Ep 007 – US Credit Cards

/ Podcast / Ep 007 – US Credit Cards

In Episode 7 of Miles Ahead: The Canadian Points Podcast, Reed, Josh, Danny, and Jeff discuss the unique world of US credit cards and everything Canadians need to know about how they can access and benefit from these cards.

The Frugal Flyer team guides listeners through the process of obtaining an Individual Tax Identification Number (ITIN), a US address, and a US bank account to get started with US credit cards. They also discuss the benefits of US credit cards and how they can often be significantly more beneficial than those offered in Canada.

The episode concludes with listener questions on redeeming Aeroplan points for Star Alliance flights, RBC Avion strategies, and assessing a unique RBC banking offer.

(01:00) Guess That Card!

Danny shares hints about a certain credit card while the rest of the team attempts to guess the card that he is thinking of.

(05:25) Keeping You Miles Ahead: Miles & Points News

A number of new opportunities have developed in the world of miles and points that are worth discussing:

(13:02) Promo or No’mo: Loyalty Promotions

There are a few notable loyalty program promotions that might be worth taking advantage of:

(20:40) Main Event: Learn to Get Miles Ahead with US Credit Cards

Introducing Episode 7’s main topic: US credit cards. This is an advanced topic with lots of nuances.  We will cover the following: 

  • Why we love U.S. credit cards
  • How Canadians can get their hands on U.S. credit cards 
  • What is the best card to start with? 
  • Our favorite benefits of U.S. cards

For a detailed written walkthrough, see our Guide to US Credit Cards for Canadians.  

(21:49) Why The Frugal Flyer Team Loves US Credit Cards

US credit cards can be very complimentary to Canadian credit cards, and often superior, thanks to benefits such as no foreign transaction fees, access to new loyalty programs and more favorable transfer ratios, and a significant increase of cards and the welcome bonuses that are available.

(24:23) Individual Taxpayer Identification Number (ITIN): Your Key to Starting with US Credit Cards

The most imperative step in accessing US credit cards is requesting and receiving an Individual Taxpayer Identification Number (ITIN). This process has become more complex in recent years.

(26:18) Obtaining a US Address as a Canadian

Canadians will need a US address to get started with US credit cards. If you don’t have friends or family in the United States who will let you use their address, there are mail forwarding services available that can help you out.

(28:36) Setting Up Your US Bank Account

Canadians will need a US bank account to pay off their US credit cards. There are a number of choices for setting up a US bank account, and the best option may depend on where you are located and if you have any pre-existing relationships with other financial institutions in Canada.

(34:59) Applying for Your First US Credit Card: Nova Credit vs. Global Transfer

Once you have your ITIN, US address, and US bank account, you can get started with your first US credit card. Utilizing a service like American Express Global Transfer or Nova Credit makes getting your first card that much easier, as they can utilize your Canadian credit history.

(37:51) How Long Does It Take to Get Started with US Credit Cards?

It can take a while to get started with US credit cards as multiple pieces need to fall into place. Oftentimes obtaining the ITIN can take the longest period of time, and the entire US credit card game should be considered a marathon and not a sprint.

(40:19) Choosing Your First US Credit Card

Whichever credit card you start within the United States, pick one that you will want to keep open forever for your credit history. Starting with a card that has no annual fee is always a great option.

(45:56) The Best Benefits Offered by US Credit Cards

The Frugal Flyer Team agrees that loyalty program diversity is one of the best benefits of US cards, including an increase in available hotel loyalty programs and the benefits that come with these programs.

(51:17) Listener Question: Using Aeroplan Points for United Airlines Flights

Albert asks how to use Air Canada Aeroplan points for United Airlines flights or flights on other Star Alliance partner airlines.

(54:04) Listener Question: RBC Avion Strategies

Nancy asks about the team’s preferred strategies for RBC Avion Rewards and associated credit cards.

(59:03) Listener Question: 65,000 Avion RBC Bank Account Offer

Duncan asks about a bank account promotion that is offered by RBC that awards 65,000 Avion Rewards points after meeting a few requirements, and he wonders if this promotion is worth pursuing.

(1:04:45) Conclusion

If you have any episode-specific questions, leave a comment below. If you have any questions you would like us to answer on Miles Ahead, submit them here.

Join us for the next episode, where we will be discussing everything you need to know about earning and redeeming miles and points with a plus one.

Listen to Miles Ahead: Episode 8 – Earning Points With Your Plus One.

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6 comments on “Ep 007 – US Credit Cards”

  1. Fantastic information for this retired educator who never paid attention to miles and points. Such a shame as I now pass on this information to my circle of retired traveller friends saying better late than never.

    A couple of us have a TD “borderless account” which is in US funds and also have the TD US visa. Would we still need a US address to proceed with applying for a US credit card? You have a couple of recommendations that I am considering.

    As I have a green, no fee, Amex I think I could proceed with the Global Transfer portal, but am I limited to Amex cards using this method? If yes, then I will apply for an ITN number, as per your recommendation.

    By the way, TD has a seniors rebate on the borderless account so that the monthly fee is reduced to 1.95, which may be good information for some of your older followers.

    I appreciate all the great information.
    Marg

    Reply

    • Hi Marg,

      You will still need a US address to provide to American Express (and other US credit card issuers) as they won’t accept your Canadian address when applying. If you don’t have friends or family in the United States that would you use your address, your best choice is a mail forwarder. Myself and a few other Frugal Flyer team members have used 24/7 Parcel for years and have no complaints with using them as my US address.

      Global Transfer will limit you to American Express US cards only. If you want to branch out, you will definitely need an ITIN to get cards with other issuers and additional cards with Amex US.

      Reply

  2. Hi,

    Nice episode on US credit cards. I am well established in the US credit card game, but am wondering if you could comment on the best way to transfer money to a US bank account to pay off the credit cards. I currently transfer through my bank, but i bet there are better ways (ie losing less money on the exchange rate).

    Do the authors use wise or Xe or any other program for currency exchange?

    Thanks

    Reply

  3. Hi Reed,

    Great episode as usual.

    I have question regarding getting my application denied for the amex cobalt card.

    Its been 4 months since my first application got denied and my credit score on my second application was 811 (Scotia Bank Transunion), 823(TD Transunion). I’ve also lowered my credit limit on various cards before my second application. I do have a Scotia Gold Amex card that I’m planning on lowering the credit limit before I start a third application in 3 months time. Just wondering is there anything else I can do that will increase my chance of getting the AMEX Cobalt card.

    Also, I’m very interested on pursing the US Credit Card game. For the US Bank it was mention that TD no longer allows Canadians to sign up for the US Bank account. Just wondering will you have an updated article about how to obtain a US Bank account for Canadians?

    Also just to confirm after I submit my ITIN application to the IRS that is the perfect time to start opening up a US Bank account and open up the mail forwarding service as well?

    Regards,

    Mike

    Reply

Editorial Disclosure: Opinions expressed here are the author's alone, not those of any bank, credit card issuer, airline or hotel chain, and have not been reviewed, approved or otherwise endorsed by any of these entities. For complete and current information, please consult the entity's website.