American Express Cobalt® Card vs RBC ION Visa: Which one is better?
American Express Cobalt® Card
5
RBC ION Visa
2.7
Rewards Breakdown
Annual Rewards
$1,096
American Express Membership Rewards
First Year Bonus
$315
American Express Membership Rewards
Annual Fee
$155.8
First Year Value
$1,255.2
$940.2 in years after
Based on $2,000/mo average spending. Calculate your rewards.
Rewards Breakdown
Annual Rewards
$258.39
RBC ION Avion
First Year Bonus
$35
RBC ION Avion
Annual Fee
$0
First Year Value
$293.39
$258.39 in years after
Based on $2,000/mo average spending. Calculate your rewards.
Insurance Included*
Extended Warranty
Up to 1 year
Purchase Protection
90 days
Lost or Stolen Baggage
$500
Baggage Delay
$500
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Car Rental Damage & Theft
yes
Travel Accident
$250,000
Mobile Device Insurance
$1,000
Hotel Burglary Insurance
$500
Emergency Out of province Medical
15 days
Flight Delay
$500
Insurance Included
Extended Warranty
Up to a year
Purchase Protection
90 days
Extra Benefits*
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Travel Credit
Book two or more consecutive nights at participating properties through The Hotel Collection with American Express Travel to receive a $100 credit for amenities or a complimentary room upgrade, if available.
Amex Experiences™
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 Experiences™
Extra Benefits
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Gas Discount
save 3¢/L on fuel and always earn 20% more Petro-Points at Petro-Canada
Extra points
50 Be Well points for every $1 spent on eligible products at Rexall
Interest Rates*
Purchase:
21.99%1
Cash Advance:
21.99%1
Interest Rates
Purchase:
20.99%
Cash Advance:
22.99%
Annual Fee*
$155.8
Annual Fee
$0
Income Required*
Min Personal Income:
N/A
Min Household Income:
N/A
Income Required
Min Personal Income:
N/A
Min Household Income:
N/A
Welcome Bonus*
Earn 1,250 Membership Rewards® points for each monthly billing period in which you spend $750 in purchases on your Card in the first Year
Welcome Bonus
Get 6,000 Avion points upon approval
Rewards Rate*
- 5x points per $1 spent on eligible eats and drinks in Canada, including groceries and food delivery (up to 12,500 points per month)
- 3x points per $1 spent on eligible streaming subscriptions in Canada
- 2x points per $1 spent on eligible gas, transit & ride share in Canada
- 1x point per $1 spent on all other purchases
Rewards Rate
- 1.5 points for every dollar in grocery, rides, gas, electric vehicle charging, streaming, digital gaming, subscriptions and more
- 1 point for all other purchases
Loyalty Program*
Loyalty Program
Point Redemption Options*
Statement Credits (Cash)
1¢ / point
Gift Cards
0.765¢ / point
Merchandise
0.63¢ / point
Most Optimal
Transfer to Airline Partners
2.1¢ / point
Fixed Point Travel Program
1.66¢ / point
Transfer to Hotel Partners
1.66¢ / point
Amazon.ca
0.7¢ / point
Point Redemption Options
Gift Cards
0.72¢ / point
Merchandise
0.7¢ / point
Statement Credits (Cash)
0.58¢ / point
Most Optimal
Transfer to WestJet
1¢ / point
Financial Products
0.83¢ / point
Travel
0.6¢ / point
Is this card worth it?
This card was voted the Best Credit Card in Canada by FinlyWealth. The rewards earned on this card for a person with average spending exceed those of other credit cards in Canada by a huge margin! In addition, this card has a good benefits coverage, a flexible points redemption program (1:1 transfer to Aeroplan® or Avios), making it the best candidate to become the main credit card for the majority of people.
Is this card worth it?
We actually don't like this card. It neither offers great benefits nor rewards, even for a free card. It's a very average card with many better and worse alternatives, both paid and free.
Pros
- Points can be transferred to Air Canada Aeroplan® at a 1:1 ratio, making this card a solid Aeroplan® points earner as an alternative to Aeroplan® branded credit cards
- Generous welcome bonus of up to 15,000 points
- 4+ different ways of redeeming your points for great value
- 10 different types of insurance, including travel
- Often referred to as the Best Credit Card in Canada
Pros
- Good savings on gas if you are a regular petro-Canada gas customer.
Cons
- Less acceptance of American Express at different merchants across Canada
- Not all types of travel insurance are covered, especially trip cancellation and interruption insurance
Cons
- Insurance coverage is the most basic.
- Reward categories are not the best.
- Avion reward points are generally less valuable.
- Many other cards with no annual fee are available that are all-around better cards than ION Visa.
vs TD Aeroplan® Visa Infinite* Card
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American Express Cobalt® Card vs RBC ION Visa: When to go for one over the other
Annual Fees and Requirements
The American Express Cobalt® Card and the RBC ION Visa have a significant difference in their annual fees. The Cobalt® Card has a moderate annual fee, while the RBC ION Visa comes with no annual fee, making it more accessible to those looking for a no-cost option. Both cards do not have specific income requirements, allowing a broad range of users to apply. The fee difference could be a deciding factor depending on your budget and willingness to pay for premium benefits.
Rewards
When comparing the rewards structure, the American Express Cobalt® Card offers significantly higher potential rewards, especially in categories like dining and groceries, where it provides a high multiplier on points. It also includes a generous welcome bonus for new cardholders, which further enhances its value. The RBC ION Visa, on the other hand, offers more modest rewards and a smaller welcome bonus, making it less competitive for those seeking maximum returns on everyday spending.
Reward Redemption Options
When it comes to redeeming rewards, the American Express Cobalt Card offers more flexibility and potentially higher value. It allows you to redeem points for statement credits, travel, gift cards, merchandise, and even transfer to airline and hotel partners, providing multiple ways to maximize the value of your points. On the other hand, while the RBC ION Visa also offers various redemption options, including travel, financial products, and gift cards, its point value is generally lower, and the redemption flexibility is not as robust as the Cobalt Card. For users who prefer straightforward and high-value redemptions, the Cobalt Card's options are superior, especially since statement credits offer greater flexibility compared to other forms of redemption.
Benefits and Insurance
The American Express Cobalt® Card stands out with its comprehensive benefits and insurance coverage, including travel insurance, car rental insurance, and mobile device protection, among others. These perks are extensive compared to the RBC ION Visa, which offers only basic insurance and fewer overall benefits. Additionally, the Cobalt® Card provides unique experiences and perks, like access to American Express exclusive events, that the RBC ION Visa does not match.
Conclusion
For most users, the American Express Cobalt® Card is the superior choice due to its higher rewards, robust benefits, and comprehensive insurance coverage. It is ideal for those who spend significantly on dining and groceries and are willing to pay an annual fee for premium perks. However, if you prefer a no-fee card with basic rewards and benefits, the RBC ION Visa could be more suitable, particularly for budget-conscious individuals or those with lower spending in the higher-reward categories.
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