For wealthy Canadians, there’s a different set of expectations when choosing a credit card.
“People who spend hours trying to maximize their welcome bonuses, access lounges for free, or get a singular free night are working on a different level from high-net-worth individuals,” says Jonathan Lee, financial expert at NerdWallet Canada. “Anyone with that amount of money is unconcerned with these perks.”
Instead, Lee says HNW and ultra-high-net-worth cardholders value prestige, purchasing power, problem-solving and protection. That may mean recognition for holding an exclusive card, ultra-high spending limits on premium cards, 24/7 concierge service to assist with travel, entertainment and dining, or comprehensive insurance coverage.
According to experts, here are some of the best credit cards for HNW and UHNW Canadians:
American Express Centurion Card
Cost: According to Lee, there is a $5,000 annual fee and $10,000 initiation fee.
This is the most exclusive card available for UHNW individuals and can be obtained only by direct invitation from American Express, Lee says.
“Don’t expect to find many details online,” Lee said. “You’ll either get the call or you won’t.”
Canadian Family Offices reached out to Amex to confirm card details, but a spokesperson said the company does not disclose information about the Centurion card.
Pros: Centurion users have access to concierge services, opening the door to a network of restaurants, event venues, travel agencies and more, Lee says. The prestige of carrying the card is another major perk, he adds.
Cons: Family offices with personal assistants may find concierge services unnecessary, Lee says. American Express also isn’t accepted everywhere, notes Barry Choi, a money and travel expert, meaning cardholders may still need a Visa or Mastercard as a backup.
The American Express Platinum Card
NerdWallet ranks this the highest-end consumer credit card readily available in Canada, with some of the best perks for travel, dining and entertainment.
Cost: $799 annual fee
Pros: Cardholders get a $200 annual travel credit and $200 dining credit, which reduces the effective annual fee for people who use both, Choi says.
Choi says other perks include:
- Centurion, Priority Pass and Plaza Premium lounge access
- Marriott Gold and Hilton Gold hotel status
- Strong travel insurance
- Access to Amex Fine Hotels and Resorts and Amex Front Of The Line. The latter offers pre-sale tickets to in-demand concerts and other special events.
- Points that can be transferred to Aeroplan, Air France-KLM Flying Blue, Marriott Bonvoy and others
Cons: “No premium card is automatically worth its annual fee,” Lee says. Even with boosted earn rates, cardholders won’t make back the annual fee through spending alone without dropping at least $40,000.
Rogers Red World Legend Mastercard
Cost: $495 annual fee
Pros: This card stands out as the highest Mastercard tier available in Canada, Choi says.
Other perks Choi highlighted include:
- Up to three per cent cash back for Rogers, Fido, Comwave or Shaw users when redeemed for services; two per cent for everyone else
- No foreign exchange fees
- 10 Roam Like Home days
- $200 Rogers entertainment credit
- Six Plaza Premium Passes
- Mastercard World Legend Perks (Soho Friends account, dining and entertainment access, and more)
- Strong travel insurance
Cons: To maximize the cash-back option, cardholders need to be customers of Rogers, Fido, Comwave or Shaw, Choi says.
TD or CIBC Aeroplan Visa Infinite Privilege
Cost: $599 annual fee
Pros: These are the top-tier Aeroplan cards for Air Canada loyalists, Choi says.
He says perks include:
- Maple Leaf Lounge access
- Six Visa Airport Companion Program lounge passes
- Priority check-in and boarding
- First checked bag free
- Strong travel insurance
- Ability to earn Status Qualifying Credits toward Aeroplan Elite Status
- Ability to earn a companion pass
Cons: Choi says some travel perks become less meaningful for travellers already flying business class, since their fare may include benefits such as lounge access and priority boarding.
RBC Avion Visa Infinite Privilege
Cost: $399 annual fee
Pros: RBC’s Avion points are flexible in that they can be transferred to airline partners such as British Airways and Cathay Pacific, Choi says. Travellers are not tied to Aeroplan.
Choi says other perks include:
- VIP airport lounge access via DragonPass
- Strong travel insurance
- Avion points that can be redeemed toward business and first-class airfare at a value of two cents per point, double the standard redemption rate
Cons: Some other cards may have better earn rates on certain categories, such as groceries, Choi says.
Scotiabank Passport Visa Infinite Privilege
Cost: $599 annual fee
Pros: This premium Visa stands out because it doesn’t charge foreign transaction fees, which is rare in Canada, Choi says. Most charge about 2.5 per cent.
Choi says other perks include:
- 10 free lounge visits per year
- $250 annual travel credit
- Strong travel insurance
- Scotiabank points can be used on any travel purchase
- Visa Infinite Privilege benefits, including access to the Visa Infinite Luxury Hotel Collection and Visa Infinite Dining Series, TIFF perks and global mobile data plans
Cons: Someone looking to maximize the value of their points may prefer an Aeroplan Visa Infinite Privilege card because Aeroplan points can potentially be worth more, Choi says.
Wealthsimple Visa Infinite Privilege
Cost: The annual fee is $240, charged at $20 per month (outside of Quebec). Wealthsimple says the fee is waived for clients with at least $100,000 in individual net deposits or total assets with the company, excluding business or corporate accounts, or who direct deposit at least $4,000 a month into a Wealthsimple chequing account.
Pros: Wealthsimple is a good option for people who prefer straightforward cash back rather than worrying about how to maximize the value of points, Choi says.
- Two per cent cash back on eligible purchases
- No foreign exchange fees
- Premium travel and purchase protection and rental car insurance
- Access to more than 1,200 airport lounges through Visa Airport Companion
- Select Luxury Hotel Collection benefits and 24/7 support
Cons: It’s a good card if you’re already with Wealthsimple. But the fintech clearly wants you to put your money in with them, Choi says. Even if you’re HNW, it’s not worth it if the fee isn’t waived.
Choosing the right card
When considering a card, think about the rewards you’re earning. If you enjoy travelling without paying a dime, and you know you’ll be flying Air Canada, then it makes sense to choose an Aeroplan or American Express credit card. If you prioritize cash back over optimizing the points system, then the Rogers or Wealthsimple card may be a better fit.
Each card is unique, with its own set of perks. And, HNW or not, Canadians may opt for more than one credit card, Choi adds.
Leah Golob is a Toronto-based freelance business journalist covering business, personal finance and consumer issues. Her work has appeared in The Globe and Mail, The Toronto Star, the Canadian Press, The Logic and Yahoo Finance Canada. She has been recognized with awards from the Portfolio Management Association of Canada (PMAC) and the Society for Advancing Business Editing and Writing (SABEW Canada).
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