Status: checked against official sources; automated independent review
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Canadian card points redemption options compared
Canadian card points redemption is the choice between sending credit-card points to an airline or hotel programme, booking travel with them through the issuer or a partner, spending them at checkout, or turning them into a credit on the card account, and each issuer publishes its own version of those paths. [5] [10]
Facts checked: 18 October 2026
Key takeaways
- BMO Rewards points can be spent on a catalogue of products and gift cards, contributed to a BMO savings or investment account, or applied directly to eligible purchases, including flights, hotels, car rentals, vacation packages and cruises, through Pay with Points. [5]
- The U.S. Membership Rewards terms from American Express describe four separate paths: transfers to partner airline and hotel programmes, Pay with Points at checkout or through American Express Travel, statement credits and Cover your Card Charges. [10]
- Points transfers in that programme are generally made in 1,000-point steps, usually take about 48 hours to process and cannot be reversed once sent. [10]
What redemption options are published?
Two published examples show how differently the same kind of point can be defined. A BMO Rewards credit card collects points on almost any purchase, and the points are redeemed through the BMO Rewards website. [5] That website holds a catalogue of hundreds of products and gift cards from major brands, offers a way to redeem points as a contribution to a BMO savings or investment account, and runs Pay with Points, which applies points directly to eligible purchases. [5]
At American Express, the available options depend on which products are linked to the Rewards Account: most card products provide access to all available redemption options, while an account linked only to a Legacy Card has a shorter menu. [10] The American Express rules described on this page are those published in the U.S. Membership Rewards terms, so they set out the U.S. programme rather than a Canadian-issued card. [10]
How do points transfers work?
Membership Rewards points may be transferred to participating partner loyalty programmes, such as airline and hotel programmes, once the Rewards Account has been linked to the partner account. [10] The partner account must be in the member's own name or in the name of an Additional Card Member, and that Additional Card must have been issued at least 90 days before the accounts are linked. [10]
In most cases the minimum transfer is 1,000 points, sent in multiples of 1,000, and a transfer typically takes 48 hours to process, although some partner programmes delay posting the points. [10] The rate at which points convert varies by partner. [10]
Transfers to a U.S. airline frequent flyer programme carry an excise tax offset fee of $0.0006 per point, capped at $99. [10] Once points leave the Rewards Account they cannot be converted back, and from that point the partner programme's terms and conditions apply. [10] If an airline programme stops participating, transfers to it may be capped before its participation ends, at a level of at least 100,000 points. [10]
How does pay with points handle travel?
Pay with Points at BMO lets a cardholder apply points directly to eligible purchases, and the issuer names flights, hotels, car rentals, vacation packages, cruises and other travel purchases among the costs it can cover. [5]
In the U.S. Membership Rewards programme, Pay with Points can be used at checkout with participating brands or through American Express Travel, and an account linked only to a Legacy Card can use it only through American Express Travel. [10] The mechanics are the same either way: American Express charges the card for the purchase, deducts the points and applies a statement credit for the points used, and any part of the cost not covered by points stays charged to the card. [10]
Because the option requires a charge to the card account, it is subject to the Card Member Agreement, including credit limits, so a purchase that cannot be put on the card cannot be paid with points. [10] The credit may appear in a different billing cycle from the charge, and the minimum amount due must still be paid on each statement. [10]
How do statement credits and deposits compare?
American Express keeps a plain statement credit separate from Cover your Card Charges. Basic Card Members can redeem points for a statement credit, Corporate Card Members cannot, and the redemption must be worth at least $1. [10] The credit generally appears within 48 hours while the points are deducted immediately, the credit cannot be used to pay the Minimum Payment Due, and a scheduled AutoPay amount is not reduced. [10]
Cover your Card Charges applies points to an eligible charge, meaning one that occurs in the U.S. or a U.S. territory, appears in recent activity or the current statement, has never been disputed and is at least $1; points may be used for the entire amount of that charge. [10] Corporate Card Members are not eligible for this option. [10]
A Rewards Account linked only to a checking account has a narrower menu: points can be redeemed for deposits or transferred to a limited selection of partner programmes. [10] The standard deposit rate is 1,000 points for $8; on a Business Checking account linked to a Business Platinum Card, a different deposit rate applies, up to the first 1,000,000 points per calendar year. [10]
| Item | Published detail |
|---|---|
| Minimum transfer | Generally 1,000 points, in multiples of 1,000 [10] |
| Typical transfer time | About 48 hours; some programmes post later [10] |
| Excise tax offset fee | $0.0006 per point, up to $99, on transfers to a U.S. airline frequent flyer programme [10] |
| Minimum statement credit | Points worth at least $1 [10] |
| Deposit rate | 1,000 points for $8, with a different rate for a linked Business Platinum Card up to 1,000,000 points a year [10] |
Exceptions and limits
- Legacy Card accounts. If the only card product linked to a Rewards Account is a Legacy Card, transfers to partner programmes are not available, Pay with Points works only through American Express Travel, and gift card redemptions are limited to American Express Gift Cards. [9] [10]
- One-way redemptions. Transferred points cannot be converted back into Membership Rewards points, and once a Pay with Points or statement credit redemption is made it cannot be reversed. [10]
- Closing the last product. Cancelling or unenrolling the last product linked to a Rewards Account means losing all points in that account immediately, except that if the last linked product is a Corporate Card the member may be able to redeem points for up to 30 days after cancellation or unenrollment, and New York Card Members can continue to use points for 90 days by calling the number on the back of the card; where American Express itself cancels a card account for inactivity, the member has 90 days to use the points. [10]
- Points are not property. Points cannot be moved to another person's Rewards Account, sold, or passed on through divorce, inheritance or bankruptcy. [10]
- Programme changes. American Express may change earning rates, the points needed for rewards, redemption options and fees at any time, and gives at least 90 days' notice if it cancels the programme. [10]
- Gift cards. Gift cards obtained with points have no cash value, cannot be exchanged for cash and cannot be used to pay an existing account balance. [10]
Frequently asked questions
Can Membership Rewards points be transferred to an airline programme?
Yes, where the airline is a participating partner: the Rewards Account is linked to the airline account first, and the partner account must be in the member's name or an eligible Additional Card Member's name. [10]
How long does a points transfer take?
Typically about 48 hours, though some partner programmes delay posting, so the points should have arrived before an award is booked. [10]
Can a statement credit cover the minimum payment on the card?
No. Statement credits cannot be used to pay the Minimum Payment Due, and redeeming for one does not adjust a scheduled AutoPay amount. [10]
What happens to points if the card is cancelled?
Under the U.S. Membership Rewards terms, if you cancel or unenroll the last linked product, the general rule is that you immediately lose all points in the Rewards Account. If that last linked product is a Corporate Card, you may be able to redeem points for up to 30 days after cancellation or unenrollment, and New York Card Members can continue to use points for 90 days by calling the number on the back of the card. If American Express cancels a card account for inactivity, you have 90 days to use the points. [10]
Sources
Sources checked on 18 October 2026. The American Express rules cited here come from the U.S. Membership Rewards terms; other Canada-issued programmes, including Aeroplan, AIR MILES and Scene+, are not covered.
- BMO Rewards credit cards and redemption options, checked 18 October 2026
- Membership Rewards Program Terms and Conditions: transfer points to partner loyalty programs (U.S.), checked 18 October 2026
- Membership Rewards Program Terms and Conditions (U.S.), checked 18 October 2026