United Airlines’ MileagePlus, one of the world’s largest frequent flyer programs, is entering Canada through a co-branded credit card in partnership with Neo Financial.

“The world’s largest airline choosing Neo is significant for us, as a Calgary-based fintech,” said Neo co-founder and chief commercial officer Jeff Adamson in an interview. “The control that the big five banks have had on [travel rewards] programs really hasn’t been challenged.”

Aeroplan, Air Miles—soon to be converted to BMO’s Blue Rewards—and loyalty programs operated by WestJet and Porter Airlines all have co-branded credit cards with Canada’s big banks. Some other Canadian companies have dipped their toes into travel rewards credit cards—Neo already has a co-branded credit card with Hong Kong airline Cathay Pacific and Toronto fintech Brim Financial has one with Air France—but they’re not as big or well-known.

The Neo partnership is part of a broader push by United to focus its loyalty program on credit card holders. On Thursday, United announced MileagePlus cardholders will earn double to nearly quadruple the points per dollar that non-cardholders earn, starting in April.

Users of the credit card, which Neo plans to launch in April, will earn loyalty points when they travel with United or any other airline in the Star Alliance network, which includes Air Canada. They’ll also get priority boarding, a free checked bag and the opportunity to earn additional points by shopping at stores in Neo’s rewards network.

Credit card rewards programs are key profit centres for airlines. Adamson declined to provide specifics about the terms of the deal with United, but typically, credit card issuers buy loyalty points from airlines to distribute to users, providing carriers with a predictable source of revenue. Credit card issuers like Neo make money from the fees merchants pay for accepting cards and interest accrued by users.

Patrick Sojka, a loyalty program consultant and founder of the site Rewards Canada, said Neo likely gave United a better deal on that arrangement than one of Canada’s big banks would have offered. Neo is also likely to put more effort into marketing the card than a big bank would, he said, given the competing loyalty programs they already offer. For United, “it’s a more financially responsible partnership,” Sojka said.

Sojka said Neo faces a marketing challenge with the new card. He said Canadians are very familiar with Aeroplan, which also lets users earn and redeem points when flying on Star Alliance airlines, including United. Getting the word out that users of Neo’s new card can do the same might be difficult, he said: “Canadians love Aeroplan. They love Air Miles. They like to stick with what they know.”

Co-branded credit cards with major retailers like Tim Hortons and Hudson’s Bay have been a crucial part of Neo’s business model since its founding in 2019. But the strategy comes with risks. In March 2025, Hudson’s Bay paused its loyalty program after filing for creditor protection, leaving users of Neo’s partner credit card in the lurch.

Adamson said Neo has converted Hudson’s Bay cardholders to the fintech’s in-house cash-back rewards card. The company took the opportunity to survey users about what rewards they value, and Adamson said users’ spending has actually increased since making the switch. “Customers are happier. They’re more engaged. They’re using the cards more often now.”

The Logic reported in 2023 that Neo had difficulty getting people to sign up for and use its in-house cash-back credit cards regularly, but Adamson said those cards are now the fastest growing part of the company. “Our direct-to-consumer business is growing like crazy,” he said.

Neo is always on the lookout for more opportunities to do co-branded credit cards, Adamson said. “We continue to answer the phone when retailers call looking for a nimble digital partner. So I think you’ll be seeing more of these happening.”