The Optimized RBC Credit score Card Portfolio

One essential issue to know in regards to the RBC Avion Rewards program is that there are literally three tiers of factors: Avion Choose, Avion Premium, and Avion Elite. Of the three, Avion Premium and Avion Elite supply travellers the very best alternatives for worthwhile redemptions.

Happily, incomes factors in each Avion Premium and Avion Elite tiers is comparatively simple by RBC’s Avion and ION households of bank cards.

In case you’d prefer to get probably the most out of the RBC Avion Rewards program, this information will stroll you thru how you can construct an optimized RBC bank card portfolio that leverages the strengths of the ION and Avion households of playing cards in terms of each incomes and redeeming.

Evaluating Avion Premium and Avion Elite

One of many distinctive quirks of the RBC Avion Rewards program is that there are three completely different tiers: Avion Choose, Avion Premium, and Avion Elite.

Relying on which tier you’re in, you’ll have extra or fewer choices when it comes time to redeem.

(We’ll skip over Avion Choose for the needs of this dialogue.)

The first variations between Avion Premium and Avion Elite – no less than in terms of journey redemptions – are as follows:

• The ION household of bank cards is within the Premium tier, whereas the Avion household of bank cards is within the Elite tier
• For Avion Premium, factors could be redeemed for 0.58 cents per level (all figures in CAD) when reserving journey, or transferred to WestJet Rewards at a fee of 1:1 (100 Avion factors = 100 WestJet factors)
• For Avion Elite, factors could be redeemed for 1 cent per level when reserving journey, transferred to 4 airline loyalty applications (The British Airways Membership and Cathay Pacific Asia Miles at a fee of 1:1, transferred to American Airways AAdvantage at a fee of 1:0.7, and WestJet Rewards at a fee of 1:1), or redeemed for higher worth by the RBC Air Journey Redemption Schedule.

In sum, Avion Elite is extra highly effective than Avion Premium, since you are able to do extra together with your factors, and the worth at which you’ll redeem them is increased than what’s potential with Avion Premium.

Now, in terms of incomes Avion factors, it’s essential to know the primary variations between the ION and Avion households of bank cards:

• ION bank cards have low or no annual charges, whereas Avion playing cards have increased annual charges
• ION bank cards have incomes charges of as much as 3 Avion factors per greenback spent,† whereas Avion bank cards earn (at most) 1.25 Avion factors per greenback spent†
• ION bank cards have a tendency to come back with extra modest welcome bonuses, whereas Avion playing cards have way more beneficiant welcome bonuses

In different phrases, the ION household of bank cards has higher incomes charges and decrease charges, paired with much less highly effective factors and smaller welcome bonuses. In the meantime, the Avion household of playing cards has decrease incomes charges and better charges, paired with extra highly effective factors and bigger welcome bonuses.

Nevertheless, right here’s the kicker: it’s potential to switch Avion factors from the Avion Premium tier to the Avion Elite tier immediately and at a fee of 1:1 in two conditions:

• In case you determine to improve an ION product into an Avion product, your current Avion factors on the ION card (Avion Premium tier) will switch to your Avion card (Avion Elite tier)
• In case you maintain each an ION product and an Avion product, you’ll be able to switch your Avion factors out of your ION card (Avion Premium tier) to your Avion card (Avion Elite tier) throughout the Avion Rewards ecosystem

Due to this fact, a fantastic alternative presents itself to savvy cardholders who can leverage the strengths of each households of playing cards and the 2 related tiers of Avion Rewards factors by constructing a small RBC bank card portfolio.

The Optimized RBC Credit score Card Portfolio

There’s a robust argument to be made for holding each a higher-tier Avion card and a card from the ION household.

By doing so, you’ll be able to benefit from the elevated incomes charges on on a regular basis necessities with the ION household of playing cards, after which switch the Avion factors over to turn into the extra highly effective Avion Elite tier when it comes time to redeem, merely by the use of holding an Avion product.

As a reminder, there are two playing cards within the ION household: the RBC® ION Visa and the RBC® ION+ Visa. Of the 2, the RBC® ION+ Visa has higher incomes charges, a better welcome bonus, and a really modest $48 annual payment.

Importantly, the RBC® ION+ Visa has the next incomes charges on day by day spending:

• Earn 3 Avion factors per greenback spent on eligible groceries, eating, meals supply, gasoline, public transit, electrical car charging, rideshares, streaming, digital gaming, and digital subscriptions^†

• Earn 1 Avion level per greenback spent on all different eligible purchases^†

In case you had been to carry each the RBC^® ION+ Visa and an RBC Avion product, you possibly can earn 3 Avion factors per greenback spent on many day by day necessities together with your RBC® ION+ Visa, after which switch your factors to your Avion card by the Avion Rewards ecosystem.

For spending on the three private Avion playing cards within the Avion Elite tier, the incomes charges throughout all classes are only one–1.25 factors per greenback spent, so by utilizing your ION+ card, you’d be incomes greater than double and even triple the factors on many frequent day by day purchases.

In terms of selecting a card from the Avion household, any of the three private playing cards (RBC® Avion Visa Platinum†, RBC® Avion Visa Infinite†, and the RBC® Avion Visa Infinite Privilege†) make for glorious selections. You may additionally maintain the RBC Avion Visa Infinite Enterprise.

With this mix of playing cards, you’re getting the very best of each worlds by leveraging the elevated incomes charges on the RBC^® ION+ Visa and the extra highly effective methods to redeem factors with an eligible Avion card.

Remember that you’ll be able to redeem Avion factors for upwards of two cents per level by the RBC Air Journey Redemption Schedule, or for doubtlessly even higher worth by shifting your factors to airline companions and redeeming them for flights in premium cabins.

Due to this fact, the potential worth you’ll be able to earn from the RBC® ION+ Visa may equate to a 3–6% return (or extra) on day by day spending, which is a superb possibility for a person targeted on journey rewards.

When coupled with both a no or low annual payment on the ION household of playing cards, there’s not lots of value concerned to incomes RBC Avion factors this fashion, and it’s certainly probably the most optimized strategy.

Conclusion

Savvy travellers can leverage the nuances of the RBC Avion Rewards program by making the most of the benefit of incomes Avion factors on an ION card with the redemption energy of an Avion card.

By holding a product from each the ION and the Avion households of playing cards, you’ll be able to construct a small RBC bank card portfolio that offers you the very best of each worlds.

Between the sometimes beneficiant welcome bonuses out there on the Avion household of playing cards and the elevated incomes charges on frequent bills with the RBC® ION+ Visa, you’ll end up en path to outsized worth very quickly.

† Phrases and situations apply. Please check with the RBC web site for updated data.