Top 3 Ways to Stack Credit Card Rewards in Canada

On top of applying for a credit card (or two) with high-value rewards, there are other ways to tack on extra rewards with each transaction. For example, you can use your credit card(s) to purchase eligible items through third-party cash back apps, a strategy often referred to as “double dipping.” You can also practice strategic card switching by alternating between cards based on the purchase to collect the most points or cashback. Additionally, make the most out of intro offers, timing large purchases with opening new accounts to hit those minimum spending requirements and pocket bonus rewards. 

Keep reading to discover the top 3 ways to stack credit card rewards in Canada – courtesy of FinlyWealth.

1. Practice Strategic Card Switching

After you’ve secured a high-value credit card that complements most of your spending habits, the next step is to apply for a second complementary card. This second card will cover other reward categories that your first card lacks; it may even provide additional benefits and coverage. 

For example, you might initially apply for an everyday cashback credit card that optimizes your gas, grocery, and dining purchases. While this card complements your spending on a day-to-day basis, it might not be the best option for travel. In that case, you’ll want to apply for a travel credit card as well. These cards tend to come with better rewards geared towards travel, plus superior travel perks and insurance. 

There are also plenty of store-branded credit cards for loyal customers. These cards optimize every purchase you make in-store with your favourite retailers.

Read More: Strategic Card Switching: Maximizing Rewards for Canadians, How to Choose Your Second Credit Card, How to Manage Multiple Credit Cards and Rewards in Canada

2. Maximize Intro Offers

Before opening any credit card, make sure you activate it when you have a large purchase planned. This way, you’ll likely meet each card’s welcome bonus minimum spending requirements. When you meet a card’s intro offer’s minimum spending requirements within the allotted promotional period, you’ll often receive extra rewards.

For instance, to earn 10,000 bonus points on a card, you may need to spend at least $1,000 within the first few months of membership. Before applying for the card in question, make sure that you’ll be able to responsibly spend $1,000 on that card to collect your extra points and apply the same method to any other supplementary credit cards you apply for. 

If you’re in a two-income household, both you and your partner can apply for the same cards and collect bonus points and cashback at the same time, as long as you each meet those minimum spending requirements!

Learn More: Best Signup Bonus Credit Cards in Canada

3. Pair Your Card With a Cash Back App

In addition to the rewards program included on your credit card, there are also cashback apps. These apps allow you to use your credit card to purchase from partner retailers, so you can ultimately pocket both the rewards from your card and the cashback from the app – something the experts call “double dipping.”

Below, we’ve included notable cashback apps available in Canada:

Pro Tip: You can “triple dip” on rewards when you use your rewards credit card to make a purchase through a cashback app’s partner retailer while collecting loyalty points from that same retailer (when applicable). Those collected loyalty program points can then be used on future purchases from the same store or retail network.

Built-In Cashback Bonus Hack: Certain credit cards, like the Neo World Mastercard or the Neo World Elite Mastercard, allow you to boost your initial cashback by making purchases at participating Neo Partners. The same can be said for some KOHO cards, like the KOHO Everything Mastercard or the KOHO Extra Mastercard, which allow you to earn extra cashback at select merchants.

Conclusion

To sum it all up, the top 3 ways to stack credit card rewards in Canada are as follows:

• Practice strategic card switching. Use the best card for the purchase, and pick a line-up of credit cards that complement each other’s rewards programs.
• Maximize intro offers. Never let a welcome bonus go to waste. Time the opening of your credit cards with large purchases in order to hit promotional minimum spending requirements. Better yet, collect those bonuses alongside your partner. 
• Use your rewards card with cash back apps. Tack on extra cashback by using your credit card to make purchases through cashback apps that earn you additional rewards through partner retailers. 

Ready to start stacking rewards today? Pick a couple of cards from our credit card comparison tool, collect their promotional offers, and start shopping through one of the above cashback apps.