American Express Cobalt® Card vs Tangerine Money-Back Credit Card: Which one is better?

Annual Fees and Requirements

The American Express Cobalt Card comes with an annual fee, while the Tangerine Money-Back Credit Card does not charge one. This significant difference makes the Tangerine card an attractive option for those seeking a no-fee credit card. Both cards do not have specific income requirements, making them accessible to a broad audience.

Rewards Comparison

The American Express Cobalt Card offers higher rewards potential, especially for those who spend heavily in dining, groceries, and streaming services, thanks to its tiered points system. In contrast, the Tangerine Money-Back Credit Card provides straightforward cashback with the flexibility to choose categories, but its overall rewards potential is lower compared to the Cobalt Card. For those seeking maximum rewards, the American Express Cobalt Card stands out.

Reward Redemption Options

The American Express Cobalt Card provides a variety of redemption options, including travel, statement credits, and gift cards, with the potential for higher value when transferring points to airline or hotel partners. The Tangerine Money-Back Credit Card, on the other hand, offers cashback, which is more flexible and can be used on anything. If you prioritize ease of use and flexibility, the Tangerine card’s cashback is a clear winner.

Benefits and Insurance

The American Express Cobalt Card includes a comprehensive suite of benefits and insurance, such as travel insurance, purchase protection, and extended warranty, which far exceed the basic coverage offered by the Tangerine Money-Back Credit Card. For those who travel frequently or seek extensive insurance coverage, the Cobalt Card is the better choice.

Network Acceptance

The American Express Cobalt Card operates on the American Express network, which is not as widely accepted as Mastercard, the network for the Tangerine Money-Back Credit Card. Additionally, Mastercard is accepted at Costco and considers Walmart as a grocery store for rewards, unlike American Express. This makes the Tangerine card a card which can be relied on for all purchases, but for Cobalt it's always a good idea to carry a secondary card for merchants that don't accept it.

Conclusion

The American Express Cobalt Card is ideal for those who want to maximize rewards and benefit from extensive insurance coverage, particularly if they spend significantly on dining and travel. However, the Tangerine Money-Back Credit Card is better suited for those looking for a no-fee card with flexible cashback options and wider acceptance. Choose the card that aligns with your spending habits and preferred perks.