BEST CREDIT CARDSBEST CREDIT CARDSAEROPLAN CREDIT CARD REVIEW: BIG INCENTIVES FOR BIG SPENDERS

Aeroplan Credit Card Review: Big Incentives for Big Spenders

The card offers a generous bonus and valuable Air Canada-specific perks, and is rewarding in many spending categories
Funto Omojola Author Avatar
Oct 15, 2024 11:10 a.m. PDT
Edited by
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The Bottom Line

5.0

NerdWallet rating

Loyal Air Canada customers who can spend enough to make use of the card’s airline-specific benefits will get the most value out of the card.

Aeroplan® Credit Card Image
Apply Now
on Chase's website
on Chase's website
Aeroplan® Credit Card
Annual Fee
$95
Rewards Rate
1x-3x
Points
Intro Offer
Up to 100,000 Points
Recommended credit score
Intro APR
N/A
Regular APR
21.24%-28.24% Variable APR
Recommended credit score
Annual Fee
$95
Rewards Rate
1x-3x
Points
Intro Offer
Up to 100,000 Points
Recommended credit score
Intro APR
N/A
Regular APR
21.24%-28.24% Variable APR
Recommended credit score

  • Annual fee

    $95

  • Rewards rate

    1x-3x

  • Bonus offer

    Earn 75,000 bonus points after you spend $4,000 on purchases in the first 3 months your account is open. Plus, 25,000 bonus points after you spend $20,000 on purchases in the first 12 months.

  • Intro APR

    N/A

  • Ongoing APR

    APR: 21.24%-28.24% Variable APR

    Cash Advance APR: 29.74%, Variable

    Penalty APR: Up to 29.99%

  • Balance transfer fee

    Either $5 or 5% of the amount of each transfer, whichever is greater.

  • Foreign transaction fee

    $0

  • Earn up to 100,000 bonus points
  • Earn 75,000 bonus points after you spend $4,000 on purchases in the first 3 months your account is open. Plus, 25,000 bonus points after you spend $20,000 on purchases in the first 12 months.
  • $95 Annual Fee
  • Redeem points for both international and domestic flights with the Aeroplan® Credit Card.
  • Fly to another continent and travel the world with the Aeroplan® Credit Card.
  • Earn 3X points for each dollar spent at grocery stores, on dining at restaurants, and Air Canada directly. Earn 1X point for each dollar spent on all other purchases.
  • 500 bonus points for every $2,000 you spend in a calendar month - up to 1,500 points per month.
  • Member FDIC

Pros and Cons

Pros

Bonus categories

Automatic elite status

Free checked bag

No foreign transaction fees

Cons

Has annual fee

Limited redemptions

Detailed Review

If your travels often take you to the Great White North, then Air Canada’s co-branded card, the Aeroplan® Credit Card, might be able to make your journeys easier.

The card, issued by Chase, rewards holders for purchases made with the airline and for some common everyday categories as well. It also offers a lucrative sign-up bonus plus attractive benefits like automatic elite status, rewards discounts and the ability to redeem your points for a statement credit against travel purchases — even travel that doesn't include the airline.

However, earning and retaining many of the card’s richest Air Canada-specific perks requires a lot of spending that can be difficult for most to meet. If you’re not a loyal Air Canada customer, you might be better off with a more flexible general travel rewards credit card.

Aeroplan® Credit Card: Key Features

Card type: Airline.

Annual fee: $95.

Sign-up bonus: Earn 75,000 bonus points after you spend $4,000 on purchases in the first 3 months your account is open. Plus, 25,000 bonus points after you spend $20,000 on purchases in the first 12 months.

Rewards:

  • 3 points per dollar spent on groceries.

  • 3 points per dollar spent at restaurants (including takeout and eligible delivery services).

  • 3 points per dollar spent on purchases made directly with Air Canada.

  • 1 point per dollar spent on all other purchases.

  • 500 bonus points for every $2,000 spent in a month (up to a maximum of 1,500 points per month).

NerdWallet values Air Canada points at about 1.4 cents, although the value can vary based on redemption options. Points can be redeemed for flights with Air Canada or one its airline partners, which include those across the Star Alliance network. Additional redemption options include car rentals, hotels, Air Canada vacation packages, upgrades, merchandise and more.

APR: The ongoing APR is 21.24%-28.24% Variable APR.

Foreign transaction fee: None.

Balance transfer fee: $5 or 5% of the amount of each transfer, whichever is greater.

Other benefits:

  • Automatic 25K status in the first year, which gives you perks like priority check-in, priority boarding and upgrades.

  • Earn a one-level status boost to 35K Status or higher when you spend $50,000 or more on your card in one year.

  • Pay Yourself Back: Redeem points for statement credit to cover any travel purchases made on the card.

  • First checked bag is free on Air Canada flights for you and up to eight other passengers on the same reservation.

  • $100 Global Entry, TSA PreCheck® or NEXUS statement credit every four years.

  • Travel protection benefits, including rental collision damage waiver, trip cancellation or interruption insurance, baggage delay insurance, trip delay reimbursement and roadside assistance.

🤓Nerdy Tip

Chase added Aeroplan as a transfer partner in August 2021. This means that if you have a card that earns Chase Ultimate Rewards®, you can transfer your points, at a 1:1 ratio, to the Aeroplan loyalty program.

Compare to Other Cards

ANNUAL FEE
$95
INTRO APR
N/A
REGULAR APR
21.24%-28.24% Variable APR
RECOMMENDED CREDIT SCORE
ANNUAL FEE
$0
INTRO APR
0% intro APR for 15 months on purchases and balance transfers
REGULAR APR
18.74%-27.74% Variable APR
RECOMMENDED CREDIT SCORE
ANNUAL FEE
$95
INTRO APR
N/A
REGULAR APR
20.99%-27.99% Variable APR
RECOMMENDED CREDIT SCORE
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Benefits and Perks

Generous sign-up bonus

On top of elite status for newcomers, the Aeroplan® Credit Card also features the following sign-up bonus: Earn 75,000 bonus points after you spend $4,000 on purchases in the first 3 months your account is open. Plus, 25,000 bonus points after you spend $20,000 on purchases in the first 12 months.

Rewards for other spending

The Aeroplan® Credit Card pays holders for more than just travel-related spending. In addition to earning bonus points for purchases made with Air Canada, you’ll earn 3 points per dollar spent on groceries and at restaurants (including takeout and eligible delivery services). Because your rewards-earning isn't tied to Air Canada or to travel-specific spending for that matter, you can rack up points with the card more easily.

In addition to these ongoing rewards, cardholders have the ability to pile on even more bonus points. You can earn an additional 500 points for every $2,000 that you spend each month, up to a maximum of 1,500 points. For most, maxing out this offer by spending $6,000 a month would be difficult to do, even if you exclusively use the Aeroplan® Credit Card.

Automatic elite status for new cardholders

New account openers will also automatically get Aeroplan 25K Elite Status, the entry-level tier in Air Canada’s loyalty program. You’ll have this status for the rest of the first calendar year of cardholding and for the consecutive year as well.

To maintain 25K status, you’ll have to spend at least $15,000 each calendar year. Not many airline cards allow holders the opportunity to spend toward status.

The 25K status comes with attractive perks on Air Canada flights, including early boarding, priority check-in and upgrades, 50% discount on preferred seats and more.

Boost status and benefits through credit card spending

In addition to the $15,000 yearly spend requirement to maintain Aeroplan 25K status, you can also earn a one-level status boost from your existing status for the next year, when you spend $50,000 in a calendar year.

Earning these benefits requires a hefty amount of spending that can be difficult for most to meet. But the perks that come with hitting the spending thresholds can be particularly valuable for loyal Air Canada customers. Plus, because you’ll earn bonus rewards for more than just Air Canada purchases, it can be easier to rack up your spending with the card.

Free checked bags

When you use your card to pay for an Air Canada flight, you’ll get one free checked bag for you and up to eight additional people in your reservation. This is one of the more generous free-baggage policies among airline cards that offer it and can provide generous savings — particularly if you’re traveling with a large party. Air Canada typically charges $35 Canadian dollars (about $25 in U.S. dollars as of March 2024) for a first checked bag for economy class travel.

Redeem points for statement credit to cover any kind of travel

Have a pile of Aeroplan points but you're not flying anytime soon? The card's unique Pay Yourself Back® feature allows you to redeem those points for a statement credit to cover travel purchases made with your card, including hotels, car rentals, rideshare, cruises, flights on any airline and more.

Each point is worth 1.25 cents when redeemed against an eligible travel purchase. That's notable, because while it's lower than NerdWallet's value of an Aeroplan point (currently 1.4 cents), it's still a good value. Generally, if other branded travel credit cards offer the ability to use points for things other than travel with that brand, their value is greatly diminished. You can redeem your points for statement credit for up to 90 days after your purchase.

Drawbacks and Considerations

Other cards can offer more flexibility

Points earned from the Aeroplan® Credit Card can be redeemed for flights across multiple airlines, including those in the Star Alliance network. But United Airlines is the only domestic airline in the Alliance; all other airlines are internationally based.

Additionally, most of the card’s benefits like elite status, a free checked bag and reward discounts are tied to Air Canada.

A general travel card like the Chase Sapphire Preferred® Card, for example, that isn’t tied to one airline or network can offer greater redemptions and benefits flexibility. Rewards earned with the card can be redeemed for a variety of options including for travel booked through Chase at the rate of 1.25 cents per point. You can also transfer points at a 1:1 ratio to a number of domestic and international airline and hotel travel partners, including Air Canada Aeroplan. The card charges an annual fee of $95.

Aeroplan also partners with American Express. You can transfer Membership Rewards earned from several cards, like the American Express® Gold Card and the The Platinum Card® from American Express, to Aeroplan at a 1:1 rate.

Keep in mind, though, that such general travel cards typically don't come with airline-specific perks. For more options, check out NerdWallet's list of best credit card offers.

It has an annual fee

For people who fly Air Canada frequently, the Aeroplan® Credit Card certainly packs a punch. But if you rarely visit Canada (or just don't want to pay an annual fee), the card's $95 annual fee could be a dealbreaker.

The Wells Fargo Autograph℠ Card is a good $0-annual-fee alternative. Cardholders earn an unlimited 3 points per dollar spent on:

  • Restaurants.

  • Travel and transit.

  • Gas and EV charging stations.

  • Popular streaming services.

  • Select phone plans.

Other purchases earn 1 point per dollar. You can redeem purchases several different ways, including transferring them to a couple of airline and hotel travel partners — though Air Canada isn't an option.

How To Decide If It's Right For You

The Aeroplan® Credit Card stands apart from most other airline cards by offering rewards for everyday purchases, which not many other similar cards do. It is also the only airline credit card that lets you redeem airline points for a statement credit against any travel purchases. But its richest benefits are tied to Air Canada and require a great deal of spending. To this end, the card is ideal for Air Canada loyalists who can spend enough to take advantage of the card’s brand-specific perks. Not sure this card is for you? See our picks for best credit cards here.

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Alternate Pick: Flexible redemption options
Transfer points to Aeroplan and many more partners

Earn bonus rewards in a variety of popular spending categories like dinning and groceries. Points can be redeemed for travel booked through Chase or can be transferred, at a one-to-one ratio, to a number of domestic and international airline and hotel partners. The card charges an annual fee of $95.


Methodology

NerdWallet reviews credit cards with an eye toward both the quantitative and qualitative features of a card. Quantitative features are those that boil down to dollars and cents, such as fees, interest rates, rewards (including earning rates and redemption values) and the cash value of benefits and perks. Qualitative factors are those that affect how easy or difficult it is for a typical cardholder to get good value from the card. They include such things as the ease of application, simplicity of the rewards structure, the likelihood of using certain features, and whether a card is well-suited to everyday use or is best reserved for specific purchases. Our star ratings serve as a general gauge of how each card compares with others in its class, but star ratings are intended to be just one consideration when a consumer is choosing a credit card. Learn how NerdWallet rates credit cards.

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