Is the Amex Cobalt Card Valuable in Canada? – PointsWise

The American Express Cobalt Card is highly esteemed in Canada, particularly for individuals whose significant monthly expenses revolve around food and travel.

Here is a summary of the benefits associated with the Cobalt Card to assist you in determining whether it suits your needs.

Amex Cobalt Card Benefits

Points Earning Potential

Welcome Bonus

New Cardmembers can earn up to 15,000 Membership Rewards (MR) points as a welcome bonus during the first year by meeting the spending requirements. You can earn 1,250 MR points for each month in which you spend $750 on your card.

Flexible Points Redemption

A significant advantage of the Cobalt Card is its flexible Membership Rewards program, allowing you to redeem points for travel, statement credits, gift cards, or, for the best value, transfer them to partner airline and hotel loyalty programs.

Travel Insurance

The Cobalt Card comes with travel emergency medical coverage, flight delay insurance, baggage loss/delay coverage, car rental theft/damage protection, and hotel/motel burglary insurance.

If you seek more extensive travel insurance benefits, consider the Gold Rewards Card or Platinum Card, which offer a broader range of travel perks.

Additional Perks

As a Cardmember, you will gain access to exclusive events, unique dining experiences, and entertainment offers through American Express Invites, as well as priority access for concerts and shows.

Learn More: How to Get the Best Concert Seats with Amex Presales

Monthly Fee

The monthly fee for the Cobalt Card is $12.99, amounting to $155.88 annually.

Pros and Cons of the Cobalt Card

Still weighing your options about the Cobalt Card? Below is a summary of its pros and cons:

Pros

• High Earning Rates: Especially advantageous for those who spend significantly on food and travel.
• Flexible Redemption Options: Maximizes your points’ value by allowing transfers to airline and hotel loyalty programs.
• Comprehensive Travel Insurance: Offers extensive coverage which can lead to savings for frequent travelers.
• Monthly Fee Structure: More manageable than a hefty annual fee.

Cons

• Limited Acceptance: American Express is not as widely accepted as Visa or Mastercard in Canada; for example, Loblaws and Costco do not accept Amex.
• Monthly Spending Cap: The 5x points earning rate on groceries, restaurants, and food delivery is capped at $2,500 monthly, after which it reverts to 1 point per dollar.
• Foreign Transaction Fee: Imposes a 2.5% fee on foreign currency transactions.

Learn More: Is it Hard to Get Approved for an Amex Cobalt Card in Canada?

Conclusion: Is the Amex Cobalt a Good Card?

Yes, the Cobalt Card is recognized as a strong rewards card in Canada.

It is especially valuable if you expend most of your budget on food and travel, allowing you to maximize points earning potential and flexible redemption options.

As a versatile rewards card, you can transfer points to airline and hotel loyalty programs for optimal value, or redeem them for statement credits with 10,000 Amex points equating to a $100 statement credit.

However, if you frequently shop at establishments that do not accept Amex or prefer a card with no foreign transaction fees and enhanced travel benefits, you may want to explore the Gold Rewards Card instead.

Learn More at Amex: Where is Amex Accepted in Canada?