Canadian cashback credit cards typically have an annual fee, but some cards offer a waived first-year annual fee as an incentive to new cardholders. The cashback rewards earned on these cards can vary depending on the card and the type of purchase made. Some cards offer a flat cashback rate on all purchases, while others offer tiered rewards rates that are higher for certain types of purchases. For example, one card may offer 1% cashback on all purchases, while another may offer 1% cashback on groceries and 3% cashback on gas purchases.
Additionally, many Canadian cashback credit cards also offer bonus rewards or sign-up bonuses to new cardholders. These bonuses can be a lump sum of cashback or a percentage of spending in the first few months of having the card.
The Canadian credit card market is incredibly competitive. There are hundreds of different cards to choose from, and they all come with their own unique features. However, it can be hard to find the best cashback credit card in Canada if you don’t know where to look! In this article, we’ll show you what makes each one unique so that you can make an informed decision when choosing your next financial tool. Let’s begin.
What Is A CashBack Credit Card?
Canadian cashback credit cards are a type of credit card that rewards cardholders with cashback or cash rebates on their purchases. These rewards are typically earned as a percentage of the amount spent on the card and are paid out to the cardholder in the form of a statement credit or direct deposit into a savings or checking account.
In addition, Canadian cashback credit cards may offer different reward rates for different categories of purchases, such as grocery stores, gas stations, or travel. They usually come with annual fees, but also with interest rates.
Cashback credit cards usually come with an interest rate, which means if the cardholder carries a balance and does not pay the amount in full, they will accrue interest on the outstanding balance. So is important to consider the interest rate when evaluating the overall benefits of a cashback card.
When choosing a cashback credit card, it’s important to compare the reward rates and benefits offered by different cards to find the one that best fits your spending habits. Also, it’s important to be aware of the terms and conditions associated with the card and understand any fees, as well as the expiration date of the rewards.
MBNA Rewards World Elite MasterCard
The MBNA Rewards World Elite Mastercard is a Canadian cashback credit card that offers cardholders the ability to earn rewards points on their purchases. These points can be redeemed for a wide variety of travel, merchandise, and gift card options.
One of the key features of this card is that cardholders earn 2 points for every $1 spent on eligible purchases, which can be redeem for travel, merchandise, or gift card options. Additionally, the card offers a sign-up bonus of 10,000 points when cardholders make their first purchase within the first 90 days of account opening.
The card has also a travel insurance, which includes coverage for trip cancellation, trip interruption, car rental collision, and baggage delay.
The card does come with an annual fee of $120, but also offer some benefits such as a complimentary 24-hour concierge service and exclusive access to a variety of events and experiences.
Like most Canadian credit card, MBNA Rewards World Elite Mastercard also comes with an interest rate, so is important to make sure you pay your balance in full each month to avoid accruing interest.
Scotiabank Gold American Express
Scotiabank Gold American Express is one of the best cashback credit cards available in Canada. It offers a 1% annual percentage rate (APR) on all purchases, meaning that you’ll pay just $30 per year for this card—and it doesn’t have any other fees or restrictions.
The 2% cashback category includes gas station and grocery store purchases; dining & entertainment; drugstores; travel services such as hotels and car rentals; phone bills; insurance premiums paid directly to the provider instead of through their websites or apps (such as life insurance); Netflix subscriptions purchased through their website/app—and more! The 3% category includes everything else: restaurants/bars/nightclubs/hotels/car rentals etc…
You can also earn extra rewards points by paying off your balance every month with no interest if you’re making regular payments toward this card’s minimum payment requirement ($25). And if you have enough points saved up at the time when applying for another one on top of this one during open-enrollment period(s), then there will be 15000 additional bonus points waiting for y
Tangerine Money-Back
Tangerine Money-Back Credit Card is a no-fee card that offers 1% cashback on all purchases. That’s not bad, but there are better options out there.
This card has a slightly better feature set than The Points Guy card, but it’s still not quite as good as some other cards in this category. If you don’t have time to read through all of my recommendations below, then go with Tangerine Money back since it’s probably your best bet at getting 1% back when you spend money on your credit card!
If you’re not familiar with Tangerine, it’s a Canadian bank that offers some pretty solid products for people who are just starting out with their finances. They also have a credit card that comes with 1% cashback on all purchases, which makes this card pretty attractive to beginners.
While this card does come with a few perks and benefits, they pale in comparison to other no-fee cards that offer better rates and rewards. So if you’re looking for something more advanced than the Tangerine Money Back Credit Card, then keep reading!
The first step in finding a good credit card is deciding what type of card you want. Are you looking for something with travel perks? Or perhaps something that offers cash back on all purchases? When it comes to travel cards, there are two main types: airline points cards and hotel points cards. Both types offer similar perks like free checked bags and priority boarding—but the way they earn points is slightly different. For example, airline cards let you earn miles based on how much you spend while hotel credit cards let you earn points based on how many nights
PC Financial World Elite MasterCard
The PC Financial World Elite MasterCard is a no-fee cashback card that offers 1.5% cash back on all purchases. It pays out monthly, which means you can get your rewards in the mail soon after making your purchases. The annual fee is $0 and there are no foreign transaction fees.
The PC Financial World Elite MasterCard has no foreign transaction fees, which means you can use it to make purchases in another country without incurring extra charges. It also comes with a complimentary travel insurance package and worldwide concierge service.
The PC Financial World Elite MasterCard is a good option for Canadians who want to earn cash back on all their purchases. It’s also useful for those who travel frequently.
The Home Trust Preferred Visa
The Home Trust Preferred Visa is the best cashback credit card in Canada, and it’s also one of the most straightforward. You earn 1% cash back on all purchases, with no limit to how much you can earn. You can redeem your cash back as a statement credit, or as a cheque (although it would be better to get those cheques directly from your bank).
The one downside? You won’t see any interest charges on this card until six months have passed since opening your account—and even then only if you make at least $3K worth of purchases per month (which means that many people won’t qualify).
And that’s why it’s not the best cashback credit card in Canada. If you want to save some money on interest rates, look into Home Trust Preferred Visa’s sister card instead: the Home Trust Secured Credit Card. With this one, you can get a secured loan that requires a $200 deposit and an interest rate of 6.99% (much better than the average credit card).
All of these cards come without an annual fee, and all provide more than 1% cashback on purchases.
One of the best things about these cards is that they come without an annual fee. This can make them a great choice for those who don’t have a lot of money to spend on their credit card every month, but still want some cashback rewards on their purchases.
All three of these cards also offer more than 1% cashback on purchases: up to 3% back with the Barclaycard Arrival Plus World Elite MasterCard; 4% back with the American Express Premier Rewards Gold Card; and 5% back with the Citi Double Cash Card.
That means you’ll get a lot more than 1% cashback on your purchases. And that can really add up over time, especially if you’re making significant purchases with your credit card.
Conclusion
If you’re looking for a cashback credit card that gives you real return on your purchases, the above list of top 5 cards is for you. These cards all have no annual fee and provide more than 1% interest rate on purchases in Canada.
With this many options available, it can be difficult to choose which one best fits into your lifestyle and wants. The choice is yours: find one that works best with your budgeting habits! Thanks for reading, please let me know your thoughts and comments below.