Aeroplan® Credit Card from Chase Review

In the ever-evolving world of credit cards, finding a card that aligns perfectly with your spending habits and rewards preferences is a game-changer. Enter the Aeroplan® Credit Card from Chase, a card designed specifically for those with a penchant for travel, dining, and grocery shopping. With a robust rewards structure and a suite of travel perks, this card promises to deliver substantial value to its users.
As a financial expert, I’ve delved deep into the intricacies of this card to provide you with a comprehensive review. Whether you’re a frequent flyer, a foodie, or someone who enjoys the occasional grocery shopping spree, this review will help you determine if the Aeroplan® Credit Card is the right fit for you.

Aeroplan® Credit Card from Chase Key Takeaways

When assessing a credit card, it’s crucial to understand its core offerings at a glance. Here are the key takeaways of the Aeroplan® Credit Card from Chase:
– Rewards Structure: Earn 3x points on grocery stores, dining at restaurants (including takeout and eligible delivery services), and purchases made directly with Air Canada. All other purchases earn 1x point per dollar spent.
– Welcome Bonus: Earn 60,000 bonus points after spending $3,000 on purchases in the first 3 months.
– Annual Fee: $95
– Interest Rates: Variable APR ranges from 21.74% to 28.74%.
– Credit Score Requirement: Good to Excellent (670-799)
– Travel Perks: Includes free first checked bags, no foreign transaction fees, and various travel insurance offerings.

Aeroplan® Credit Card Pros and Cons

Every credit card comes with its set of advantages and disadvantages. Here’s a detailed look at the pros and cons of the Aeroplan® Credit Card from Chase:

Pros

1. Generous Rewards on Key Spending Categories: The card offers 3x points on grocery stores, dining, and Air Canada purchases. This makes it an excellent choice for frequent travelers and those who spend significantly on dining and groceries.
2. Attractive Welcome Bonus: The 60,000 bonus points after spending $3,000 in the first 3 months is a compelling offer, especially if you’re planning a big purchase or regular monthly spending.
3. Travel Benefits: Cardholders enjoy a plethora of travel perks, including free first checked bags, no foreign transaction fees, and preferred pricing on flight rewards.
4. Comprehensive Travel Insurance: From trip cancellation and interruption insurance to baggage delay insurance, the card offers extensive travel coverage, ensuring peace of mind during your journeys.
5. Global Entry or TSA Pre✓® or NEXUS Fee Credit: Receive a statement credit of up to $100 every 4 years for the application fee, making your travel experience smoother and more efficient.

Cons

1. Annual Fee: The $95 annual fee might be a deterrent for some users, especially those who don’t travel frequently or spend significantly on groceries and dining.
2. High APR: With a variable APR ranging from 21.74% to 28.74%, carrying a balance on this card can be expensive. It’s best suited for those who can pay off their balance in full each month.
3. Limited Redemption Options: While the card is excellent for Air Canada travelers, those who prefer other airlines might find the redemption options somewhat restrictive.
4. No Introductory APR: Unlike some other cards on the market, the Aeroplan® Credit Card does not offer an introductory APR on purchases or balance transfers.

Aeroplan® Credit Card Benefits

The benefits of the Aeroplan® Credit Card extend beyond its rewards structure. Let’s delve into the various perks and features that make this card stand out:

Rewards Points

The card’s rewards structure is designed to maximize your earnings on everyday spending and travel-related purchases:
– 3x Points on Grocery Stores: This is particularly beneficial for families and individuals who spend a significant portion of their budget on groceries.
– 3x Points on Dining: Whether you love dining out, ordering takeout, or opting for delivery services, you’ll earn triple points on all these transactions.
– 3x Points on Air Canada Purchases: Frequent flyers with Air Canada will find this especially rewarding, as it allows them to accumulate points quickly for future travels.
– 1x Points on All Other Purchases: While not as lucrative as the other categories, earning one point per dollar spent on general purchases ensures that every transaction contributes to your rewards balance.

Welcome Bonus

– 60,000 Bonus Points: By spending $3,000 within the first 3 months of account opening, you can earn a substantial 60,000 bonus points. This can go a long way in offsetting the cost of future travel or other redemptions.

Travel Perks

– Global Entry, TSA Pre✓®, or NEXUS Fee Credit: Get reimbursed up to $100 every 4 years for the application fee, making your travel experience more convenient and expedited.
– Free First Checked Bags: Enjoy the convenience of free checked bags for yourself and up to eight travel companions on the same reservation when flying with Air Canada.
– No Foreign Transaction Fees: Save money on purchases made outside the United States, making this card a great companion for international travelers.
– Preferred Pricing on Flight Rewards: Benefit from lower point requirements for flight rewards, allowing you to stretch your points further.

Travel Insurance

– Trip Cancellation/Interruption Insurance: Receive reimbursement of up to $1,500 per person and $6,000 per trip for non-refundable passenger fares if your trip is canceled or interrupted due to covered reasons such as sickness or severe weather.
– Baggage Delay Insurance: Reimburses essential purchases like toiletries and clothing for baggage delays over 6 hours, up to $100 per day for 3 days.
– Trip Delay Reimbursement: If your travel is delayed over 12 hours or requires an overnight stay, you and your family are covered for unreimbursed expenses, such as meals and lodging, up to $500 per ticket.

Purchase Protection

– Auto Rental Collision Damage Waiver: Decline the rental company’s insurance and charge the rental cost to your card to be covered for theft and collision damage for most cars in the U.S. and abroad.
– Roadside Assistance: In case of a roadside emergency, you can call the Benefit Administrator to dispatch help, with the service fees billed to your card.

Rates and Fees

– Annual Fee: The card comes with a $95 annual fee, which is relatively standard for a card with such extensive benefits.
– APR: The variable APR ranges from 21.74% to 28.74%, which is on the higher side. It’s crucial to pay off your balance in full each month to avoid high-interest charges.
– Balance Transfer and Cash Advance Fees: Fees for balance transfers are either $5 or 5% of the amount, whichever is greater. Cash advances incur a fee of either $10 or 5% of the amount, whichever is greater.
– Penalty Fees: Late payments and returned payments can attract fees of up to $40.

Conclusion

The Aeroplan® Credit Card from Chase is a robust offering tailored for those who value travel rewards, particularly with Air Canada. Its generous rewards structure, coupled with a compelling welcome bonus and extensive travel perks, makes it an attractive option for frequent travelers and those with significant spending on dining and groceries.
However, the card’s $95 annual fee and high variable APR may not appeal to everyone, especially those who don’t travel frequently or struggle to pay off their balance in full each month. Additionally, the lack of an introductory APR offer might be a drawback for some users.
In summary, if you’re someone who frequently flies with Air Canada, spends generously on dining and groceries, and can leverage the card’s travel benefits, the Aeroplan® Credit Card from Chase is likely to provide substantial value. On the other hand, if your spending habits and travel preferences don’t align with the card’s rewards structure, you might want to explore other options that better suit your needs.
Ultimately, the decision to apply for the Aeroplan® Credit Card should be based on a thorough assessment of your spending habits, travel frequency, and financial goals. By doing so, you can ensure that you choose a credit card that not only meets your needs but also enhances your overall financial well-being.