The American Express Cobalt Card is widely regarded as one of the best credit cards in Canada, and for good reason. Let’s delve into the perks and features that make it stand out from the crowd.

Points System

The Cobalt Card offers an impressive points system that caters to various spending habits. You earn five times the points on eats and drinks, three times the points on streaming services, two times the points on travel and transit, and one extra point on every other purchase. This makes it exceptionally rewarding for everyday expenses, including groceries, dining out, entertainment, and travel.

Additional Points in the First Year

During the first year, cardholders can earn an additional 2500 points for every month they spend over $500, up to a maximum of 30,000 additional points. This generous incentive structure adds significant value, especially for those with higher monthly expenditures.

Value for Money

When analyzing the value of the points earned, the Cobalt Card proves to be highly lucrative. By spending in various categories, cardholders can potentially accumulate substantial points, translating to significant monetary value. Additionally, the annual fee is reasonable when weighed against the overall benefits, making it a financially sound choice for many individuals.

How can I maximize the value of the Cobalt Card’s points system?

Maximizing the value of the American Express Cobalt Card’s points system is essential for reaping the full benefits of this exceptional credit card. Here are some strategies to make the most of the points system:

Strategic Spending

• Dedicate your grocery and dining expenses to the Cobalt Card to take advantage of the five times points multiplier in these categories.
• Opt for the Cobalt Card when subscribing to streaming services, as it offers three times the points for such expenditures.
• Use the card for travel and transit expenses to earn double the points, ensuring you maximize your rewards on these essential costs.

Maximizing Monthly Spending

To capitalize on the additional points in the first year, aim to consistently spend over $500 per month. This approach can lead to accumulating the maximum 30,000 additional points, significantly boosting your point balance.

Redeeming Points Wisely

When redeeming points, consider utilizing them for flights, hotel stays, event tickets, or gift cards to optimize their value. By leveraging the diverse redemption options, you can make the most of your accumulated points and enjoy tangible rewards.

What are the benefits of being able to transfer Amex points to airline programs?

Transferring your American Express (Amex) points to airline programs offers several compelling benefits, enhancing the value and versatility of your accumulated points.

Enhanced Redemption Options

By transferring Amex points to airline programs, you gain access to a wider array of redemption options, including flights, upgrades, and other travel-related rewards.

Maximized Point Value

Transferring points to airline partners can significantly maximize the value of your Amex points, particularly with programs offering a one-to-one conversion ratio. This allows for substantial point utilization and greater rewards.

Expanded Travel Opportunities

Transferring Amex points to airline programs opens up a world of travel opportunities, providing access to various destinations and flight options, thereby enriching your travel experiences.

Can I use Amex points for hotel stays as well?

Yes, you can leverage your American Express (Amex) points for hotel stays, expanding the utility of your points beyond just flights and travel-related expenses.

Hotel Program Transfers

Amex points can be transferred to select hotel programs, such as Hilton Honors and Marriott Bonvoy, offering a seamless avenue to redeem your points for hotel stays.

Attractive Conversion Rates

When transferring points to hotel programs, the American Express Cobalt Card provides a favorable one-to-one conversion, ensuring that your points retain their value and can be utilized effectively for accommodations.

Additional Hotel Benefits

In addition to point transfers, the Amex Cobalt Card offers a $100 USD credit for use at participating hotels, allowing cardholders to enjoy supplementary perks and amenities during their stays.

What kind of insurance coverage does the Cobalt Card provide?

The American Express Cobalt Card offers an extensive range of insurance coverage, safeguarding cardholders against various contingencies.

Warranty and Purchase Protection

• One-year extended warranty protection extends the manufacturer warranty for added peace of mind.
• 90-day purchase protection covers accidental damage or theft of a product, providing coverage of up to a thousand dollars.
• Mobile device protection offers coverage of up to a thousand dollars for the full purchase price of the phone.

Travel Insurance

• Travel accident policy provides coverage of up to 250,000 USD.
• Emergency medical coverage offers a maximum of five million dollars for eligible medical expenses during covered trips.
• Additional coverage includes flight delay, baggage delay, lost or stolen baggage, hotel burglary, and rental car theft and damage.

Are there any downsides to the Cobalt Card?

While the American Express Cobalt Card offers exceptional value, there are some downsides to consider before applying for this credit card.

Acceptance Criteria

A potential downside is the stringent acceptance criteria. Although there is no explicit income requirement, applicants are typically expected to have a solid credit score, likely above 700, to qualify for the card. However, there is a possibility of acceptance with a credit score in the high 600s, but it’s not guaranteed.

Annual Fee

The annual fee of $155 may deter some individuals, despite the substantial benefits the card offers. It’s important to weigh the annual fee against the card’s perks to determine if it aligns with your financial goals and spending habits.

Merchant Acceptance

American Express cards are not as widely accepted as Visa or Mastercard due to the higher merchant fees charged to stores. This limited acceptance may pose an inconvenience, especially at retailers like Costco and certain other stores.

How to apply to American Express Cobalt Card?

To apply for the American Express Cobalt Card, follow these steps:

1. Visit the American Express website: Go to the official American Express Canada website and navigate to the Cobalt Card page: https://www.americanexpress.com/en-ca/credit-cards/cobalt-card/
2. Review the card details: Familiarize yourself with the card’s features, benefits, rewards program, fees, and requirements.
3. Click “Apply Now”: Once you’ve decided to apply, click the “Apply Now” button on the card’s page.
4. Complete the application: Fill out the application form with your personal information, financial details, and employment information.
5. Submit your application: After reviewing your information for accuracy, submit your application.
6. Wait for a decision: American Express will review your application and notify you of their decision, usually within a few days to a few weeks.

Eligibility Requirements:

To be eligible for the American Express Cobalt Card, you must meet the following criteria:

• Be a Canadian resident
• Have a Canadian credit file
• Be the age of majority in your province or territory

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