Are you new to credit cards? Want a flexible and easy-to-understand rewards program? Prefer to stick with the trusted and familiar name of a big bank?
The TD Rewards Visa ticks all those boxes.
TD Bank’s entry-level travel rewards credit card, the TD Rewards Visa has no annual fee, no specific income requirements, and is part of the TD Rewards ecosystem, which is about as simple as points programs get. But is it the best option out there for you? Read our full TD Rewards Visa review for a deep dive into the card’s pros and cons.
The Pros
- The card earns between double and triple the points across four popular spending categories including: dining, groceries, recurring bills, and travel purchases from the ExpediaforTD website.
- The TD Rewards program is flexible and easy-to-understand. 1 point is worth a consistent 0.5 cents when booking travel online from ExpediaforTD.com. There are no elaborate rewards charts or maps involved, plus TD points never expire.
- With TD and Expedia’s partnership, you’ll have access to one of the world’s largest travel search engines and can use points at virtually any airline or hotel provider.
- With no annual fee, the card is effectively free to carry (as long as you pay off your balance in full, of course); making it ideal for credit card beginners, low-volume spenders, or those who don’t care for premium perks.
- The TD Rewards Visa has no specific income requirements, so it’s within reach of most applicants including students.
- Since the TD Rewards Visa is issued by a big bank, it’s an ideal option if you want to stick with using a single financial provider across all your everyday bank accounts (e.g. chequing, savings, credit cards etc.).
- Cardholders are eligible for discounts (up to 10%) when booking rental cars from participating Avis and Budget locations.
The Cons
- When considering net returns (1 TD point = 0.5 cents in travel rewards), this card earns between 0.5% up to 1.5% on your everyday spending. There are higher-earning no fee alternatives including the MBNA Rewards Platinum Plus and the Tangerine Money-Back Card.
- The card lacks perks like travel insurance, which all things considered, is expected for a no fee credit card.
Everyday earn rates
The TD Rewards Visa earns TD points on all your everyday spending. The number of points you’ll earn will depend on what you purchase:
- 3 TD points per $1 when booking travel online from ExpediaforTD.com
- 2 TD points per $1 on groceries
- 2 TD points per $1 on dining (including fast food purchase)
- 2 TD points per $1 on recurring bills
- 1 TD points per $1 on everything else
So, what does that all work out to in real dollar terms?
Well, like most rewards programs, you’ll reap the maximum value out of your points when redeeming for travel rewards. In the case of TD Rewards, 1 point is worth 0.5 cents when redeemed online for any travel purchase from the ExpediaforTD website. That means 3 points is worth the equivalent of 1.5 cents or a 1.5% return in travel rewards, 2 points are worth 1 cent or 1% in travel rewards, and so on.
Here’s a breakdown of how much you can earn with the TD Rewards Visa assuming you spend $1,550 every month in the following categories:
| Groceries |
$240 |
| Gas |
$180 |
| Restaurants |
$250 |
| Bills |
$200 |
| Travel |
$100 |
| Entertainment |
$60 |
| Pharmacies |
$20 |
| Everything else |
$500 |
| Total travel rewards after 1 year |
$146 |
Here’s how much you would earn under the same spending scenario with no-fee travel card alternatives:
When comparing the TD Rewards Rewards Visa to other no fee travel cards, we’d say its earn rate comes in around “middle of the pack”.
Rewards caps on bonus categories
Digging into the card’s terms and conditions reveals the TD Rewards Visa has a $5,000 annual spending cap on most of its bonus categories (nothing new for a no fee card).
What does that mean, exactly? Let’s look at groceries as an example.
The card earns 2 TD points per dollar on groceries with a $5,000 annual cap. That means you’ll get:
- 2 points per $1 on the first $5,000 you spend on groceries within a year
- 1 point per $1 on grocery purchases beyond $5,000
- This cap resets with the start of every new year
Like groceries, the same cap applies to dining and recurring bill payments. Your earn rates will drop from 2 points to 1 point per dollar on any amount you spend over $5,000 in either category.
The silver lining: these caps are quite high at $5,000 per year (or an average of $416 per month, per category), which means you’ll likely be racking up bonus points on most or all of your spending. It’s also worth noting that spending on travel doesn’t have caps, so you’ll always earn 3 points per dollar on all your ExpediaforTD.com card purchases no matter what.
If you suspect you’ll regularly spend over $5,000 per year ($416 per month) on bonus categories, you might earn higher returns with a premium rewards card like TD First Class Visa Infinite or TD Cash Back Visa Infinite which have no caps on bonus categories whatsoever.
About TD Rewards
TD Rewards is the official branded rewards program of TD Bank and it operates in partnership with Expedia – one of the world’s largest travel search engines.
TD points never expire and will always be available so long as your account remains open and in good standing (aka you’re not missing minimum payments).
Getting maximum value with Expedia
You can redeem TD Points online for anything listed on the ExpediaforTD website in flat increments of 200 points for $1 (or 0.5 cents per point). There are no elaborate rewards charts or maps, and points values are always consistent no matter where or when you’re travelling, making it super easy to know what your points are worth.
The ExpediaforTD website lists all the same travel options as the main Expedia website, and points can be redeemed for:
- Flights on virtually any airline with no blackout dates
- Hotel stays at hundreds of resorts
- Car rentals
- Tours
- Vacation packages
- And more
Other redemption options
While you’ll earn the maximum value from your points when redeeming for travel rewards using the ExpediaforTD website, you do have the option to use TD points for other rewards. The caveat: you’ll be subject to different redemption rules that’ll often lower your points values.
For instance, you can ditch ExpediaforTD altogether and use the “Book Any Way Travel” option to redeem points for a flight ticket you purchased directly from an airline (you’ll receive a credit on your monthly statement to offset the cost of the travel booking). TD points can also be used to get free stuff from Amazon.ca, merchandise from the TD catalogue, gift cards, or even cash credits.
Here’s how points values break down:
| Redemption Option |
Value per 1 point |
| ExpediaforTD |
|
| Book Anyway Travel |
- 0.4 cents on the first $1,200 of the travel expense
- 0.5 cents on any amount that is over $1,200
|
| Amazon.ca purchases |
|
| Cash credits |
|
| Gift cards |
|
| Merchandise |
- Varies
- Typically less than 0.25 cents
|
In short: it’s best to use TD points for travel, either via ExpediaforTD or comparing flights directly offered from an airline. If you want to earn rewards that’ll help you save on all your everyday purchases, it’s best to stick with a cash back credit card over a travel points card.
Fees, income requirements, and more
As you would expect from an entry-level credit card, the TD Rewards Visa Card has a low barrier to entry.
It has no annual fee, no specific income requirements (even students can be eligible to apply), and it’s available with credit limits of as low as $500.
As standard for a rewards credit card, it does have a steep double-digit interest rate of 19.99%. But like all cards, you won’t owe any interest so long as you use the card responsibly and pay off the balance in full each and every month.
There are some bare minimum application requirements worth nothing, though. You must of course be at least the age of majority (legal adult), which is either 18 or 19 years old depending on your province. You also must not have reported bankruptcy or have had major credit problems in the past (e.g. defaulting on loans or a history of missed payments on loans or credit cards in the past).
Side perks
I know we’re starting to sound repetitive, but again, the TD Rewards Visa is an entry-level card. And that means it offers few frills and side perks.
As with any credit card, you’ll get the basics like purchase protection (aka purchase security), extended warranties that doubles the manufacturer’s warranty for up to one additional year, and Visa Zero Liability that’ll protect you in case an unauthorized purchase was made using your card.
As an added bonus, cardholders can also get between 5% to 10% off rental cars from participating Avis and Budget locations.
Bottom line
With no annual fees, no income requirements, and an easy-to-use points program, the TD Rewards Visa is one of the most accessible and rewarding travel points cards for credit card beginners and low-volume spenders.
