Head to Head: Wealthsimple Visa Infinite+ vs American Express Cobalt Card

Side-by-side comparison

Here are the two cards side by side. We get into the details right after.

Annual fees and conditions

The American Express Cobalt^® Card costs $15.99 a month outside Quebec, or $191.88 a year. Quebec residents pay the annual amount in one go. Additional cards are free, and American Express sets no minimum income.

The Wealthsimple Visa Infinite+ Card costs $20 a month, or $240 a year, billed annually in Quebec. The fee disappears in two cases:

• Assets: you hold at least $100,000 individually in net deposits or total assets at Wealthsimple, excluding business or corporate accounts;
• Direct deposit: you receive at least $4,000 a month in eligible direct deposits into your personal Wealthsimple chequing account. A simple transfer is not always an eligible direct deposit.

To apply, you also need an active Wealthsimple chequing account. Wealthsimple requires a personal income of at least $80,000 or a household income of at least $150,000, then runs a full credit check. Wealthsimple states that the card is available in limited quantities. You can only pay the balance from a Wealthsimple chequing account.

In short, the Wealthsimple costs nothing if you already keep your money there, and it costs more than the Cobalt for everyone else.

Return per dollar spent

An earn rate tells you nothing until you know what the point is worth. We value a Membership Rewards point at 1.7¢, based on transfers to Aeroplan, Avios or Flying Blue. As a statement credit, 1,000 points are worth $10, or 1¢ each.

The Cobalt boosts its points by category, in Canada only. Convenience stores are excluded.

• 5 points per dollar: groceries, dining, bars and food delivery, up to $2,500 of purchases a month;
• 3 points per dollar: eligible streaming subscriptions;
• 2 points per dollar: gas, transit and ride share;
• 1 point per dollar: everything else.

The Wealthsimple pays 2% on all net purchases, with no categories and no cap. You can redeem the cash back at any time into almost any of your Wealthsimple accounts.

Our list of eligible Cobalt 5x merchants settles the gray areas.

One-year example

Take a household that spends $30,000 a year on a single card:

• Groceries and dining: $12,000, or $1,000 a month;
• Gas: $2,400;
• Streaming: $600;
• Other purchases in Canada: $15,000.

From the second year on, here is what each card earns:

• Cobalt: 81,600 points, or about $1,387 at 1.7¢, minus the $191.88 fee, for about $1,195 net;
• Cobalt, points as a statement credit at 1¢: $816 minus $191.88, or about $624 net;
• Wealthsimple, fee waived: 2% of $30,000, or $600 net;
• Wealthsimple, fee paid: $600 minus $240, or $360 net.

The Cobalt therefore leads the Wealthsimple by about $595 when you transfer points. Even at the 1¢ floor, it stays ahead of the Wealthsimple that charges its fee, and level with the one that waives it.

At what spending does the Cobalt pull ahead? On the same $30,000 budget, here are the thresholds:

• Against the Wealthsimple with a fee, points at 1.7¢: about $50 a month;
• Against the Wealthsimple with no fee, points at 1.7¢: about $345 a month;
• Against the Wealthsimple with no fee, points at 1¢: about $1,025 a month.

Spending abroad

Here the Wealthsimple gets its revenge. It charges no foreign exchange fees, while the Cobalt charges 2.5%. The Cobalt also earns only 1 point per dollar outside Canada.

At 1.7¢ per point, a dollar spent abroad with the Cobalt costs you about 0.8¢ net once the foreign exchange fee is subtracted. The same dollar earns 2¢ with the Wealthsimple. On $6,000 of travel spending, the gap reaches about $168 in the Wealthsimple's favour.

One caveat: the Visa network still applies its own conversion rate. Wealthsimple's fee is zero, but the market rate is not. For other no-FX options, see our no foreign transaction fee cards.

Welcome offers

Welcome offers change often, so always confirm the current terms with the issuer before you apply. The Cobalt's current offer is up to 15,000 Membership Rewards points over one year: 1,250 points for each monthly billing period in which you charge $750 to the card, across 12 periods. At 1.7¢, the full bonus is worth about $255. Current or former cardholders are not eligible, and the monthly fees are not refunded.

At Wealthsimple, the current offer is up to $500 in cash back, but only by invitation and to new clients:

• 5% cash back, which is 2% base plus 3% boost, on the first $10,000 of net purchases;
• 35 days after approval;
• the card must stay open for 180 days after the boosted period.

The boost itself is therefore worth at most $300, and only if you spend $10,000 in five weeks. On our $30,000 yearly budget, it is closer to $100.

Insurance and perks

On insurance, neither card covers everything.

• Emergency medical: Cobalt, up to $5,000,000 for the first 15 days of a trip, for travellers under 65; Wealthsimple, up to $1,000,000 for the first 21 days of an eligible trip, for insured people under 65;
• Trip cancellation and interruption: not offered on the Cobalt; Wealthsimple, up to $1,000 per person, maximum $3,000 per trip;
• Car rental: Cobalt, vehicles up to $85,000 for rentals of 48 days or less; not offered on the Visa Infinite+;
• Baggage: Cobalt, up to $500 for loss or damage; Wealthsimple, $750 for loss or damage and $500 for delay, $1,000 maximum overall;
• Mobile device: both cards cover up to $1,000.

Cobalt offers a higher emergency medical limit and rental car insurance. Wealthsimple Visa Infinite+ covers a longer period for medical emergencies and adds trip cancellation and interruption insurance. Both cards also offer flight delay coverage, subject to their certificate terms. Cobalt insurance summary · Visa Infinite+ insurance certificate

Neither card includes airport lounge visits. Wealthsimple keeps that benefit for its Visa Infinite Privilege card. The Cobalt leans on event presales, Amex Offers and an Instacart credit.

Acceptance and eligibility

Visa is accepted almost everywhere in Canada. American Express is less widely taken: some merchants, including Costco, refuse the card. If your usual grocery store does not accept Amex, the 5x multiplier loses much of its appeal.

On interest, the Wealthsimple charges 20.99% on purchases and the Cobalt 21.99%. If you pay your balance in full each month, this matters little.

Which card fits your profile?

The right card changes with how you spend. Here are four cases.

The household that eats out a lot

You spend $350 or more a month on groceries and dining. The American Express Cobalt^® Card wins, especially if you transfer your points to a travel program.

The frequent traveller abroad

You travel often and make many purchases in foreign currencies. The Wealthsimple Visa Infinite+ Card earns 2% cash back on eligible purchases with no added foreign transaction fees. In Quebec, activate travel insurance in your account and check the certificate’s payment requirements and limits before booking.

The Wealthsimple investor

You already hold at least $100,000 at Wealthsimple, or your pay lands there. The card then costs you nothing and simplifies your finances. It becomes an excellent companion, even if it does not beat the Cobalt at the grocery store.

The strategist who holds both

This is often the best answer. Put groceries, dining and gas on the Cobalt, then spending abroad and everything outside the categories on the Wealthsimple. Both welcome offers can stack, as long as you meet their conditions.

Conclusion

Our verdict: The American Express Cobalt^® Card wins for most Canadian households, thanks to its 5 points per dollar on groceries and dining and the value of its points. It asks for no minimum income.

The Wealthsimple Visa Infinite+ Card takes the lead again if you travel abroad, eat out little, or already meet the asset threshold. To go further, read our review of the Wealthsimple Visa Infinite cards, our Cobalt review and our look at whether Wealthsimple is safe.

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