Chase Air Canada Aeroplan Card Gets Major Redesign With Higher Fee

Chase has fundamentally redesigned its Air Canada credit card, adding automatic elite status and award redemption discounts while substantially increasing the annual fee. The refreshed card, now called the Chase Air Canada Aeroplan Credit Card, is live for both new and existing cardholders and marks one of the most significant updates to an airline card offering in recent memory.

Annual Fee Climbs 105%, With a Statement Credit to Offset It

The annual fee has jumped from $95 to $195—a 105% increase that immediately raises the question of whether the card still delivers value. Chase has added a new benefit designed to neutralize the bulk of this increase: up to $100 in annual Air Canada statement credits.

The credit structure works as follows: for the remainder of 2026, cardholders receive one $50 credit. Beginning January 2027, the credits shift into two windows of $50 each—one available January through June and another July through December. For cardholders who routinely purchase Air Canada tickets or ancillary services, the ability to recoup the full $100 annually brings the effective annual fee back down to $95, matching the old card’s price.

Existing cardholders benefit from a transition period. The new $195 fee will not appear on their bills until December 1, based on their card renewal date. This grace period gives current members time to evaluate whether the card’s upgraded benefits justify the higher cost before committing to another year.

Automatic Elite Status Without Annual Spending Requirements

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25K Status Arrives Automatically Every Year

The most consequential change is automatic Aeroplan 25K Status every year with zero spending requirement. Under the previous structure, new cardholders received 25K status for the remainder of the calendar year they opened the account and the following full year, but maintaining that status in subsequent years required $15,000 in annual card spending. The new design eliminates this burden entirely, delivering consistent elite benefits regardless of how much a cardholder charges to the card.

Aeroplan 25K Status, the airline’s entry-level elite tier, includes tangible day-of travel benefits: priority check-in at the airport, zone 2 priority boarding, and two complimentary checked bags on Air Canada flights. For travelers who fly the airline regularly, the checked-baggage benefit alone often justifies card ownership independent of the earning rates.

Higher Status Tier Remains Achievable

Cardholders seeking additional status benefits can still reach Aeroplan 35K Status by spending $75,000 on the card within a calendar year. This two-tier structure gives aspirational spenders a concrete spending target while ensuring that casual Air Canada travelers automatically receive meaningful elite benefits.

Earning Rates Rebalanced Heavily Toward Travel

Travel and Gas Categories See Substantial Increases

The card’s earning structure has shifted significantly to reward travel-related spending. General travel purchases—encompassing hotels, rental cars, flights on any airline, and travel agency bookings—now earn 3 points per dollar, triple the previous 1 point per dollar rate. Gas station purchases double from 1 point per dollar to 2 points per dollar.

Air Canada flights charged directly to the card maintain 3 points per dollar earned from the card itself. However, Aeroplan 25K Status members receive an additional 2 points per dollar directly from Air Canada when flying the airline, bringing the effective earning rate to 5 points per dollar spent on Air Canada tickets for cardholders who carry 25K Status.

Dining and Groceries Earn Less Starting 2027

The refresh comes at the expense of everyday spending categories. Dining and grocery purchases will continue earning 3 points per dollar through the end of 2026, but that rate drops to 2 points per dollar beginning January 1, 2027—a 33% reduction. For cardholders who have used this card as an everyday purchase vehicle for food spending, the new structure is decidedly less generous. Someone who previously earned 3 points per dollar on their grocery bills will earn 2 points starting in the new year, making this card less competitive in that category than before.

Award Redemptions Gain a 15% Discount

Chase has added a new benefit that directly improves the value of redeeming Aeroplan points: a 15% discount on eligible Air Canada award flights booked through Aeroplan. The discount applies to one-way itineraries that include at least one Air Canada-operated flight, meaning a one-way routing with an Air Canada segment and a partner-operated connecting flight still qualifies for the discount.

This benefit stacks with Priority Rewards, Aeroplan’s loyalty program bonus structure for higher-tier members, potentially allowing cardholders to accumulate multiple layers of savings on redemptions. For frequent Aeroplan redeemers, the cumulative effect of combining the card’s 15% discount with existing loyalty program benefits can make a meaningful difference in how far their points stretch.

Travel Insurance Benefits and Rental Car Perks

The card retains its fourth-night-free hotel benefit, allowing cardholders to book three consecutive hotel nights with Aeroplan points and receive a fourth night without charge. A new rental car benefit launches January 2027: cardholders will receive a fourth day free when booking four-day rentals at more than 11,000 participating car rental locations worldwide using Aeroplan points.

Chase did not specify which of the card’s existing benefits will be discontinued, though several perks will sunset on December 31, 2026. Existing cardholders should review their current benefits documentation to identify any features they regularly use that may not carry forward.

Welcome Bonus and Valuation for New Applicants

New cardholders can earn up to 115,000 bonus Aeroplan points through two spending thresholds: 75,000 points after spending $4,000 on purchases in the first three months from account opening, plus an additional 40,000 points after spending $20,000 in the first 12 months. At TPG’s September 2026 valuation of 1.5 cents per Aeroplan point, this welcome offer is worth approximately $1,725. Chase has stated this is the highest welcome bonus ever offered on this card, making the timing favorable for prospective applicants.

Who Benefits Most From the Redesign

The refreshed card makes the strongest financial case for frequent Air Canada passengers. Automatic 25K Status removes the previous $15,000 annual spending hurdle, the 15% award redemption discount provides ongoing value on redemptions, and the $100 annual statement credit meaningfully offsets the higher annual fee for those who fly Air Canada regularly. Someone who books Air Canada tickets several times per year and frequently converts Aeroplan points to award flights will likely find the new version more valuable than the previous design.

Conversely, cardholders who primarily used the old card for dining and grocery purchases—or those who rarely fly Air Canada—will find the earning rate reductions and higher annual fee make this card less attractive than before. The economic calculus depends entirely on flight frequency and whether the new perks align with actual travel patterns.