Scotiabank is upping the annual fee and interest rate for its Momentum Visa Infinite Card and shaking up some of the card’s cashback features.
Effective Aug. 1, 2019, Momentum Visa Infinite cardholders will be on the hook for $120 annually instead of $99, and will see an interest rate of 20.99% on everyday purchases — a one percentage point increase from the previous interest rate of 19.99%.
The fee for additional cards will also go up, from $30 to $50.
Rewards categories changing
However, in addition to these increases, Scotiabank is also enhancing some of the cashback features of the credit card.
The cashback earn rate for recurring payments, for instance, has doubled.
When you use your Momentum Visa Infinite for recurring payments, you’ll now earn 4% cash back as opposed to the previous 2% for every dollar spent on things like bill payments (e.g. insurance premiums, hydro bills, gym memberships) as well as recurring subscription fees, like video and music streaming services, as well as meal kit delivery and lifestyle box subscriptions.
Also getting a boost is the daily transit cashback earn rate from 1% to 2%. Cardholders will be able to earn 2% for every dollar they spend when they use their Momentum Visa Infinite to pay for things like bus passes, taxi rides, trains, and trips with ride-share companies.
The cashback earn rate for gas and drug store purchases, however, have been halved. When Momentum Visa Infinite cardholders pay with their card at the pump or in store, they’ll only earn 2% on gas instead of the previous 4%. Similarly, drug store purchases will only get cardholders a 1% cashback earn rate instead of the former 2%.
New trip cancellation and mobile insurance
Other new card features will include trip cancellation insurance, which will be available for cardholders, and/or a cardholder’s spouse, dependent children and one travelling companion. Coverage will be for up to $1,500.
Also new is mobile device insurance for new cell phones or tablets that are purchased after Aug. 1, 2019. Mobile insurance is something that we're increasingly seeing in the credit card space — CIBC launched it for its Aventura credit card last year, while RBC Avion cards also offer it.
The Scotiabank Momentum Visa Infinite mobile device insurance covers new mobile devices that are lost, stolen or damaged. To be eligible for coverage, cardholders have to buy the new mobile device using their Momentum Visa Infinite card; charge any portion of the purchase price that has to be paid upfront to their card; or use the card to make the recurring monthly bill payments.
If the new mobile device cost anywhere from $0 to $200, the deductible is $25. If it cost between $200 and $400, the deductible is $50. If it cost between $400 and $600, the deductible is $75. And if it cost $600 or more, the deductible is $100.
Coverage ends after two years from the date you buy the device, if you miss a monthly bill payment, if you cancel your account or it stops being in good standing, if you stop being eligible for coverage, or if the policy ends — whichever comes first.
It's important to note that mobile device coverage tends to factor in depreciation, meaning you'll get less money back the older your device is. Under the Momentum Visa Infinite coverage, the device depreciates 2% a month.