American Express Cobalt® Card vs MBNA Rewards World Elite® Mastercard®: Which one is better?

Annual Fees and Requirements

The American Express Cobalt Card and the MBNA Rewards World Elite Mastercard both have comparable annual fees. However, while the Amex Cobalt Card does not have any specific income requirements, the MBNA Rewards World Elite Mastercard requires a minimum personal income or a minimum household income. This makes the MBNA card less accessible for some individuals, but it may appeal to those who meet the income criteria and are looking for a high-earning rewards card.

Rewards Comparison

The American Express Cobalt Card offers a strong rewards program, particularly for spending in categories like restaurants, grocery stores, and streaming services. The MBNA Rewards World Elite Mastercard also offers high rewards on groceries and dining, with a unique annual birthday bonus that boosts your yearly earnings. However, the overall yearly rewards potential with the Cobalt Card is generally higher, especially if your spending aligns with its top-earning categories. The reason Cobalt earns more is the higher value of American Express points and the coverage of gas and streaming service subscription categories by Cobalt.

Reward Redemption Options

When it comes to redeeming rewards, the American Express Cobalt Card offers more flexible and valuable options, particularly through point transfers to airline partners and other travel-related redemptions. Cashback options are available but offer lower value. The MBNA Rewards World Elite Mastercard also provides various redemption options, including travel and statement credits, but the overall value per point is generally lower compared to the Cobalt Card. For those seeking flexibility and higher value in their redemptions, the Cobalt Card is the better choice.

Benefits and Insurance

Both cards come with a robust set of benefits and insurance options, including travel-related protections and purchase insurance. However, the MBNA Rewards World Elite Mastercard offers a unique price protection feature that is not available with the Amex Cobalt Card. This can be a valuable perk for cardholders who frequently make large purchases and want added financial security.

Acceptance and Network

The American Express Cobalt Card, being an Amex product, is less widely accepted compared to the MBNA Rewards World Elite Mastercard, which is part of the Mastercard network. Mastercard is accepted at more locations across Canada, including Costco, and also treats Walmart as a grocery store, which is not the case with Amex. This makes the MBNA card more versatile for everyday spending in a wider range of locations.

Conclusion

For most users, the American Express Cobalt Card is likely the better choice due to its higher rewards potential, especially for those who spend significantly in its top-earning categories. However, the MBNA Rewards World Elite Mastercard is better suited for individuals who value broader acceptance, the unique price protection feature, and can meet the income requirements. Additionally, the MBNA card's annual birthday bonus may appeal to those looking for an extra boost to their rewards.