Get Paid to Go to the Store: Here's How
By: Nelson Smith on January 13, 2015
One thing every Canadian can do to improve their finances in 2015 is get serious about credit card rewards points.
There are simply too many of us who are using a credit card with a pitiful rewards program. Getting 0.5% cash back might seem like a good idea when the alternative is nothing, but you’re leaving some serious rewards on the table. Let’s take a look at a couple of rewards credit cards and just how much free money you can earn from them.
Aeroplan is one of Canada’s most popular rewards programs. Who doesn’t want to earn a little time in the sun just for making the purchases you’d normally be making anyway?
The TD Aeroplan Visa Infinite card gives new cardholders a 15,000 Mile bonus just for signing up, which is enough for two $50 American Express gift cards and still some points left over.
Plus, you’re looking at 1.5 Aeroplan Miles for every dollar spent at grocery stores, drug stores, gas stations, and for travel at Air Canada’s website. Everything else put on the card earns Miles at a 1% rate, and if you use the card anywhere that already gives out Aeroplan Miles as a bonus (like Delta Hotels, Esso gas stations, UPS stores, or online at Shop.ca) you can earn double Miles just by showing your Aeroplan card.
Say you charged $1,000 per month on the card, splitting it equally between 1.5% and 1% rewards. Including the sign-up bonus, you’d be looking at 30,000 Miles worth of rewards within a year, which is enough for a $250 Air Canada gift card.
There are a few restrictions to the TD Aeroplan Visa Infinite card. You need an income of $60,000 for an individual (or $100,000 for a household) to qualify, and you’ll need good credit. Plus, there’s a $120 annual fee. Essentially, you’ll need to be a reasonably big spender to get great value from the card.
If travel reward points aren’t your thing, then how about getting back cold hard cash with the Scotia Momentum Visa Infinite card? You’ll get 4% cash back from any spending at grocery stores or gas stations, 2% cash back from the drugstore or recurring bills, and 1% cash back from everything else. Plus, we’ll give you a $25 gift card upon approval. That’s not quite as exciting as the travel rewards, but it’s all in cash. There’s nothing more flexible than that.
Say you’re going to spend $1,000 per month on the card and can average 2% cash back. Over the course of a year that’s $240 worth of rewards, plus the $25 gift card. And if you apply by the end of February, the annual fee of $99 gets waived for the first year.
Like the TD Aeroplan Visa, the Scotia Momentum Visa has a few restrictions. Scotiabank is looking for more affluent cardholders, with long credit histories and a reasonable amount of income and assets. There’s no specific dollar amount cutoff, but it’s certainly one of the more difficult cards to qualify for.
You’re not just limited to these two cards. We have credit cards that have all sorts of interesting rewards, and I’m sure you can find something that tickles your fancy.
Financial institutions are willing to give you all sorts of perks, bonuses, and rewards in order to get you as a customer. Assuming you use them responsibly and pay back what you charge promptly, it’s a great chance to make a few bucks without doing practically anything, which is particularly attractive during this time of year when holiday bills are rolling in.
