The best American Express credit cards in Canada 2023 – MoneySense

• Annual fee: $0
• Interest rates: purchases 20.99%, cash advances 21.99% 
• Welcome offer: Earn 10,000 Membership Rewards points when you charge $1,000 in purchases to your card in the first three months of cardmembership – that’s $100 towards groceries or concert tickets.
• Earn rate: 1 point for every $1 spent on all purchases and 1 point for every $1 spent on hotel or car bookings made on americanexpress.ca. 
• Income requirement: None
• Additional benefits: Purchase and fraud protection, emergency card replacement

Best no-fee cash back Amex card

SimplyCash Card from American Express*

Some of us just don’t have room in the budget for expenses like annual fees, which is why you may consider American Express’s SimplyCash credit card. But just because you’re not paying a fee for your card doesn’t mean you shouldn’t be rewarded for using it. SimplyCash is one of the highest-earning no-fee credit cards in Canada, offering 2% cash back on gas and grocery purchases and 1.25% back on every other dollar you spend. This is particularly impressive when you consider that most other no-fee rewards cards only offer 0.5% back on the majority of everyday purchases. However, the one drawback is the limited timing when it comes to rewards: You can only redeem once per calendar year in September. 

• Annual fee: $0
• Interest rates: purchases 20.99%, cash advances 21.99%
• Welcome offer: In your first ten months as a cardholder, earn a $10 statement credit for each monthly billing period in which you make at least $300 in purchases (for a total value of up to $100).
• Earn rate: 2% cash back on eligible gas and grocery purchases up to $300 annually; 1.25% cash back on everything else.
• Income requirement: None
• Additional benefits: Travel and shopping insurance; access to virtual events and special offers with American Express Experiences

Best Amex card for points optimizers

American Express Gold Rewards Card*

Like the Platinum Card by American Express above, the American Express Gold Rewards credit card earns Membership Rewards points. And this card is king for flexibility, too. With plenty of transfer options, it is an easy choice for the seasoned points optimizer who cares about maximizing values over simplicity. You can transfer your points to other travel programs, including Aeroplan, British Airways Avios, Marriott Bonvoy and others, often at favourable transfer ratios. Make the right transfer and you can get a big boost in your rewards value. For example, you can trade 1 Membership Rewards point for 1 Aeroplan point, which can then be redeemed for maximum value, depending on the flight. 

• Annual fee: $250
• Interest rates: purchases 20.99%, cash advances 21.99%
• Welcome offer: Earn up to 50,000 Membership Rewards® points – that’s up to $500 towards your next flight or dinner out with friends.
• Earn rate: 2 points for every $1 on eligible travel purchases, including flights, hotels, car rentals, and cruises, 2 points for every $1 on gas, groceries and drugstore purchases and 1 point for every $1 on everything else
• Income requirement: None
• Additional benefits: Receive a $50 statement credit when a NEXUS application (or renewal fee) is charged to your card. You also get a $100 travel credit to use toward any travel booking, $100 or more, charged on your card through American Express Travel Online. Plus, you can enroll for a free membership for the airport lounge program Priority Pass, airport lounge program.

Best low-interest Amex card

American Express Essential Card

There are times when unexpected extra expenses—leaky roof, sick dog, those boots you told yourself you weren’t going to buy—make us rely on our credit card a little more. And that’s when paying off the full balance at the end of the month isn’t always within budget. It might take a few billing cycles to get back in the black, and in the meantime, the interest on those outstanding payments can be… painful. The American Express Essential Card takes away some of that pain with its low interest rate of 12.99%. Compare that with the 19.99% interest rate of most other cards, and it’s clear that this difference could amount to significant savings for anyone who struggles to pay off their card from time to time. As well, unlike other low-interest credit cards, the Essential comes with no annual fee. Bonus: This low interest rate also applies to cash advances, a reassuring option to have for those situations when you’re in a pinch and need cash pronto.  

• Annual fee: $0
• Interest rates: purchases 12.99%, cash advances 12.99%
• Income requirement: None
• Additional benefits: Travel and shopping insurance; American Express Invites; Plan It—The American Express Installment Program

Best premium Amex card

American Express The Platinum Card*

If you like prestige, The Platinum Card is for you. This is one of Amex’s premium offerings—which means it comes with a hefty annual fee ($699), but enough perks to make it worth the investment. With an earn rate of triple the points on dining out compared to other cards, and double on travel, you’ll be racking up rewards every time you order in, fill the gas tank, do the weekly grocery shop and more. The options for redeeming points are varied: Put them toward flights or hotel, with every 1,000 points equalling $10, via the Flexible Points Travel program; using the Fixed Points Travel program’s travel chart to get potentially more value out of them; transfer them to frequent-flyer or hotel-loyalty programs; or even redeem them in the form of gift cards at premium retailers like Holt Renfrew. 

The Platinum Card, as one might expect, comes with some serious benefits. It entitles its holder to American Express Platinum concierge services, a $200 travel credit that’s renewed each year and—perhaps the holy grail for frequent flyers—airport lounge access. You’ll be able to take advantage of Amex’s highly coveted Centurion lounges as well as more than 1,200 Priority Pass lounges around the world, making layovers—and even flight delays—a whole lot more bearable. And the welcome bonus is a good one, too. But, maybe the coolest thing about this card: It’s made of metal instead of the usual plastic. This luxe detail, however, may make you want to flash your card more often. (Consider yourself warned.)

• Annual fee: $699
• Interest rates: n/a
• Welcome offer: Earn up to 80,000 Membership Rewards® points – that’s up to $800 towards a weekend away.
• Earn rate: 3 points per $1 on dining and food delivery; 2 points per $1 spent on travel; 1 point per $1 on everything else
• Income requirement: None (just a good-to-excellent credit score rating)
• Additional benefits: Travel and shopping insurance; American Express Invites; Fine Hotels & Resorts exclusive benefits; automatic Elite status in multiple hotel programs; benefits at Toronto Pearson airport, such as priority-security-lane access and complimentary valet service  

Best Amex card for groceries

American Express Cobalt Card*

If you’re trying to offset high grocery and food costs, then the Amex Cobalt is a card to consider. You’ll earn 5 points for every $1 spent on all food and drink purchases and 1 point for $1 spent everywhere else. You can also earn 2,500 points every month when you spend $500 on the card within the first year—adding up to a generous 30,000 points (worth around $300, but the value of the points do change over time). You can use rewards points to pay for groceries and almost anything else. To find out which grocery stores and businesses take Amex points see their helpful map.

This card also gives you access to exclusive food festivals and restaurants all over Canada.

• Annual fee: $156
• Interest rates: purchases 20.99%, cash advances 21.99%
• Welcome offer: Earn 2,500 points for each month you spend $500, up to a maximum of 30,000 points—that’s $300 towards a weekend getaway or concert tickets.
• Earn rate: 5 points per $1 spent on food (including groceries, restaurants and food delivery); 2 points per $1 spent on travel, transit and gas; 1 point per $1 spent everywhere else
• Income requirement: None
• Additional benefits: Travel and shopping insurance; American Express Experiences

Must-know facts American Membership Rewards points—and points values

American Express Membership Rewards is one of the most valuable and flexible rewards programs in Canada. But to make the most of it, it’s important to understand how the points work and how much points are worth. 

American Express points come in two varieties: Membership Rewards (MR) and Membership Rewards Select (MR Select). 

You’ll earn MR points with American Express Platinum. MR Select points are earned with the American Express Cobalt and the American Express Choice cards. While both MR and MR Select can be redeemed in a variety of ways, there are some slight differences between the two as covered below.  

Travel

Travel is one of the most popular ways to redeem any of American Express points programs, partly because of the flexibility. There are several ways to make the most of your points, and you don’t need to use American Express’s in-house travel agency. You can redeem points for purchases booked directly from an outside airline, hotel or travel agency.

American Express Flexible Travel 

The most simplified travel redemption comes from the Flexible Travel points program, where each point is worth $0.01 towards flights, hotel stays, car rental, vacation packages and cruises. You can redeem points for travel in flat increments of 1,000 points, worth $10. Both MR and MR Select points are eligible.

American Express Fixed Travel

If you’re looking to maximize your points value and score great deals, you might want to use the Fixed Travel points program. Here, you redeem points for round-trip flights out of Canada, based on a regional rewards chart. Both MR and MR Select points are eligible.

Point values vary depending on the flight and region you’re travelling to, with each region requiring a minimum number of points in exchange for a maximum price ticket 

For example, let’s say you’re flying from Toronto to Montreal (a short-haul flight within Canada).

• According to the rewards chart, you’ll need a minimum of 15,000 points, which can cover up to a maximum $300 of a flight ticket’s base price (not including taxes). 
• If you find a ticket that costs $350 ($250 plus $100 in taxes)you would redeem 15,000 points and pay $350 (total price of the ticket). 
• Then, American Express would refund you $250—the base price of the ticket, not including taxes. 

Ultimately, you would pay 15,000 points plus $100 out of pocket for the $350 ticket, which works out to $0.0167 per point—far greater than the $0.01 per point value you’d receive in the Flexible Points program.

Transfer options

One of the benefits of American Express Rewards points is the ability to transfer your points to six different frequent flyer programs, often at favourable ratios. For example, you can transfer 1,000 Membership Rewards points for 1,000 Aeroplan Points at a 1:1 ratio. The value of Aeroplan Points fluctuates. But, depending on which flight you redeem them for and how well you optimize your trip, you can reap as much as $0.02 to $0.04 per point, especially on business class flights. The right transfers can boost your rewards values. Be aware that Membership Rewards Select points can’t be transferred to airline partners.

Transfers don’t only apply to airlines. You can transfer either Membership Rewards and Membership Rewards Select points to hotel partners including Marriott Bonvoy and Hilton Honors. Point values and transfer ratio fluctuate by program, so do the math to get the very best deal. 

Statement credits

If you’d rather spend points on your everyday card purchases, you can do that, too, though the value is not as good as with travel. When using a statement credit, 1,000 points equals $7 (which is $0.007 per point). If you find you prefer rewards to save on everyday purchases in general, your best bet is to stick with a cash back credit card instead of a travel rewards card since they offer redemptions values on everyday purchases.

Gift cards and merchandise

Sometimes you just want to cash in your points for a gift card or merchandise—and with American Express Membership Rewards you can do that, too. The values on merchandise vary dramatically, so getting a deal may take a bit of math, but you can expect around $0.0075 per point on gift cards.

Amex acceptance–is it really an issue?

If you read up on American Express cards, you’re going to notice that they carry a warning about how widely accepted they are. It’s true Mastercard and Visa can be used at more places, but the stigma around American Express may be slightly overblown. 

American Express is accepted at more than 96,000 places across Canada including most department and big box stores like The Bay, Walmart, Canadian Tire, and Home Depot, as well as thousands of restaurants and cafes, including a large number of fast food and chain restaurants as well as food delivery apps. Metro and Sobeys grocery stores accept American Express, but Costco and Loblaws stores do not. Shoppers Drug Mart, some independent restaurants and several smaller mom-and-pop shops don’t take American Express. 

Where does this leave you? Rather than forgoing the valuable rewards and perks found with many American Express cards, our advice is to carry at least two cards with you. Bring your American Express along with another no-fee Visa or Mastercard, just in case.

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