Personal Finance

Tiered credit cards

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  • Feb 24th, 2015 6:42 pm
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Sr. Member
Apr 8, 2007
872 posts
337 upvotes

Tiered credit cards

I may be able to charge a large amount through my credit card this year ($100,000) -- work related -- will get reimbursed.

I have no interest in aeroplan.

SPG has a bonus at 30,000 and 40,000.

Are there any other cards which have a bonus or a high tier on their cards above a certain threshold?
10 replies
Deal Expert
Mar 25, 2005
22705 posts
3696 upvotes
Be cautious about charging work expenses to a personal expense only card.
Sr. Member
Apr 8, 2007
872 posts
337 upvotes
Thanks for that great advice.
Expenses are now personal.
Any tiered cards?
Sr. Member
Apr 28, 2014
675 posts
185 upvotes
Oakville, ON
ipassgas wrote: I may be able to charge a large amount through my credit card this year ($100,000) -- work related -- will get reimbursed.

I have no interest in aeroplan.

SPG has a bonus at 30,000 and 40,000.

Are there any other cards which have a bonus or a high tier on their cards above a certain threshold?
https://www.cibc.com/ca/credit-cards/ca ... rcard.html

This is cash back; unlike the other CIBC cash back cards, they don't cap your rewards after $50,000 - but they do cut them in half

First $3,000 is 0.5% cash back
Next $12,000 is 1.0% cash back
Next $20,000 is 1.5% cash back
Next $15,000 is 2.0% cash back
Any other annual spending beyond tier 4 (more than $50,000 annually) is 1.0% cash back

So, according to my math you could earn $1,235. But if you are getting reimbursed for this, you will have to declare this money as income per CRA rules:

http://www.cra-arc.gc.ca/tx/bsnss/tpcs/ ... u-eng.html
Sr. Member
Apr 8, 2007
872 posts
337 upvotes
Already have MBNA world elite at 2% straight cash back. Thanks though.
Any other tiered cards that you know of?
Deal Expert
Mar 25, 2005
22705 posts
3696 upvotes
ipassgas wrote: Thanks for that great advice.
Expenses are now personal.
Any tiered cards?
MBNA Rewards World Elite. If memory serves correct, I only recall one MBNA account being closed for business use. Capital One makes it routine.
Sr. Member
Apr 28, 2014
675 posts
185 upvotes
Oakville, ON
ipassgas wrote: Already have MBNA world elite at 2% straight cash back. Thanks though.
Any other tiered cards that you know of?
Is most of this spending going to be in the category of gas, grocery, restaurant or entertainment?

Scotia Gold AMEX gives you 4% back on spending in those categories up to $50,000; after which the return reduces to 1%. You get 1% on everything else.

First year is free and you get 20,000 bonus points provided you charge $1,000 or more in each of the first three months

http://www.scotiabank.com/ca/en/0,,4657,00.html
Sr. Member
Dec 22, 2013
930 posts
223 upvotes
EDMONTON
The Capital One Skymiles MC has a 10k points bonus when you spend $25k in a year. Signup bonus is 25k too. Not sure if that program is any good, but 35k of points should get you a decent round trip flight.

The RBC British Airways visa also has a tier bonus. If you spend 30k you get a companion award ticket.

I would personally stick to points cards and not cash back. Less chance of CRA coming after you.
Deal Expert
Feb 29, 2008
30106 posts
5547 upvotes
Montreal
I am aware of no card that has a tier higher than 2% on generic spending categories, only on selected categories (gas, restaurants, etcc). Furthermore, most cards have tiers that are regressive, not progressive.

The only one I can think of is the NBC world elite which tops out at 2.5% for forex transactions only.
Deal Addict
May 12, 2014
3487 posts
3894 upvotes
Montreal
Kasakato wrote: Be cautious about charging work expenses to a personal expense only card.
Could you provide more details on why? (assuming everything is properly documented for tax purposes)

Are you talking about amounts? Or kinds of expenses? Or something else?
Sr. Member
Apr 8, 2007
872 posts
337 upvotes
Thanks. Tsimpson76 I'll look into one of those.

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