Canada: https://www.nerdwallet.com/ca/credit-cards/best-general-rewards-credit-cards
The TD Aeroplan Visa should really allow us to travel to Europe twice a year as a couple. We’ve done the math and confirmed this, but… we’re still hesitant to use points (instead of cash). I always try to find cheap and non-standard deals, and I don’t want to be limited by what’s available when using points to buy tickets.
The BMO CashBack World Elite Mastercard lets you withdraw cash at any time, but it has very small limits on the categories you can earn cash back on. For example, you can only earn cash back on groceries up to $500 per month. With our spending, we wouldn’t earn very much cash back, even if we each got our own card.
The Scotia Momentum Visa Infinite has better limits, but the cash back is only credited back to the card once a year in November. I’m not sure which card to choose. I like the flexibility of the BMO CashBack World Elite Mastercard, but I’m worried that we won’t earn very much cash back. I like the higher limits of the Scotia Momentum Visa Infinite, but I don’t like that the cash back is only credited back once a year.
Then, out of the blue, another card came up as a contender: the MBNA Rewards World Elite Mastercard. This card is a bit strange. It earns 5% points on only 5 categories and 1% on everything else. It also has a strange redemption system. You can redeem 100% of your points for travel through MBNA, or you can redeem 90% of your points for gift cards (like Amazon) or 80% for cash. Overall, this card is neither here nor there.
Remember, the best way to find the best program for you is to do your research, consider your travel habits, and compare the features and benefits of different options.
