| Presently, the $12.99/month card earns: | Effective Oct. 8, 2024, the American Express Cobalt Card will earn: |
|---|---|
| • 5 points per dollar on groceries and dining | • 5 points per dollar on groceries and dining |
| • 3 points per dollar on streaming services | • 3 points per dollar on streaming services |
| • 2 points per dollar on travel, gas, and transit | • 2 points per dollar on gas and transit |
| • 1 point per dollar on everything else | • 1 point per dollar on travel and all other purchases |
How these changes impact cardholders
For many years, the American Express Cobalt Card was a top credit card in Canada, with credit card experts like myself using it as a daily credit card for everyday purchases. The card’s strengths remained in the 5x grocery and dining multiplier, while travel and transit was a close second.
These changes impact cardholders benefitting from the Cobalt Card for significant travel purchases. I would argue that for users looking for a credit card for travel purchases, the Cobalt Card wouldn’t have been their first choice as there are better options – not only within the American Express family, but with other financial institutions. The Cobalt Card truly shines in the 5x accelerator which will remain unchanged.
Coupled with American Express Membership Rewards that allows you to transfer points into a variety of airline and hotel partners, including Aeroplan, the versatility and flexibility of MR points make the currency even stronger.
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Start Trading TodayShould I keep this card or look for a new credit card?
If you currently have the American Express Cobalt Card, you’re probably reaping the benefits of the 5x dining and grocery accelerator over the soon-to-be-reduced travel multiplier. The dining and grocery, streaming, and transit and gas accelerators remain unchanged after October 8, 2024.
For those considering the American Express Cobalt Card, the product has always excelled for the five points per dollar on grocery and dining purchases. Luckily this card remains one of the best products for that category.
If you are looking for a credit card with a strong travel multiplier, the American Express Gold Card and American Express Platinum Card remain good alternatives. They offer two points per dol
lar on travel purchases and are better designed for travel perks with lounge benefits, stronger travel interruption and insurance protection and annual travel credit.
Bottom line
Unfortunately, these changes can occur on credit cards, which is why it’s typically best practice to use the points while you have them. Similar changes were made last year to the American Express Platinum Card where the dining multiplier dropped to two points per dollar from three points per dollar.
For current and new cardholders, even with the changes that go into effect on October 8, 2024, the American Express Cobalt Card remains one of the best credit cards in Canada for earning on everyday purchases.
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