Sunday, November 19, 2017

The Best Way to Use Your AmEx Cobalt Card

We introduced the new AmEx Cobalt Card before (click here). You can earn 5X points for every $1 spent on card purchases at eligible restaurants, bars, grocery stores in Canada. I value one AmEx MR Select point as 1.5¢ (because it can be converted to SPG now). So, it is around 7.5% return from restaurant/grocery stores, which is amazing. I think this is one of the best credit cards in Canada

Some people may say it is not convenient to get the 5X points as it is an AmEx card. But, there is another way to use your AmEx Cobalt Card. You can use it to buy gift cards (including Shell, Amazon, Netflix, Cineplex, Restaurant, iTune, etc) from your local grocery stores where they take AmEx. Therefore, you can get 7.5% return from those shops too.

And if there is some 7-Eleven grocery stores (not those 7-Eleven with a gas station. It need to be a separate 7-Eleven to be treated as a grocery store) around your neighborhood, you should go there and have a try. You can buy the $500 prepaid MasterCard from those 7-Eleven (fee $7.95 + tax = around $9). As it is a MasterCard, basically you can use it almost everywhere, even buy Costco Cash Card online. The return rate is: (2545*1.5/100 - 8.99)/508.99 = 5.7% 【if you only value 1 MR Select points as 1¢, then the return rate is (2545*1/100-8.99)/508.99 = 3.2%】  => The numbers here are based on 5X points at eligible grocery stores. If the promo is 10X, please double these numbers.

Note: This method is YMMV. Some 7-Eleven may not be treated as a grocery store. Some 7-Eleven may not allow you to buy prepaid MasterCard by credit card; some 7-Eleven may not take AmEx; some 7-Eleven may not charge you the fee... (see the pic above. One 7-Eleven charged the fee, and another did not). You need to test it yourself. And please don't come back to complain if it does not work out for you. All we provide here is just an idea...

BTW, if you want to apply AmEx Cobalt, please use our referral link below. Thanks.
Apply Now

If you apply AmEx Cobalt Card by Jan 30, 2018, you can earn up to 40000 MR:
  • In your first year as a new Cobalt Cardmember, you can earn 2,500 Membership Rewards points for each monthly billing period in which you spend $500 in purchases on your Card. This could add up to 30,000 points in a year
  • Apply by 01/30/18 and you can earn a Welcome Bonus of 10,000 Membership Rewards points when you spend a total of $3,000 in purchases in your first 3 months