American Express Cobalt® Card vs American Express Gold Rewards Card®: Which one is better?

American Express Cobalt® Card

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RECOMMENDED CREDIT SCORE*

300

Poor

560

Fair

660

Good

725

Very Good

760

Excellent

Get your free credit score

American Express Gold Rewards Card®

4.25

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RECOMMENDED CREDIT SCORE*

300

Poor

560

Fair

660

Good

725

Very Good

760

Excellent

Get your free credit score

Rewards Breakdown

Annual Rewards

$1,041.82

American Express Membership Rewards

First Year Bonus

$315

American Express Membership Rewards

Annual Fee

$155.8

First Year Value

$1,201.02

$886.02 in years after

Based on $2,000/mo average spending. Calculate your rewards.

Rewards Breakdown

Annual Rewards

$597.35

American Express Membership Rewards

First Year Bonus

$1,260

American Express Membership Rewards

Annual Fee

$250

First Year Value

$1,607.35

$347.35 in years after

Based on $2,000/mo average spending. Calculate your rewards.

Insurance Included*

Lost or Stolen Baggage

$500

Baggage Delay

$500

Car Rental Damage & Theft

yes

Travel Accident

$250,000

Extended Warranty

Up to 1 year

Purchase Protection

90 days

Hotel Burglary Insurance

$500

Emergency Out of province Medical

15 days

Flight Delay

$500

Mobile Device Insurance

$1,000

Insurance Included*

Lost or Stolen Baggage

$500

Baggage Delay

$500 after 6 hour delay

Car Rental Damage & Theft

$85K, up to 48 days

Travel Accident

$500,000

Extended Warranty

Up to 1 year

Purchase Protection

90 days, Up to $1,000

Hotel Burglary Insurance

$500

Emergency Out of province Medical

15 days

Flight Delay

$500 after 4 hour delay

Trip Cancellation

$1,500 per person, $3,000 combined

Trip Interruption

$1,500 per person, $6,000 combined

Extra Benefits*

American Express® Experiences

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.

Extra Benefits*

American Express® Experiences

Travel Credit

$100

Status lift

Hertz Gold Plus Rewards® loyalty program

Extra points

Earn 2 points on Amex Travel Online purchases and extra points on American Express offers

Nexus Program Rebate

$50 statement credit every 4 years

Complimentary Hotel Benefits

Hotels booked American Express Travel

Airport Lounge - Priority Pass

Pass only. No Complimentary visits!

Airport Lounge - Plaza Premium

4 Free complimentary visits

Interest Rates*

Purchase:

21.99%¹

Cash Advance:

21.99%¹

Interest Rates*

Purchase:

21.99%²

Cash Advance:

21.99%²

Annual Fee*

$155.8

Annual Fee*

$250

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*

Earn 5,000 Membership Rewards points for each monthly billing period in which you spend $1,000 in purchases on your Card in the first Year

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*

2x points per $1 spent on gas, groceries and drugstore purchases
2x points per $1 spent on travel (eligible flights, hotels, tours and more)
1x point per $1 spent on all other eligible purchases

Loyalty Program*

American Express Membership Rewards

Loyalty Program*

American Express Membership Rewards

Point Redemption Options*

Most Optimal

Transfer to Airline Partners

2.1¢ / point

Fixed Point Travel Program

1.66¢ / point

Transfer to Hotel Partners

1.66¢ / point

Statement Credits (Cash)

1¢ / point

Gift Cards

0.765¢ / point

Amazon.ca

0.7¢ / point

Merchandise

0.63¢ / point

Point Redemption Options*

Most Optimal

Transfer to Airline Partners

2.1¢ / point

Fixed Point Travel Program

1.66¢ / point

Transfer to Hotel Partners

1.66¢ / point

Statement Credits (Cash)

1¢ / point

Gift Cards

0.765¢ / point

Amazon.ca

0.7¢ / point

Merchandise

0.63¢ / 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, the card has good benefit coverage, making it the best candidate to become the main credit card for the majority of people.

Is this card worth it?

The American Express® Gold Rewards Card is an excellent choice for travelers seeking an entry-level card that offers a strong balance of generous travel benefits without excessive costs. With a relatively low annual fee, this card provides flexibility and a range of perks that make it stand out among other options. It’s ideal for those who want to maximize their travel rewards without being tied to a specific airline or compromising on the benefits offered.

Pros

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

Flexible Rewards: Enjoy flexible Membership Rewards point conversion with up to 2 points per $1 spent.
Travel Perks: Includes $100 annual travel credit and 4 free passes to Plaza Premium lounges in Canada.
Comprehensive Insurance: Comes with 11 types of insurance coverage.
Multiple Redemption Options: Offers 4 ways to redeem points for maximum value.

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

High Annual Fee: The card comes with a $250 annual fee.
Foreign Transaction Fees: A 2.5% fee applies to foreign transactions.
Limited Travel Insurance for Seniors: No travel medical insurance coverage for those over 65.
Lower Acceptance: As an American Express card, it may have lower acceptance compared to Visa or Mastercard.

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American Express Cobalt® Card vs American Express Gold Rewards Card®: When to go for one over the other

Annual Fees and Requirements

The American Express Cobalt® Card has a lower annual fee compared to the American Express Gold Rewards Card®. This difference makes the Cobalt® Card more appealing to those looking to maximize rewards while minimizing upfront costs. Both cards have no specific income requirements, making them accessible to a broad range of users. The lower fee on the Cobalt® Card makes it a better option for individuals who want to save on annual expenses.

Rewards

When it comes to rewards, the American Express Cobalt® Card excels with its high earn rates on dining, groceries, and streaming services. It offers significantly more points for these everyday categories compared to the Gold Rewards Card®, which is more balanced with points on travel, gas, and grocery purchases. For users who spend heavily in food-related categories, the Cobalt® Card provides superior value. The Gold Rewards Card, however, offers a substantial welcome bonus, which can be attractive for those planning to maximize points in the first year.

Benefits and Insurance

The American Express Gold Rewards Card outshines the Cobalt® Card in terms of benefits and insurance. It includes an annual travel credit, access to airport lounges, and broader insurance coverage, such as trip cancellation and interruption insurance, which the Cobalt® Card does not offer. On the other hand, the Cobalt® Card's benefits are more geared towards everyday protection, like mobile device insurance. Therefore, if comprehensive travel perks and insurance are a priority, the Gold Rewards Card is the better option.

Conclusion

The American Express Cobalt® Card is best suited for individuals who spend heavily on dining, groceries, and streaming services, offering excellent value for everyday spending. The majority of users, especially those who want to maximize rewards in these categories, should choose the Cobalt® Card. However, the American Express Gold Rewards Card is better suited for frequent travelers who prioritize travel perks, flexibility, and extensive insurance coverage. Users who value these travel-related benefits should consider the Gold Rewards Card despite its higher annual fee.

Annual Fees and Requirements
Rewards
Benefits and Insurance
Conclusion

Legal

^*American Express is not responsible for maintaining or monitoring the accuracy of information on this website. If you apply and get approved for an American Express Card, (I/we) may receive compensation from American Express, which can be in the form of monetary payment. Check here for full details and current product information.

^1,2 If you have 2 separate missed Payments, the applicable rates for your account will be 25.99%. If you have 3 or more separate missed payments, the applicable rates will be 28.99%.