The question of which is the best travel credit card has been asked frequently. I would not say that there is one absolute best credit card out there. However, you can argue that there is a best credit card for specific travel situations. I have included 3 key factors to consider when determining which is the best credit card to use under certain situations.
Check out the list below and please let us know if you agree!
Best card for travel insurance and travel benefits
- $699 annual fee
- $175 fee for supplementary cardholders
- Earn 50,000 sign up Membership Rewards bonus points (after spending $1,000 in the first 3 months)
- Earn 1.25 point for every $1 spent on all purchases
- Receive a $200 Annual Travel Credit
- Receive a complimentary and discounted companion tickets and upgrades
- Airport lounge access worldwide
- Access to elevated status with many hotel & car rental loyalty programs
This is hands down the best credit card to cover your travel insurances and travel benefits. The $200 travel credit card, lounge access, companion pass, elite statuses, the list goes on. There is no question that if you are a frequent traveller, you will want to have this credit card in your wallet to make use of all the benefits associated with the card.
However, in terms of travel purchases, I have a different recommendation below. But yes, you are having the America Express Platinum Card not to use on travel purchases, but for its associated benefits.
Best credit card for foreign purchases
- $29 annual fee (waived the first year or waived so long as you have pre-authorized Rogers payments set up)
- Earn $25 cash back sign up bonus
- Earn 4% cash back on on foreign exchange purchases
- Earn 1.75% cash back on all purchases
- Apply cash back to purchases made in Rogers branded stores or monthly Rogers bill
The foreign transaction fee is not waived, but you do get 4% cash back on foreign purchases. Generally, you will see at least a 2.5% transaction fee on foreign purchases. With the 4% cash back, you are essentially get 1.5% back, which I think is the best current return in Canada.
The one catch is that you must use your cash back on Rogers products. So if you are not a Rogers client, then you may want to look at one of the Chase Canada credit cards.
Best return for your travel expenses
- $150 annual fee (waived the first year)
- $50 annual fee for a supplementary cardholder (first one is free)
- Earn 25,000 sign up Membership Rewards bonus points (after spending $1,500 in the first 3 monhts)
- Earn 2 points for every $1 spent on drug store, gas, grocery and travel purchases
- Earn 1 point for every $1 spent on all other purchases
I find American Express Membership Reward points the most valuable loyalty currency in Canada. The various options (frequent flyer partners, fixed reward redemption) that you can do with your points is what makes the program so valuable. I value 1 Membership Reward point at 1.7 cent a piece, so that means 2 points per dollar means you are getting at least a 3.4% return on travel purchases, which is the highest earning ratio out there.