How to Maximize Credit Card Rewards in Canada 2025

Canadians may find credit card rewards to be an effective way to make their dollars go further, whether in the form of cash back, travel benefits or points on everyday purchases. In 2025, when the costs are set to increase, it is crucial to maximize these rewards. The rewards of credit cards in Canada have never been worth more. By spending the right card, you can save a lot of money by redeeming points wisely and strategically. This handbook provides actionable advice to ensure you can make the best out of the best rewards credit cards in Canada in 2025, including all the details of choosing the card and the pitfalls to be avoided. Let’s get started!         

Understand Your Spending Habits

In order to maximize credit card rewards, begin by knowing your spending habits. Canadians typically incur a lot of expenses on food, fuel, eating out, and transportation. Keeping a record of your monthly expenditure over a period of time (a few months) can show you where you spend your money, which helps you select a card that suits your lifestyle.  For insights on selecting the right card, check out our guide on the top Canadian credit cards.

Take the case of groceries being your largest outlay, then you can consider the Scotiabank Gold American Express that provides 6x Scene+ points on certain grocery stores (up to 30,000 per year). In the case of gas and commuting, the CIBC Dividend Visa Infinite offers 4 % cash back on gas and groceries. You can use budgeting apps like YNAB or other alternatives to track your expenditure and know where to spend to get the biggest pay off. Matching cards to your routines means you will get more credit card rewards on groceries or other important categories.

Select the Best Rewards Card

There are many rewards credit cards in Canada, and the choice will depend on your objectives and lifestyle in 2025. Rewards cards are typically divided into three categories: cash back cards, travel cards and points cards. For a deeper dive into cash back options, explore our article on the best cashback credit cards in Canada. Here’s a breakdown:

• Cash Back Cards: These cards are the best when it comes to simplicity and direct savings. CIBC Dividend Visa Infinite offers 4% cashback on gas and groceries and 2% on dining and transportation.
• Travel Cards: The ideal card to carry when travelling a lot. The Scotiabank Passport Visa Infinite provides 3x Scene points on groceries, no foreign transaction fee, and 2.5% saving on international purchases.
• Points Cards: Adaptable to numerous redemptions. American Express Cobalt can earn 5x points on food and groceries, and the points are transferable to accounts such as Aeroplan.

Consider annual fees (e.g. 120-150 dollars on premium cards), welcome bonuses, and income requirements (often $60,000 personal or $100,000 household). Compare cards and find one that is balanced between rewards, prices, and particularly travel rewards in Canada.

Leverage Welcome Bonuses and Promotions

One of the fastest ways to increase your credit card points in Canada is through the welcome bonuses. A lot of cards provide big bonuses on new cardholders who spend a certain amount of money.

To maximize bonuses, time large purchases—like appliances or travel bookings—to meet spending thresholds without overspending. Avoid chasing bonuses by buying unnecessary items, as this can lead to debt. If you’re looking to avoid fees while earning rewards, see our guide on no-fee credit cards in Canada for 2025.  Check issuer websites for current promotions, as offers change frequently. Strategic planning can make welcome bonuses a significant part of your rewards strategy.

Maximize Points with Bonus Categories and Gift Cards

A lot of cards have faster earning rates in credit card bonus categories such as gas, food, or groceries. For example, the American Express Cobalt offers 5x points on groceries and dining (up to $30,000 annually). These categories can be used to earn points on daily purchases.

The other is purchasing gift cards at stores that provide bonus points, e.g. buy Amazon or Starbucks gift cards and earn 6x Scene+ at a grocery store using the Scotiabank Gold American Express, and you can also purchase even on non-grocery expenditures. Watch out because some cards do not include gift card purchases as part of the bonus terms, so check the categories. This will be a very good way to increase and maximise your credit card points in Canada.

Redeem Rewards Strategically

To obtain the highest value out of redeeming credit card points in Canada, one needs to plan carefully. The redemption values differ according to the program and purpose. For instance, American Express Membership Rewards points are worth 1 cent a piece in terms of statement credit, but can be as much as 2 cents a point when transferred to premium flights in Aeroplan.

Note the high-value redemptions such as travel, which are offered, e.g., by programs such as Scene+ and Membership Rewards shine. For example, Scene points can be used to purchase travel at a rate of 1 cent per point or groceries at selected retailers. Low-value options, such as merchandise, are to be avoided as they can rarely offer more than 0.5 cents per point. Monitor redemption sites to take advantage of offers to maximise the redemption of travel rewards in Canada. To complement your rewards, consider pairing your card with one of the best high-interest savings accounts in Canada for 2024 to grow your savings.

Make Use of Perks and Benefits

In addition to points, numerous cards have valuable credit card benefits in Canada. Scotiabank Passport Visa Infinite comes with six free airport lounge visits every year and no foreign transaction fees, which is ideal for travellers. Credit card travel insurance in Canada is provided by American Express Cobalt, and it covers trip cancellations and medical crises. Special benefits, such as the Front of the Line concert ticket program of Amex, are of added benefit to certain lifestyles. These benefits can help to cover the credit card annual fees in Canada and should be evaluated when selecting a card to improve your rewards experience.

Conclusion

To maximise credit card rewards in Canada in 2025, it is important to know how much you spend and select the most rewarding credit cards and the most strategic methods of using them, such as taking advantage of bonus categories and welcome offers. Redeem points wisely for high-value options like travel, and avoid pitfalls like carrying a balance. Explore top cards and financial tips on Global Investor to build wealth while saving on everyday purchases. Start today by reviewing your spending and finding the perfect card for your needs!