If you’ve ever wondered how some people fly business class for free or get cashback on nearly every purchase, the answer is simple: credit card churning. In Canada, a growing community known as churningcanada has become a go-to resource for those looking to maximize credit card rewards, travel points, and cashback perks.
This article will explain what churningcanada is, how credit card churning works, the best cards to use, risks to watch out for, and practical steps to get started. Whether you’re new to churning or looking to refine your strategy, this guide has everything you need to know.
What is churningcanada?
churningcanada is a community where Canadians share insights, tips, and strategies on maximizing credit card rewards. The goal is simple: use sign-up bonuses, cashback offers, and promotional deals to earn free flights, hotel stays, cashback, and other perks.
This community discusses:
- The best credit cards for churning.
- How to time applications to avoid negative impacts on credit scores.
- Bank promotions that offer free cash or travel benefits.
- Maximizing points for travel, cashback, and other rewards.
Whether you’re a beginner or a pro, churningcanada offers valuable resources to help you make informed decisions and optimize your financial strategy.
How Does Credit Card Churning Work?
Churning is a simple yet strategic process. Here’s how it works:
- Apply for a credit card with a high welcome bonus (e.g., 50,000+ travel points or $200+ cashback).
- Meet the minimum spend requirement within a few months to unlock the bonus.
- Redeem the rewards for flights, hotel stays, statement credits, or cashback.
- Decide whether to keep or cancel the card before the annual fee renews.
- Repeat the process with a new card while managing your credit responsibly.
By carefully selecting cards and tracking spending, churners can maximize rewards without falling into debt or damaging their credit scores.
Best Credit Cards for Churning in Canada
1. Travel Rewards Credit Cards
- American Express Platinum Card – Huge welcome bonus, travel insurance, and lounge access.
- TD Aeroplan Visa Infinite – Best for Aeroplan miles and Air Canada benefits.
- RBC Avion Visa Infinite – Flexible travel rewards with premium perks.
2. Cashback Credit Cards
- CIBC Dividend Visa Infinite – High cashback on groceries and gas.
- Tangerine Money-Back Credit Card – Customizable cashback categories.
- Scotiabank Momentum Visa Infinite – Best for everyday spending.
3. Business Credit Cards for Churning
- American Express Business Gold Rewards – Large welcome bonus, no preset spending limit.
- BMO Business World Elite Mastercard – Strong travel and cashback rewards.
Selecting the right credit card based on your spending habits and goals will ensure you maximize your rewards while avoiding unnecessary fees.
Pros and Cons of Churning Credit Cards
Pros:
✅ Earn free flights, hotel stays, and cash rewards.
✅ Get statement credits, lounge access, and exclusive perks.
✅ Save money by offsetting everyday expenses.
✅ Improve financial literacy by learning to manage credit wisely.
Cons:
❌ Can impact your credit score if not managed properly.
❌ Requires careful tracking of applications and due dates.
❌ Some banks crack down on churners by limiting approvals.
❌ Annual fees may reduce profits if not waived or offset by rewards.
By understanding these pros and cons, you can approach credit card churning strategically and responsibly.
How to Start Churning Credit Cards in Canada
Step 1: Check Your Credit Score
- Ensure your credit score is 700+ before applying.
- Use free tools like Borrowell, Credit Karma, or Equifax to monitor your score.
Step 2: Choose the Right Cards
- Pick credit cards that align with your spending habits.
- Look for cards with big welcome bonuses and reasonable spending requirements.
Step 3: Track Your Applications and Spending
- Use a spreadsheet or app to monitor cards, spending, and due dates.
- Never spend unnecessarily just to meet a bonus requirement.
Step 4: Maximize Bonuses and Perks
- Use different cards for different purchases (e.g., groceries, gas, travel).
- Leverage referral bonuses to earn additional rewards.
Step 5: Cancel or Downgrade Cards Wisely
- Cancel cards before the annual fee renewal (if the perks no longer benefit you).
- Consider downgrading to a no-fee card to keep your credit history intact.
Common Risks & How to Avoid Them
- Hurting your credit score – Space out applications (apply for 1-2 cards every few months).
- Forgetting to cancel cards – Set reminders for renewal dates.
- Overspending to meet minimum requirements – Only use cards for essential expenses.
- Annual fees cutting into rewards – Look for first-year fee waivers or negotiate fee reductions.
By following these best practices, you can churn responsibly and continue earning rewards without financial setbacks.
Alternative Ways to Earn Rewards Without Churning
- Use credit cards strategically for everyday spending.
- Take advantage of reward portals like Rakuten, GreatCanadianRebates, and Aeroplan eStore.
- Leverage loyalty programs such as PC Optimum, Scene+, and Air Miles.
- Look for bank promotions that offer cash bonuses for opening new accounts.
Conclusion
Credit card churning, when done right, can unlock huge financial benefits. With the insights from churningcanada, you can start earning free travel, cashback, and premium rewards while keeping your credit score healthy.
Remember to stay organized, spend wisely, and take advantage of offers without unnecessary debt. If you follow these strategies, you’ll be well on your way to maximizing rewards like a pro!
Happy churning! 🚀💳
