American Express Cobalt® Card vs RBC ION Visa: Which one is better?

American Express Cobalt® Card

More Details

RECOMMENDED CREDIT SCORE*

300

Poor

560

Fair

660

Good

725

Very Good

760

Excellent

RBC ION Visa

2.7

More Details

RECOMMENDED CREDIT SCORE

300

Poor

560

Fair

660

Good

725

Very Good

760

Excellent

Rewards Breakdown

Annual Rewards

$1,041.82

American Express Membership Rewards

Welcome 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

$254.52

RBC ION Avion

Welcome Bonus

$35

RBC ION Avion

Annual Fee

First Year Value

$289.52

$254.52 in years after

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

Insurance Included*

Purchase Protection

90 days

Extended Warranty

1 year

Emergency Out of province Medical

$5M/insured Person Up to 15 days

Flight Delay

$500

Baggage Delay

$500

Hotel Burglary Insurance

$500

Lost or Stolen Baggage

$500

Travel Accident

$250,000

Car Rental Damage & Theft

$85K up to 48 days

Mobile Device Insurance

$1000

Insurance Included

Purchase Protection

90 days

Extended Warranty

1 year

Extra Benefits*

American Express Experiences

Extra Benefits

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

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 in Restaurants, Fast Foods, Coffee Shops, Food delivery and Groceries up to 12500 points monthly
3x points per $1 spent on eligible streaming subscriptions in Canada
2x points per $1 spent in standalone gasoline stations, Amex Travel online, travel services or local commuter transportation in Canada including ride share services
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*

American Express Membership Rewards

Loyalty Program

RBC ION Avion

Point Redemption Options*

Statement Credits

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

Statement Credits

1¢ / point

Gift Cards

0.765¢ / point

Merchandise

0.63¢ / point

Most Optimal

Transfer to WestJet

1¢ / point

Travel

0.6¢ / point

Financial Products

0.83¢ / 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?

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

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.

Other Comparisons

vs TD Aeroplan® Visa Infinite* Card

vs Rogers Red Mastercard®

vs Scotiabank Gold American Express® Card

vs Scotiabank Passport® Visa Infinite* Card

vs Rogers Red World Elite® Mastercard®

vs Walmart Rewards™ Mastercard®

vs Walmart Rewards™ World Mastercard®

vs American Express Gold Rewards Card®

vs Neo Credit Card

vs RBC ION+ Visa

vs Simplii Financial™ Cash Back Visa* Card

vs American Express® Green Card

vs PC World Elite Mastercard

vs MBNA Rewards World Elite® Mastercard®

vs Scotia Momentum® Visa Infinite* Card

TD® Aeroplan® Visa Infinite Privilege* Credit Card

vs TD® Aeroplan® Visa Infinite Privilege*

vs SimplyCash™ Preferred Card from American Express

vs Amazon.ca Rewards Mastercard®

vs Tangerine Money-Back Credit Card

vs BMO CashBack® World Elite® Mastercard®

vs CIBC Costco Mastercard

vs Scotia Momentum® Visa* Card

vs American Express® Aeroplan®* Card

vs American Express® Aeroplan®* Reserve Card

vs SimplyCash® Card from American Express

vs American Express Platinum Card®

Other Comparisons

vs RBC ION+ Visa

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.

Annual Fees and Requirements
Rewards
Reward Redemption Options
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 for full details and current product information.

¹ 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%.