CIBC Aeroplan Promo: Bonus points on foreign currencies | Milesopedia
Aeroplan CIBC devise cover

CIBC Aeroplan Promo: Bonus points on foreign currencies

To the point This winter, you can earn extra Aeroplan Points when you pay for your foreign currency purchases with the CIBC Aeroplan Promotion!

CIBC Aeroplan Credit Card holders will be able to earn 2 Aeroplan Points per dollar on all foreign currency vacation spending from December 15, 2022 to January 31, 2023 as part of the CIBC Aeroplan promotion.

Aéroplan promo devise étrangère

Credit cards eligible for the CIBC Aeroplan promotion

The following CIBC credit cardholders will be eligible for the CIBC Aeroplan promo if the account is active and in good standing.

Don’t forget to register here to activate the offer.

The terms and conditions state that bonus points can be expected up to 8-10 weeks after the end of the offer period.

Is this a good promotion?

CIBC credit cards charge a 2.5% conversion fee for foreign currency transactions as opposed to credit cards without a conversion fee.

However, by earning 2 Aeroplan Bonus Points per dollar, you could be a winner with the CIBC Aeroplan Promotion depending on how you use those points.

Actually these are “bonus points,” i.e. points that are added to the usual earning ratio of your Aeroplan credit card according to the purchase categories:

For avoidance of doubt, the bonus points awarded pursuant to this Offer during the Offer Period will be in addition to Aeroplan points earned on qualifying purchases under the standard base earn rate as set out in the Aeroplan Terms and Conditions for the Eligible Account.

So with a CIBC® Aeroplan® Visa Infinite Privilege* CardCard, you earn 1.25 Aeroplan Points for every dollar you spend. In the case of this promotion, you will earn 3.25 points per dollar on foreign currency purchases.

On Milesopedia, we give a valuation of 2¢ per Aeroplan point. Therefore, one dollar would generate 6.5¢ ($1 = 3.25 points x 2¢ = 6.5¢ = 6.5%).

When the 2.5% conversion fee is taken into account, the net return is a positive 4% (6.5% – 2.5%). This is an excellent earning rate considering that it will be like this for all your travel expenses abroad!

This can be compared with one of the best no-conversion-fee credit cards in Canada, the HSBC World Elite® Mastercard®.

With this card, you earn between 3 and 6 points per dollar, a return of 1.5 to 3%. Except that when you use a CIBC credit card with the CIBC Aeroplan promotion, you earn Aeroplan points, not HSBC Rewards points!

To choose the right card for travel, you need to consider the type of rewards you want to earn as well.

Then, in certain situations, this CIBC Aeroplan promotion is even more attractive. For example, if your goal with Aeroplan points is to fly business class or even first class, the value of a point can climb to over 5¢ per point!

In this case, one dollar would give you a value of 16.25¢ ($1 = 3.25 points x 5¢ = 16.25¢). So your net return could be 13. 75% (16.25% – 2.5%) with the CIBC Aeroplan promo, despite the conversion fee.

Finally, you will also get the best exchange rate since Visa will charge you the daily rate (adding a conversion fee).

Bottom line

Don’t forget to register for this promotion to be able to take advantage of it!

Is it more beneficial to use a CIBC credit card with the CIBC Aeroplan promo or a credit card with no conversion fee on foreign currency purchases?

It all depends on your earning goals and how you use the points you earn. It’s up to you to make your own calculations based on your situation.

Come to discuss that topic in our Facebook Group!

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