Best Cash Back Credit Cards in Canada for 2023
A cashback card is a card that allows you to earn a percentage of cash back in specific purchase categories or a flat rate on all purchases. The way cash back credit cards work is that you receive your cash as a statement credit, a cheque, or deposit you can use towards a financial goal.
Cash back is one of the most attractive credit rewards options because unlike points, you can spend it however you choose. There are no rules or restrictions on how you use your cash.
But which cashback credit card is best for you? We’ve done the leg work of comparing all the options to help you pick the perfect cash back card for your spending.
In This Article:
Best Canadian Cashback Credit Cards by Category
|Credit Card||Best For||Annual Fee||Apply for Card|
|Tangerine Money-Back Credit Card||Best no annual fee cash back||$0||Apply Now|
|CIBC Dividend® Visa Infinite* Card||Best cash back for gas, EV charging, and groceries||See terms below||Apply Now|
|SimplyCash® Preferred Card from American Express||Best flat-rate cash back||$9.99/month (Equals a total fee of $119.88 annually)||Apply Now|
|Rogers™ World Elite® Mastercard®||Best cash back for travel||$0||Apply Now|
|Scotia Momentum® Visa Infinite* card||Best cash back for groceries and bills||$120|
First year free
|BMO CashBack® Mastercard®*||Best no annual fee cash back for groceries||$0||Apply Now|
|Neo Credit||Best perks||$0||Apply Now|
Best No Annual Fee Cashback Credit Card
Tangerine Money-Back Credit Card
– Minimum Credit Score: Fair-Good
– Minimum Income: $12,000
– Age: 18+/Age of majority
– Residency: Canadian Citizen/Permanent Resident
– Other: No bankruptcy for the past 7 years
The Tangerine Money-Back Credit Card lets you earn 2% cash back in 2 spending categories, or 3 spending categories if you deposit your cash back into a Tangerine Savings Account. These spending categories are flexible enough to reflect your spending habits which, if they happen to change from time to time, you can choose new categories every 90 days. You’ll earn 0.5% cash back on all other purchases, without any tiers, caps, or limits. Your cash back is dispersed monthly, which means you never have to wait to reap the rewards of your spending.
For the first 30 days of card membership, cardholders can transfer a balance to Tangerine and pay just 1.95% interest for 6 months, 1% transfer fee applies* (19.95% after that).
It’s important to note that if you have an annual personal income of $60K or household income of $100K, it makes sense to consider the Tangerine World Mastercard® instead, which offers the same rewards rates as the Tangerine Money-Back Credit Card, but it comes with more features like mobile device insurance, airport lounge access, and car rental insurance.
- Annual Fee: $0
- Cash Back Structure: 2% cash back on 2 personal spending categories you select (can be changed every 90 days), 0.5% on all other purchases
- Cash Back Perk: An extra purchase category (totaling 3) to earn 2% cash back if you deposit the cash back you earn to a Tangerine Savings Account
- Additional Perks: Extended warranty doubles the manufacturers’ original warranty by up to one additional year
- Welcome Offer: Special 10% extra cash back rate on the first $1,000 spent with the card on everyday purchases (max. $100 cash back) in the first two months if you're approved, apply by July 5, 2023.*
We think the Tangerine Money-Back Credit Card offers the best flexibility in earning cash back. Even though there’s a limit to how often you can change your spending categories, you still get to choose your own and there is no limit to the cash back you can earn, ensuring you’re truly getting the most bang for your buck on all your spending, plus there’s no annual fee.
Tangerine’s Money-Back Credit Card is the perfect option for pure cash back potential without any limits or fees. Tangerine will also give you an extra high earning cash back purchase category if you direct your cash back earned to a Tangerine Savings Account, making this the best card for anyone who’s using cash back towards a financial goal.
Apply for the Tangerine Money-Back Credit Card.
*Terms and Conditions apply
Best for Gas and Groceries
CIBC Dividend® Visa Infinite* Card
– Minimum Credit Score: Excellent
– Minimum Income: $60,000 individual or $100,000 household†
– Age: Age of majority in province
– Residency: Canadian resident
– Other: No bankruptcy for the past 7 years
The CIBC Dividend® Visa Infinite* Card caters to Canadians that dole out a substantial amount of their funds on eligible gas, EV charging, and grocery purchases, giving high 4% cash back rates for purchases in those categories after the Welcome Offer ends†. Though there are annual caps for earning at the card’s accelerated rates (see ‘Cash Back Restrictions’ below), the limits are quite high, and there’s no cap on how much cash back can be earned overall.
- Annual Fee: $120 primary cardholder, $30 each authorized user (up to 3)
- Welcome Offer: Get a first-year annual fee rebate and earn 15% cash back welcome bonus of up to $300 (first 4 statements)!†
- Cash Back Structure: After that 4% cash back on eligible gas, EV charging, and grocery purchases†; 2% cash back on eligible transportation, dining purchases and recurring payments†; 1% cash back on all other purchases†. Also, get cash back on demand – redeem your cash back at any time when you have a minimum of $25 through CIBC Online and Mobile Banking®†
- Cash Back Restrictions: 4% and 2% cash back rates apply up to $20K worth of annual eligible grocery, gas, EV charging, transportation, dining, and recurring bills; or up to $80K in annual purchases overall.† After crossing one of those two milestones all eligible spending earns 1% until the rates are reset in December.
- Interest Rates: 20.99%† Purchase Annual Interest Rate, 22.99%† (for non-Quebec residents only) Cash Advance Annual Interest Rate, and 22.99%† (for non-Quebec residents only) Balance Transfer Annual Interest Rate
Take a look at your monthly spending. If gas and groceries took the biggest bite out of your budget, which is likely the case for many families and commuters, we recommend applying for the CIBC Dividend® Visa Infinite* Card and calling it a day. If you spend at least $250 on gas and groceries each month, you’ll earn enough cash back in a year to make up for the annual fee.
Note: If you don’t meet the CIBC Dividend® Visa Infinite* Card’s annual income requirements, check out the CIBC Dividend Platinum® Visa* Card instead. Its cash back features are almost as strong as the CIBC Dividend® Visa Infinite* Card’s, but it comes with a less comprehensive insurance package and a minimum annual household income requirement of just $15,000.†
Apply for the CIBC Dividend® Visa Infinite* Card.
This is a digital-exclusive offer.† To be eligible for this offer, you must apply for a new eligible card using the “Apply Now” link available on this webpage.†
Quebec Residents – Learn More about this CIBC product here
Résidents du Québec : Pour en savoir plus sur ce produit CIBC, suivez ce lien
Best Flat-Rate Cash Back
The SimplyCash® Preferred Card from American Express
– Minimum Credit Score: Good-Excellent
– Minimum Income: N/A
– Age: 18+/Age of majority
– Residency: Canadian Resident
The SimplyCash® Preferred Card from American Express provides you with a nice Welcome Bonus: In your first 10 months as a new SimplyCash® Preferred Card from American Express Cardmember, you can earn a $40 statement credit for each monthly billing period in which you spend $750 in purchases on your Card. This could add up to $400 in statement credits in the first 10 months. Conditions apply. Earn 4% cash back on eligible gas station purchases in Canada, 4% cash back on eligible grocery store purchases in Canada (up to $1,200 cash back annually) and 2% cash back on all other purchases. The card also offers buyer’s assurance and purchase protection, doubling the manufacturer’s warranty on purchases by up to one year while also insuring them against damage or theft.
- Annual Fee: $9.99/month (Equals a total fee of $119.88 annually)
- Welcome Bonus: In your first 10 months as a new SimplyCash® Preferred Card from American Express Cardmember, you can earn a $40 statement credit for each monthly billing period in which you spend $750 in purchases on your Card. This could add up to $400 in statement credits in the first 10 months. Conditions apply.
- Cash Back Structure: Earn 4% cash back on eligible gas station purchases in Canada, 4% cash back on eligible grocery store purchases in Canada (up to $1,200 cash back annually) and 2% cash back on all other purchases
- Additional Perks: Access events and special offers curated for Cardmembers with American Express® Experiences, $100,000 Travel Accident Insurance, Buyer’s Assurance Protection Plan and Purchase Protection Plan
We love that with the SimplyCash® Preferred Card from American Express, you’ll get the nice value everywhere, all the time, with the base earn rate. The annual fee, although not the highest we’ve seen, is still an annual fee that other cards may forego.
Apply for the SimplyCash® Preferred Card from American Express.
Best Cash Back for Travel
The Rogers™ World Elite® Mastercard®
– Minimum Credit Score: Good-Excellent
– Minimum Income: $80,000 (personal)
– Age: 18+/Age of majority
– Residency: Canadian Resident
The Rogers™ World Elite® Mastercard® gives you $25 in cash back rewards as soon as you make your first purchase. You’ll earn 3% cash back on purchases made in U.S. dollars, either online or abroad and 1.5% cash back on all other purchases.
There is a foreign transaction fee of 2.5%, but there are some additional perks like the travel insurance coverage and complimentary membership to Mastercard Travel Pass provided by DragonPass
- Annual Fee: $0
- Welcome Bonus: $25 bonus cash back after first purchase (conditions apply)
- Cash Back Structure: 3% cash back on purchases made in U.S. dollars and 1.5% cash back on all other purchases
- Additional Perks: purchase protection and extended warranties on purchases you make with the card.
For a no-fee card, the Rogers™ World Elite® Mastercard® truly delivers. Their earn rate on U.S. dollar purchases and everyday rate all purchases means this card puts money in your pocket, no matter where you’re shopping. Moreover, the sweet travel perks make it the perfect trip companion.
Cardholders will earn 3% cash back on each of their purchases made in U.S. dollars, which nets them 0.5% after factoring out the foreign transaction fee (2.5%). If you’re a U.S. frequent traveler and cash back is your favorite credit reward, this is the only card you should have in your wallet!
Best Cash Back for Groceries and Bills
Scotia Momentum® Visa Infinite* card
– Minimum Credit Score: Excellent
– Minimum Income: You must have a minimum annual income of $60,000 or a minimum household income of $100,000 or a minimum assets under management of $250,000
– Age: 18+/Age of majority in province
– Residency: Canadian Citizen/Permanent Resident
With the Scotia Momentum® Visa Infinite* card, you’ll earn 4% for every $1 you spend on groceries, recurring bills, and subscription services, 2% on gas purchases and daily transit, and 1% on everything else with no cash back limit.
The 4% cash back at grocery stores as well as on subscriptions like Netflix, HelloFresh, or Chefs Plate is the highest earn rate for these budget items we pay. With 2% on on gas purchases and daily transit (including Uber) and 1% on everything else, the Scotia Momentum® Visa Infinite* card is an urban professional’s dream.
- Annual Fee: $120 (waived in the first year¹)
- Welcome Bonus: Earn 10% cash back on all purchases for the first 3 months (up to $2,000 in total purchases).¹ No annual fee in the first year, including on supplementary cards.¹ Offer ends June 30, 2023.
- Cash Back Structure: 4% cash back on all grocery, recurring bills, and subscription services, 2% cash back on gas purchases and daily transit, and 1% cash back on everything else with no cash back limit
- Additional Perks: New mobile Device Insurance, Trip Cancellation and Trip Interruption Insurance, plus Travel Emergency Medical Insurance, Flight Delay Insurance, Delayed and Lost Baggage Insurance
If you think about how many recurring bills you have, from cellphone bills to your gym membership, you can see how the Scotia Momentum® Visa Infinite* card will let you earn a ton of cash back easily. Few credit cards can keep up with the cash back earn rate of the Scotia Momentum® Visa Infinite* card.
However, there is one major downside: your cash back accumulates monthly but is only paid out once per year. If you like to get your hands on your rewards sooner rather than later, waiting for your annual payout can be a major bummer.
Nevertheless, the extra perks of the card including travel insurance and new mobile device insurance can make waiting for your cash back payout worth it.
Apply for the Scotia Momentum® Visa Infinite* card.¹ Conditions Apply. Visit here for the Scotia Momentum® Visa Infinite* Card to learn more.
Best No Annual Fee Card for Groceries
BMO CashBack® Mastercard®*
– Minimum Credit Score: Good
– Minimum Income: $15,000
– Age: Age of majority in province/territory
– Residency: Canadian resident
The BMO CashBack® MasterCard®* offers the highest cash back on groceries in Canada without paying an annual fee†, at 3%*. That’s competitive with a number of upper-tier cards charging annual fees in excess of $100+. It also offers a second accelerated earn rate of 1% on recurring bills, as well as a more standard 0.5% on all other eligible purchases*.
- Annual Fee: $0
- Welcome Offer: Get up to 5% cash back in your first 3 months, plus a $50 cash back bonus (when you spend $6,000) in your first year – that’s up to $175 cash back in your first year!*
- Regular Cash Back Structure: 3% on groceries*; 1% on recurring bills*; 0.5% on all other purchases*
- Balance Transfer Promotion:0.99% introductory interest rate on Balance Transfers for 9 months, 2% fee applies to balance amounts transferred*.
If groceries represent a huge, ever-present expense for you (as they do for most people), it’s a smart move to get a credit card that pays back on your repeated trips to the market. The BMO CashBack® Mastercard®* is an accessible way to maximize return on spending for those who can’t stomach paying an annual fee, or who don’t meet the income requirements for some of the upper-tier cards on this list.
The card’s only real shortcoming is that the enhanced cash back rates are limited: You can earn at the 3% and 1% rates only on the first $500 worth of grocery and recurring bill payments respectively each month*. If your monthly expenditures in those categories exceed $500, you should probably shell out for a card with an annual fee, but with a higher ceiling on the amount of cash back you can accrue.
Apply for the BMO CashBack® MasterCard®*.
*Terms and conditions apply
†Statement based on a comparison of the non-promotional grocery rewards earn rate on Canadian cash back credit cards as of January 4, 2023.
Best Cash Back Credit Card for Perks
– Minimum Credit Score: Fair-Good
– Minimum Income: N/A
– Age: Age of majority in province/territory
– Residency: Canadian citizen/permanent resident
No credit card “has it all,” but some come pretty close. The Neo Credit Card makes sure you get what you want out of your credit card by, well, letting you choose what you want.
Everybody will earn up to an average of 5% cash back on qualifying purchases with more than 10,000 Neo partners. These include your favourite restaurants, stores, and even utilities companies (although that last one probably isn’t your “favourite” anything) so cash back below or above that advertised average depends on current offers and partners. There are no limits on how much cash back you can earn. Plus, you can get up to 15% back in Welcome Bonuses for first-time purchases at certain Neo partners.
As for the benefits, those can be up to you. You’ll be able to choose from more than six different subscription packages that include benefits and perks like cash back boosts, insurance, and more. For example, the Travel package helps you earn boosted cashback at travel partners and includes comprehensive travel insurance, and the Everyday Essentials package gives you a 1.5x cash back boost when you buy groceries or gas at partners.
You can choose all of these, none of these, or stack a few and switch things up whenever by just subscribing or unsubscribing to perks. Perks range from $0.99 to $9.99 a month.
- Annual Fee: $0
- Cash Back Structure: Earn an average of 5% cash back at more than 10,000 partners
- Cash Back Perk: Unlimited cash back, up to 15% cash back on first-time purchases at select Neo partners
- Additional Perks: Varies depending on which subscriptions you choose
- Welcome Offer: New Neo Credit Cardholders receive a $25 Welcome Offer Bonus for signing up with our link. Terms and conditions apply.
All-in-all, we think Neo Credit is a terrific card, and it probably doesn’t need our help showing you that. This is the card for anyone who’s ever felt like they need to choose between two cards because you like the rewards better for one and the perks better for the other. This card gives you great base rewards with the option to pay extra for a more premium experience.
Obviously, our favourite thing about Neo Credit is the monthly perk subscriptions. The subscriptions are flexible, convenient, and varied enough that this card can cover most of the top spending categories including dining, travel, shopping, and more. And for the value a subscription can offer you if you take full advantage, we think the prices are more than fair.
Breakdown by Annual Cash Back Earned
|Card Name||Earn Rate||Annual Fee|
|CIBC Dividend® Visa Infinite* Card||Earn 15% cash back welcome bonus of up to $300!†|
After that 4% cash back on eligible gas, EV charging, and grocery purchases†; 2% on eligible transportation, dining, and recurring payments†; 1% cash back on all other purchases†
|SimplyCash® Preferred Card from American Express||Earn 4% cash back on eligible gas station purchases in Canada, 4% cash back on eligible grocery store purchases in Canada (up to $1,200 cash back annually) and 2% cash back on all other purchases||$9.99/month (Equals a total fee of $119.88 annually)|
|Rogers™ World Elite® Mastercard®||3% cash back on purchases made in U.S. dollars, 1.5% cash back on the rest||$0|
|Scotia Momentum® Visa Infinite* Card||4% cash back on groceries and recurring bills; 2% back on gas and daily transit; 1% on everything else||$120 (first year waiver1)|
|BMO CashBack® Mastercard®||3% cash back on groceries*; 1% on recurring bills*; 0.5% on everything else*||$0|
|Tangerine Money-Back Credit Card||2% cash back in up-to 3 categories 0.5% on everything else||$0|
|Neo Credit||5% cash back average at more than 10,000 partners, up to 15% cash back on first-time purchases at select Neo partners||$0|
How We Compared and Chose the Cards
For each cash back credit card there are some broad criteria we look at when assessing a card’s merit. Here are some of the factors we considered when determining the best credit card in every category and the best card overall:
- Cash Back Earn Rate: The point of a cash back credit card is to earn cash back! However, which card will deliver the most cash back depends a lot on how you spend your money. Because most cash back credit cards provide more value in some purchase categories than others, your own spending patterns will determine if a tiered rewards or flat-rate earnings structure is best.
- Promotional bonuses: We love credit cards that deliver major perks sooner than later, which is why the promotional balance matters when signing up for a credit card. We did our main assessment without factoring any time-sensitive bonuses, but make sure you consider how extra cash back or a faster earn rate for a certain period can make one card stand out above the others for you.
- Annual Fee: An annual fee can really cut into the value of a cash back credit card, so you have to ensure the dollar value it provides in cash back and other perks exceeds this cost. In order to come up with an accurate comparison, we presented the above cards’ net cash back earnings after subtracting the annual fee.
- Redemption Structure: How you get your cash back is as important as earning it! Some cards disperse cash back monthly, others annually, and some only when you hit a minimum balance threshold. Since many cash back credit cards will only disperse cash back to a chequing or savings account at the same bank, you might want to stick with one of the financial institutions you’re already using if you really want cold hard cash. However, virtually all cash back credit cards let you use your cash back as statement credit, so you have your pick!
- Overall Value Relative to Cost: Free isn’t always better. We determine if features like a big welcome bonus, strong redemption value, or high earn rate trump a card’s annual fee.
- Other fees: Annual fees aren’t always the only cost of owning a credit card. We factor in other charges like foreign transaction fees and balance transfer fees into the mix.
- Special features and perks: Benefits like extended warranties, discounts, premium insurance packages and exclusive invites warrant scrutiny. When assessing a card’s added perks, we also consider their relevance for the cardholder. We know cash back cards are a favorite of savvy shoppers, so discounts or freebies stand out as fringe perks.
How to Choose the Best Cash Back Credit Card
When comparing cash back cards, make sure to consider how much cash back it will really deliver to your budget. Where and how you spend your money is the biggest determining factor! However, other things like where you bank, how often you want to receive cash back, how you want to use your cash back, and if you want other perks from your credit card will make it easier to choose. The items listed below are the most important to think about when applying for a cash back credit card.
Promotional Earn Rate
Many cash-back credit cards will offer a short term promotional earn rate, that will let you earn a supercharged amount of cash back on some or all of your purchases. This typically lasts for up to 3 months and can make a big difference in the card’s benefits to you. If you’re planning to make a large purchase with your credit card, like booking a vacation, a generous cash back promotion can really pay off!
Earn Rate By Spending Category
Cash back credit cards either offer a flat rate of cash back, or they offer tiered rates, with higher returns in some spending categories than others. Knowing your personal budget and spending behavior will tell you where you spend the most money, and therefore can reap the most rewards! Many cards offer higher cash back earn rates on groceries and gas purchases, but a lower rate on everything else. Review your own spending patterns to determine if you’ll earn the most from a flat-rate cash back card, or if you can benefit from one that rewards specific categories of purchases.
Cash Back Caps
One of the more frustrating aspects of some cash back credit cards is a cap on how much cash back you can earn. Sometimes this cash back is only for the promotional period at a higher earn rate, but sometimes it’s for a specific spending category or overall for the card. Most cash back caps are quite high, but some are surprisingly low which can really put a damper on the value of a card. However, there are plenty of cash back credit cards out there that let you earn unlimited cash back! Knowing how much you’re planning to charge to your credit card before you apply will tell you if you’ll hit a cash back limit or not, so do the math before you apply.
Redemption Frequency and Flexibility
Virtually all cash back cards will give you the option to use your cash back for statement credit. Others will deposit it to a chequing or savings account. Some cash back cards require you to hit a minimum cash back balance of $25 or $50 to redeem, whereas others will automatically disperse any amount you’ve earned. There are cash back cards that pay monthly, and ones that pay annually! The schedule and threshold required to access your cash back that you feel comfortable with is totally personal to your spending habits.
Paying an annual fee for a cash back credit card seems counter-intuitive, but it can be worth it if the card offers a particularly high cash back rate and other perks. Don’t write off a card with a fee immediately, as the rewards sometimes pay off the fee. Do the math to find out if the amount you plan to spend on the card will generate enough cash back to justify the cost!
A card’s payment processor, whether Visa, Mastercard, or American Express, can tremendously impact its cash back value to you. If your favorite grocery store where you do most of your spending doesn’t accept American Express, it doesn’t matter how great the cash back rate is! To truly earn cash back from a credit card, you need to make sure it’s accepted where you shop, so take this into consideration before you apply.
Cash back is one of the most attractive credit card rewards options because it has the most flexibility. Instead of being limited to travel redemptions or merchandise purchases, you can use your cash however you want. The best cash back card for you depends on your spending behavior and earning preferences, but you can feel confident choosing one from our list.
- Tangerine Money-Back Credit Card vs. BMO CashBack Mastercard
- Best Credit Cards for Groceries
- Best Credit Cards for Online Shopping
- Best Credit Cards for Gas in Canada
- Best Credit Cards for Amazon Purchases
- Cash Back vs. Points
I spent 4000-6000 cad per month. I have been using Td visa infinity and get about 50$ cash back. I think I can be able to get more cash back from another bank.
Which credit card do you recommend to me?
It really depends on what purchases you make most and what you’d like Cash Back from. SimplyCash from Amex is pretty good, but Amex isn’t accepted a lot of places. You might want to check out our article on the best cash back cards in Canada for 2021: https://www.greedyrates.ca/blog/best-cash-back-credit-card-canada/
Definitely do not recommend the Scotia momentum visa infinite card. I’ve had this card for a year and have had several reoccurring bill payments on it (insurance, two different cell phone bills and a couple monthly subscriptions). The only one they have given me 4% cashback on is my amazon membership. And yes I have made sure that my payments are preauthorized to come out monthly. Even when you call them they have no understanding of why these are not being credited as by their definition of reoccurring bill payments they should be.
Yeah, that’s an error because I’ve certainly heard from people that they have gotten cash back on recurring bill payments. I have no idea why your account would slip through the cracks. It’s weird and I would keep pursuing it and holding them to account.
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Sample cSome cash back credit cards in Canada come with an annual fee. It is important to take the annual fee into account before applying for a cash back credit card. Do some math to evaluate your monthly spending vs. the annual fees. It would only make sense to apply if the result is positive. But there is some great cash back credit cards such as Tangerine Money Back Credit Card with no annual fees and Scotia Momentum Visa Card with a low annual fee of $39. Compare all cash back credit cards to find the one that suits you best.ontent
So the TD CashBack has the “best” cash back promotion with 6% for the first 3 months while the Scotia Momentum has 10% for the same three months… okay. And the American Express Preferred offers 5% for the first 6 months – up to $300. You guys don’t have really accurate lists.
Base earn rate decreasing:
* Old: 1.75% cash back on non-Rogers purchases; 2.00% cash back on Rogers products
* New: 1.50% cash back on all CAD purchases, including Rogers products
Foreign exchange purchases earn rate decreasing:
* Old: 4.00% cash back on all purchases made in foreign currencies
* New: 3.00% cash back on USD purchases only
This year I’m trying all no-fee cash-back cards. I use Tangerine and get 2% back in 3 categories: recurring bills, hotels, and grocery stores. I use the Costco no-fee Capital One card for gas 2%, and restaurants 3%, and the rest with the Rogers MasterCard because I’m a big Costco shopper and buy most of my things there. I used to have the MBNA World Elite card but cancelled it when their fee went from $80 and 2% on all purchases to a fee of $120 and paid 1.66% on purchases. I deal with RBC so I use my debit card at Petro-Can and get 3 cents off a litre of gas.
Thanks for your response Nate. However, I think you’re confusing the CIBC Dividend Visa with the CIBC Dividend INFINITE which is what I was inquiring about. The Infinite offers 4% on gas and groceries. So how does CIBC Dividend INFINITE compare with Meridan Visa Infinite? If you could let me know asap as I need to pick one. Many thanks.
How does CIBC Dividend Infinite compare with the Meridian Visa Infinite?
There are some pretty significant differences between the Meridian Visa Infinite card and the CIBC Dividend Visa, because these two cards are in completely different tiers. It’s crucial to understand that if you want the Meridian Infinite card then you’ll need to both pay a higher annual fee and show a higher annual income, so whether this is worthwhile depends on the cards themselves and how they fit into your lifestyle. For example, if groceries are a big expense then the Meridian card’s extra 2% cash back on groceries might nullify the annual fee entirely.
The Dividend Visa gives you just 2% cash back on groceries alone, no other earning categories. You’ll get 0.50% everywhere else, and then 1% if you spent at least $6,000 each year. That’s about it besides extended warranties and purchase protection. Meridian adds 2% to the grocery category (4% total on gas and groceries), then 2% on pharmacy and utility bills, with 1% elsewhere. If you have the income to be eligible then try it out, because it’s better in nearly every way than the Dividend card and you’ll even get the first year’s $99 fee removed as a bonus.
With Scotia Momentum Visa Infinite Credit Card changes (higher fees and 2% on gas but 4% on recurring bill), does CIBC Dividend Infinite offer a better value now?
When comparing the newly updated Scotia Momentum Visa Infinite and the CIBC Dividend Visa Infinite, the main determination is whether or not you miss the value that Scotia used to offer on gas purchases. That’s because the two cards are quite similar, but the CIBC card preserves your ability to earn 4.00% on gas, while Scotia replaced this feature with cash back on recurring bills instead. Another consideration is CIBC’s generous introductory bonus, which is currently a first-year annual fee rebate ($99) plus 10.00% cash back in your first 4 months up to a maximum of $2,000 spent. You should also check out the TD Cash Back Visa Infinite card, which has similar perks. Best of luck!
Just wanted to throw my two cents in the ring and see what kind of response my plan will be going forward if there is anything better I have not come across… Currently using the Scotia Momentum infinite (gas + groceries + reoccurring phone bill), MBNA world elite ( basically everything else) and brim (all foreign purchases except gas, when using exchange calculators still appears like the 4% back gives you a better deal still usually averaging 1.2 to 1.4% back after foreign fees) (I live on a border town so frequently make purchases there)
Going forward I am looking at getting Meridian Visa infinite as it most closely resembles what I liked out of the Scotia card (gas + groceries and reduced yearly fee), I would still use the other 2 cards in the same manner.
I looked at the tangerine card (as a MNBA replacement) haven’t run the numbers yet but with only 2 categories for 2% back unless having an account with them I’m not sure I would get quite the same return as the MNBA even with their increased yearly fee and reduced points for cashback but as I said I haven’t actually sat down and done the math so only a judgement call at this point ( just as a rough point first year I had card 2017 I got around 1200 to 1300 cashback , 2018 around 1000, this year so far 180 before points change and 305 after points change….. so if I were to make $700 back from MNBA world elite on their new points system would be $42,000 spent, I would then have to spend at least around $28000 a year in those two 2% categories by tangerine to still break even around the same cashback.) Just curious anyone who has been using the Tangerine card whether the 2 or 3 , 2% cashback categories what sort of returns have you been seeing for total amount spent on card and what categories have you selected?
Just wanted to chime in, I was researching cards here last year and got the Scotia Momentum Infinite, got the notice of changes in the mail and I am ditching that card like a dirty shirt (after I get my November statement credit of course). I used that card exclusively for Grocery and Gas, so moving gas down makes it no longer worth the annual fee. I am using a 3-way combination go-forward of the CIBC Dividend Infinite (4% Gas/Groceries – Hello Gift Cards!), Tangerine Cash-Back for 2% in 3 categories and Rogers World Elite (1.75% everywhere including @ Costco, effective 1.5% on USD transactions)
Hey Scotia Made a Mistake,
That’s quite the cheeky name. We can see why you’d drop the Scotia Momentum Infinite card given its planned upcoming changes, however, and also because you’ve already formulated quite the strong mix of replacements! You’ve got groceries, gas, three categories of unknown purpose with Tangerine, and then abroad and everywhere else that 1.50%+ via the Rogers World Elite.
We’ve got some questions and follow-up suggestions, too. Which categories did you choose for the Tangerine MoneyBack card? Do you find it an issue that your cash back is effectively limited in the fact that it must be deposited into a Tangerine Savings Account, or do you like banking with Tangerine? If you’re able to meet the annual income requirement for the Rogers World Elite, then why not try to consolidate all three cards with one or two that do the same job? The BMO Cash Back World Elite Mastercard (5.00% on everything for 3 months, then 1.50% plus great perks) and the Home Trust Preferred Visa, for example, are a powerful couple that by themselves challenge your trifecta there. Check them out!
Just got mail. Scotiabank is changing the momentum $120 + $30 4% gas and recurring bills. 2% gas etc. Not as great as before
True. For some cardholders the Scotiabank Momentum card’s upcoming changes will be a downgrade, and for others, a huge upgrade. Here’s the bad: yes, the annual fee is increasing, the interest rate is increasing, and they’re removing gas from the accelerated earnings category. However, for those who have steep recurring bills, high daily transit expenses, or who plan to buy a new mobile device soon, the card is a great benefit. Why? Added cash back on both of the former categories, and $1,000 worth of insurance covering new tablets and smartphones bought with the Momentum card. Ever dropped a new phone and immediately been out hundreds of dollars? Carry this card and the issue is nonexistent.
Scotia is also including trip cancellation insurance with the card, which is a huge boon considering how unreliable most airlines can be. Essentially, the new Momentum is in a whole new class than the “old” Momentum, and its ultimately your choice if you’re keeping it or replacing it. In the latter case, let us know if we can provide a set of alternatives, and we’ll hop to it.
We too are shopping around (again) due to changes to the Scotiabank card. Looking for Visa alternatives.
If you’re looking for cash back Visa alternatives to the Scotia Momentum card, now that it’s got some unavoidable changes on the horizon, we’ll highlight a couple of the best. Though the TD Cash Back Visa Infinite card may seem hauntingly similar to the card you’re letting go, perhaps it’s a good thing considering that you’ll be able to experience a generous 10.00% cash back bonus again! TD’s Infinite Visa offers that 10.00% on all purchases for your first 3 months, then 3.00% on groceries, gas, and regularly occurring bill payments. With 1.00% elsewhere, and some other great perks like travel medical insurance it’s a real winner.
Your second-best alternative to the Momentum Visa card is the Meridian Visa Infinite card, which offers its first year for free (no $99 fee), and a great regular rate on gas and groceries of 4.00%. While the bonus is lackluster, the Meridian card has the unique combination of extended warranties, purchase and price protection, and mobile device insurance all-in-one. If you’re willing to look outside of the Visa line and venture into Mastercard’s lineup, then your options expand even further. Good luck on the search!
I see Meridian is with Collabria Credit Cards – the reason I’m shopping for a new card is because Collabria doesn’t support downloads to home budgeting software. I’ve checked with them and they aren’t planning on adding to their current download format offering of: excel, comma delimited or MS Money (which is an outdated, no longer supported, money management software program) The excel format cannot be formatted for Quicken Software. If I want to use a budgeting program, I need to manually enter every transaction into the software…. sigh.
Hey Brett’s Mom,
We understand your frustration and have heard from other commenters recently about the same issue. If you find that your bank doesn’t support integration with budgeting apps, then you’ll need to determine which apps (if any) are supported, and if there aren’t any, make the decision to switch banks or do the legwork required to reformat the exports that are available. These apps tend to work best where regulations are encouraging of data transparency and universal standards for fintech, such as Europe, so Canada is still catching up for the moment.
You forgot the National Bank ECHO Cashback MasterCard.
The Scotia Momentum VISA Infinite Card is changing the fees and rates of return in the fall 2019, not for the better. Increased fees, and removing gas from 4% back, among other changes. Here are the details:
Current Annual Fees – Until July 31, 2019
Primary Cardmember card: $99.00
Each Additional card: $30.00
Your annual fee will change effective August 1, 2019, as described below. You will not be charged
the new annual fee until your next anniversary for your Account on or after August 1, 2019.
Changes effective August 1, 2019
Primary Cardmember card: $120.00
Each Additional card: $50.00
Current earn rates – Until July 31, 2019
• Earn 4% Cash Back on: o Groceries
• Earn 2% Cash Back on: o Drug Stores
o Recurring Bill Payments
• Earn 1% Cash Back on all other eligible
The Cash Back earn rates under the Program that apply to your Account are changing effective August 1, 2019.
We are also adding a NEW category that you can earn Cash Back on when you make purchases: Daily Transit.
Changes effective August 1, 2019
• Earn 4% Cash Back on: o Groceries o Recurring Bill Payments
• Earn 2% Cash Back on:
o Gas o Daily Transit (NEW)
• Earn 1% Cash Back on all other eligible
Appreciate you coming here to warn other readers about the upcoming changes. If you currently have the Scotia Momentum Visa Infinite card, you’ve probably received a notice from Scotia that the features and benefits of your card will be a bit different come August 1st, 2019. We’ll summarize the changes below briefly, so you can determine whether you want to keep the card or apply for a different one in the future.
The first notable change is an increase to the card’s $99 annual fee. It’s changing to $120 for primary cardholders and $50 (from $30) for secondary cardholders—a definite negative. Additionally, the annual interest rate on purchases is increasing by 1.00%, and Scotia has replaced Gas in the 4.00% earnings tier with Recurring Bill Payments. Gas is now in the 2.00% tier along with the new Daily Transit category (ride sharing and taxis etc.), and Drug Stores has been taken out, and lumped alongside other purchases at 1.00%.
For some cardholders who take transit frequently, the changes could be good. Added insurance perks help offset the higher fee as well, such as Mobile Device insurance for $1,000 which covers tablets and smartphones purchased with your card. Trip cancellation insurance has been added as well. The changes won’t be ideal for everyone, and when they arrive in August, we’ll post more about which cards are the best alternatives. Thanks again!
The best cash back card in my opinion now in Canada is Meridian Visa Infinite one. It has pretty impressive out of country insurance and way better than most of the competitors, considering the low annual fee of $99 only. It gives a permanent 4% cash back on Gas and Groceries, 2% on Pharmacy and utility bill payments. It has a lot of perks actually, I mentioned just a few.
Great comment! We’re also huge fans of the unique Meridian Visa Infinite Travel Rewards card and feel like it’s definitely underrated in the current market. Here’s why: it’s the only card that offers an accelerated rate of rewards (not cash back) when you use it to pay for things in a foreign currency. Similar to the Rogers World Elite and Platinum Mastercard, cardholders will see their rate of rewards boosted from 1.5 points per $1 spent to 3 points per $1 spent when purchasing abroad or online in GBP, USD, and any other currency that isn’t CAD.
Other awesome perks that you won’t find on many other cards are those like Meridian’s mobile device insurance, which offers $1,000 coverage when you buy a new phone with the card. In today’s age of delicate glass screens, this is incredibly valuable. With total coverage for medical emergencies among the highest in the industry along with the inclusion of trip cancellation and interruption insurance, the card is a curious one indeed. Many travellers who prefer rewards rather than discounted travel or cash back will love it.
Hey – can you elaborate about the comment about the Meridian Visa Infinite: “it’s the only card that offers an accelerated rate of rewards (not cash back) when you use it to pay for things in a foreign currency”. Is this still true? I can’t see anything about this on your write-up on it or on their website. Even on their terms/agreements, they mention a “2.50% Foreign Currency Conversion”.
No problem. If you’re wondering about how the Meridian Visa Infinite card works with foreign transactions and were confused by our comment above, it’s probably because we didn’t specify that we’re referring to the Meridian Visa Infinite Travel Rewards card, not the Meridian Visa Infinite Cash Back card. If you searched for the latter card you wouldn’t have seen anything about a foreign transaction fee feature, because it pertains largely to domestic transactions on groceries, gas, and other retail items. The Meridian Travel Rewards cards, however, do offer benefits on foreign currency purchases.
In net purchases made in Canadian dollars, you’ll earn 1.5 points for every $1 spent, and 3 points per $1 on net purchases made in foreign currencies. The fact that points earnings are accelerated on purchases made in Pounds, USD, Euros and other foreign currencies helps to offset the 2.50% fee that also occurs on these transactions. It’s definitely a card to consider if you travel, but you should also look at the Home Trust Preferred card and Rogers’ World Elite and Platinum cards for the same reason!
I use the MBNA World Elite Mastercard too and still have not seen the reduction.
My job entails me to use my credit card for work and Im using it every week for a specific purchase that is not groceries.
I am earning 2 percent right now. Do I have any better options?
I spend on this purchase at the same place about 35-40K per month.
Interesting. If you’re also not feeling the effects of the latest cash back redemption downgrade, then consider yourself lucky. We’ve had other readers also confirm that the downgrade hasn’t (yet) affected them, but we wouldn’t count on it lasting forever. In terms of cash back, at 2.00% on everything you’re currently getting the best rate among all other Canadian cards, so there’s no reason to switch just yet. Even if you’re downgraded, the MBNA World Elite Mastercard still represents one of the best cards in the upper tiers.
If you’re spending up to 40k per month, it could be that MBNA didn’t want to lose your business. That’s a lot of expenses, making you a very high-profile customer for any bank, and if it means giving you an extra 0.50% cash back, it’s likely worthwhile for MBNA. It’s just a guess, but regardless, enjoy the card while you can and come back to us if you experience the downgrade. At that point we’ll be able to better look into your financial habits and recommend a suitable alternative, and if you email us at [email protected], provide more precise information and avoid the worry over the publication of your personal income or spending habits, for example.
I have the MBNA World Elite Mastercard, and here we are on Feb 28th 2019, and I have not received any downgrade letter yet, and I just checked and I’m able to still redeem 100 points for $1 for cash rebate on their site, with a minimum of 1000 points to redeem. Not trying to brag or anything, I’d just be curious to know if other cardholders have also been spared the downgrade so far, despite many stating that Feb 1st 2019 was the deadline. My only guess is that they’re gradually phasing in the downgrades to portions of their clients, and not all clients at the same time.
By the way, my personal card strategy is to use the no annual fee Costco Capital One card for restaurants (3% cash back) and gas (2%) cash back, and will likely switch to the Rogers World Elite Mastercard if/when my MBNA gets downgraded. Since I don’t spend very much on gas or groceries, this is the optimal strategy for me. In fact, I only got the MBNA card about 3 years ago, after considering getting the Rogers card, but decided not to since I was misinformed thinking the cash back on the Rogers card could only be applied to Rogers products. I didn’t realize that you had the option to request a statement credit once a year. Considering I spend approx $25K on my card/year, the MBNA has netted me ($25K x 2% = $500 – $89 annual fee = $411 net annual cash back), whereas the Rogers could have netted me $25K x 1.75% = $437.50. I realize it’s not a huge difference, just annoying considering I wasn’t diligent enough to read the fine print for the Rogers award redemption terms at the time. Arrggghh! It obviously becomes a no-brainer to switch to the Rogers if MBNA increases the annual fee to $120 and increases the redemption rate to 120 point for $1 cash credit. (effective cash back rate becomes 1.67% as others have pointed out). At the risk of repeating myself, 1.75% cash back + no annual fee is much better than 1.67% cash back + $120 annual fee.
Thanks for your site, I really enjoy reading everyone’s experiences/opinions. Very informative.
Great to hear from you about your thoughts on the MBNA World Elite Mastercard, and if we were you, we’d try to keep your card a secret! It is strange that you’re still able to avail of the card’s old redemption model instead of the new upgraded version, which has been applied to all cardholders, as far as we’re aware. It could be that they’re gradually phasing the downgrade across their customers, or that you’ve been “grandfathered in”, for the time being. We expect that you’ll be hit with the downgrade in the coming months as you’ve already guessed, so it’s good that you’ve already begun the search for a replacement credit card.
For the moment, we like your cash back strategy. The way you’ve described it, you’re able to earn a lot on specific expenses like dining and gas, but on other purchase categories you could do better. We encourage you to check out the Rogers World Elite card now more than ever, as it’s recently been upgraded and should be a lot more enticing. Instead of once-yearly cash back redemption, Rogers just instituted anytime cash back redemption on its World Elite card, so you can redeem the cash back on individual statement items whenever you want (not just Rogers purchases). Its cash back earnings rates are unchanged, and still represent the best in the country at 1.75% flat rate on all purchases and then 4.00% on all purchases made in a foreign currency.
Thanks again for the shout-out and good luck with the MBNA card! We hope it continues to work for you (it’ll be our little secret) but if not, the Rogers card is a worthy backup.
Thank MontrealMatt – just applied for the Rogers Card tonight. MBNA jacked their fee and lowered the cashback – as you did the math for me – a real no brainer. Mentioned to my wife that often the comments on these articles are BETTER than the article itself. No offense to Greedy Rates, as I came here on purpose due to their good articles. I use to get a $100 cash rebate every month, but after checking my statements I haven’t gotten one since Feb (5 months now!) – will cash out in a month or 2 before my annual fee is charged.
Glad you’re finding value on our site, regardless of where or how! This is why we keep the comments section bustling, so enjoy!
You forgot to mention Presidents Choice Mastercard. They have no annual fee and offer 1% cash back for any domestic or foreign transactions (in PC points reedemable once you reached 10$ in participating stores like Loblaws, ValueMart etc.)
We appreciate your comment and the fact that you’re concerned about the validity of our list! We also assure you that the PC Mastercard was considered for our Best Cash Back Cards in Canada article, but it didn’t make the final list. There are simply too many excellent cash back cards to include them all, especially for one as limited as the PC card mentioned here. With a low cash-back rate and the restriction that one must redeem their cash at certain stores, there are alternatives with the same annual fee and applicant eligibility requirements that offer a better value proposition.
For example, check out the Tangerine Money-Back Credit Card. With no annual fee, it has the same financial impact on you as the PC Mastercard but offers double the cash back (2.00%) on two custom purchase categories of your choice (gas, groceries, home improvement, recurring bills, pharmacy, and more). With the ability to earn a third 2.00% cash back category for opening a Tangerine bank account, you stand to earn much more cash back with this card.
For more no-fee cash back cards, simply navigate to our site and then filter by ‘No annual fee’ in the sidebar’s ‘Additional filters’ menu while on the cash back page. Best of luck!
Hello, just discussed redemption options with Rogers. Other that redeeming for Rogers services throughout the year. You can only get a cash redemption to your statement once a year in January, if you request it.
We hope your user name doesn’t mean you’re overwhelmed by the number of credit card options available to you. If so, we can definitely help. The Rogers Platinum Mastercard you mention does offer once-yearly lump sum redemption applied to your statement, which is an effective way to redeem your cash back, but it can lack flexibility for some people. We know of some other credit cards that let you use your collected cash or rewards more frequently.
The Tangerine Money-Back Credit card is an excellent earner because it allows you to pick the categories where you earn the most cash back. Then, you can redeem the cash monthly against your statement, or even send it to a Tangerine Savings Account. If you choose the latter option, then you’ll unlock a third purchase category where you’ll earn 2.00% cash back. Another alternative to the Rogers card is the RBC Cash Back Mastercard with No Annual Fee. This is more flexible because any time you have at least $25 worth of cash back in your account you can redeem it.
The card also has no annual fee, a great balance transfer deal, and earns cash back on a wide variety of everyday purchases. Hope you find something that suits you. Let us know!
Rogers just lifts the restriction of once a year cash redemption. Users can now redeem cash credit toward the next purchase. The purchase no longer has to be for Rogers’ merchandise.
Thanks for the comment. We’re aware of the nice quality-of-life changes Rogers just brought to their World Elite card and think this is a great opportunity to enlighten other readers. Starting earlier this month in February 2019, Rogers enabled any-time cash back redemption for their World Elite card, which means those who are already earning 1.75% cash back with the card in Canada can redeem it to pay items on their statement anytime. Considering the card’s awesome 4.00% cash back on foreign currency purchases and $0 annual fee as well, the extra flexibility is appreciated further.
I was very upset when I received the MBNA letters. I obtained the TD infinite Visa with the annual fee waived and 6% bonus, but I found out the hard way that I cannot use it at Costco.
So I applied for the Tangerine MC for the 2% groceries category but then heard that Costco isn’t categorised as a grocery store. A poster below stated he was using his Tangerine for 2% on groceries at Costco. Can you tell me if this is true,will I get 2% for my Costco grocery purchases? Thank you guys for your information, I really appreciate it!!
Thanks for the questions and comments. It’s unfortunate that you had to learn the hard way that Visa cards aren’t accepted at Costco in Canada, and we’re afraid that you might experience another disappointment with the Tangerine Mastercard. Disappointingly, Mastercard doesn’t recognize Costco as a grocery merchant, so you won’t be able to earn cash back at an accelerated rate with the Tangerine Mastercard. You’d instead be earning at 0.50%. Your best bet for a Costco card is to find a Mastercard that doesn’t discriminate between purchase categories and instead offers a favorable, flat-rate of cash back on everything you buy.
We’ve identified the Rogers World Elite Mastercard as one of the best cards for Costco currently, with a steady rate of 1.75% cash back on everything, everywhere. On purchases made in a foreign currency, however, this amount is boosted to 4.00% to offset the foreign transaction fee of 2.50%, netting you 1.50% on your overseas or online purchases. It has a $0 annual fee and is accompanied by some solid insurance perks to seal the deal. Check it out and let us know if you think it’s worthwhile.
Thank you for all the great information on your website. I found it very helpful since I’ve been shopping around for a new cash back card after being notified that MBNA Smartcash Visa is reducing their cash back rate. Based on reviews, I applied for the MBNA World Elite Mastercard, only to find out in your Comments section that they also plan to reduce their cash back rate. So I applied for the Amex Simply Cash Preferred card but am concerned that Amex is not as widely accepted as Visa.
I was tempted by the Scotia Momentum VISA Infinite but they only let you redeem your cash back once a year. I might still change their mind since they are rebating their annual fee.
What do you think of the TD Cash back Visa Infinite card? I haven’t found it on any of the sites like yours that compare credit cards. I don’t know if that’s because you don’t consider it to be a good deal or if it is a new offer.
They are currently offering 6% cash back on all purchases for three months and a rebate of their annual fee. After that, it’s 3% on gas, groceries and recurring payments, and 1% for all other charges. You can redeem at any time. I’d appreciate your thoughts on this.
Great of you to stop by and flatter us with your appreciation of our articles! It’s always good to hear that our research helps people—and also that the comments section is a great resource as well. In your case, the comments helped you determine that the MBNA Rewards World Elite Mastercard was getting its cash back redemption rate downgraded, so now you’re looking for an alternative.
It seems that you found a suitable option in the TD Cash Back Visa Infinite card, which we’ve absolutely reviewed and found to be a very worthwhile pickup. The annual fee rebate and 6.00% cash back bonuses are particularly strong, but remember that you’ll need to apply through our link and get approved before August 27th, 2018 to be eligible. It’s also crucial to realize that the 6.00% cash back rate is only available to a maximum of $210 collected cash back, so using it to offset series of large grocery bills will see the promotion ended before its 3-month cutoff.
To help you determine if the card is ideal for you, and better than a flat-rate cash back card, you’ll need to determine how much of your monthly expenses are for groceries, gas, and recurring bill payments. If they’re a significant portion of your bill, then 3.00% on these categories would be helpful. If they’re 50% or less of your monthly bill then consider a card like the Rogers World Elite Mastercard, which offers a flat rate of 1.75% on all your spending. It also has a $0 annual fee and grants 4.00% cash back for all purchases in a foreign currency (abroad or online). If you email us or respond to this comment with a breakdown of your average monthly bill, we’d be happy to do a comparison for you. Thanks!
The GreedyRates Team
About the Rogers card: can I redeem cash or credit towards my balance or do I have to redeem for Rogers products or services? I don’t have Rogers nor do I intend to buy anything from them.
Thanks for your awesome question! Many readers are confused when looking at the Rogers Platinum and World Elite Mastercards because the text on Rogers’ page makes it seem like one can only use their cash back on Rogers products and services. This couldn’t be more wrong. In fact, Rogers Mastercards are all compatible with the Pay with Rewards application, which you can download onto your smartphone and view your running monthly statement in real time.
From the application, you see your total collected cash back and can select individual purchases to use the cash back on. This on-demand model for paying off purchases retroactively is pretty handy, but if you prefer the old method, simply call Rogers and ask them to credit your statement. Again, you’re in no way required to spend your cash back on Rogers stuff (which isn’t the most enticing variety anyway) and can absolutely use it on your statement. Enjoy!
This article has further enlightened my wife and validated my credit card usage (or should I say strategy). I consider myself as a savvy spender and my wife frowns the idea of using multiple credit cards for spending. It drives her crazy! Well, long story short, we carry 5 cash back credit cards and we rack up at least $1000 in a year of rewards with a monthly regular spending of at least $3000. My credit cards of choice, including where we spend them and cashback percentage are: Costco Capitalone (3% on restaurant), Tangerine Mastercard (2% on recurring bill payments, parking and metropass, and grocery spending at Costco), CIBC Dividend Infinite (4% Grocery anywhere but Costco and gas), Amex SimplyCash (1.25% spending anywhere else), and Home Trust Preferred (for spending outside the country or purchasing online outside the country with 1% cash back). If you meticulously do the math, a flat rate of 2% on all your spending on one credit card (e.g., AMEX SimplyCash Preferred or MBNA) is not very ideal if you like to maximize your cash back rewards. In addition, if you calculate the rewards from a $99 annual fee with 2% cashback of AMEX simplycash preferred versus the no annual fee 1.25% AMEX simplycash, it appears that the former will make more sense if you spend more than $1,000 monthly. But how easy can you spend $1000 monthly and earn that 2% cashback AMEX if very few merchants are accepting this card in Canada? Really big thanks for the article though but I discourage using only one card not only because of the cashback rewards disadvantage when compared to using multiple credit cards but most importantly you only want to use less than 30% of your available credit to maintain a good credit score. Cheers!
Hi Just Passing By!
What an awesome story. We’re truly impressed with your savviness and look to your testimonial as proof that our own methods and recommendation come from a well-meaning origin. It’s true—if you’re diligent and intimately understand the nuances of your cards, you’ll be able to accrue more cash back than you would with a flat 2.00% cash back card. It’s all about recognizing how much you’re likely to spend based on past data that you’ve gathered on yourself, and where you’ll spend this money. Someone with a thorough record of their monthly spending from the last few years is extremely well-equipped to pick a suitable credit card(s) for themselves.
You’re also correct that you’ll need to have a good idea of where the card will be accepted. An Amex, for example, may not allow you to reach your spending goals for the card, because it’s not accepted at every retail you expect it to be. Again—thanks so much for the story and advice for our other readers. Nice job!
As of last week I just received a letter telling me that the MBNA MasterCard World Elite is changing their cash back program. Instead of 100 points equalling $1 when points are redeemed for cash, you will need to redeem 120 points for $1. You still earn 2 points per dollar.
So for those using this card as a pure cash back and not using the rewards for anything else, the card is no longer 2 percent cash back, it is now a 1.6% cash back.
It is still 2 percent cash back when you redeem points for travel or other items on their site.
This change is effective i believe Jan 2019.
Hey There Mike,
Good to hear from you. There are a lot of people receiving that same letter from MBNA, and they’re all getting the same message: Soon the fee is increasing to $120 and the redemption value of points for cash back is decreasing! Very unfortunate indeed. The best card in terms of a flat cash back rate is now the Rogers World Elite card, which earns 1.75% on all purchases, and 4.00% on all purchases made in a foreign currency (online and abroad). This puts it head and shoulders above the “new” MBNA Rewards World Elite card, especially if you enjoy redeeming your points for cash back.
The Rogers Mastercards are also compatible with the Mastercard Pay with Rewards application, which lets you select individual items from your statement to pay with the cash back you’ve collected. We’ve begun writing about the new MBNA changes and all its alternative options in an upcoming article, which includes the Rogers World Elite as one of the best replacements. Stay tuned!
I have the same MBNA card. When I called customer service they said it would be reduced to 1.8% after Feb 1, 2019. You have up until Jan 31, 2019 to cash in your full 2%. If you have a balance after Feb 1, it will be all converted to 1.8%
Thanks for the response to Mike’s comment about the MBNA Rewards Mastercard. The change to cash back redemption is one of the more talked-about downsides of MBNA’s decision, and yes, it effectively reduces your cash back value by a few tenths of a percent. Though it sounds negligible, those who thrive on cash back to save money rather than redeeming their points on discounted travel will have a strong opinion on the matter—and it’s totally justified. The downgrade effectively takes this card out of the running when it comes to cash back, while it used to have a lofty position even given its rewards-centric theme. Not so much any longer!
Before switching to a different card, such as the Rogers World Elite Mastercard (1.75% cash back on all purchases and 4.00% on foreign currency purchases, $0 annual fee), you still have a small window of time remaining to cash in your points for cash at the old ratio, and for a lower minimum threshold of 1,000 points. Then you can leave the card open and apply the cash back to your next balance and take your time to do due diligence on the many alternatives that can replace it for your wallet. We like the Rogers card mentioned above, but also Scotia’s Momentum Visa Infinite Cash Back card, which offers a best-in-class bonus of 10% cash back on purchases for your first 3 months, then 4% on gas and groceries afterwards (and more). Let us know what’s on your mind!
Thank you for the article, but you really should include the MBNA Smart Cash MasterCard in the list. It has $0 annual fee, has 2% cash back on groceries and fuel, and 1% cash back on everything else. It far outweighs everything else you have listed above as far as overall cash back potential goes for $0 annual fee.
You’re welcome for the article, we’re glad you enjoyed it. We did look at the MBNA Smart Cash card and considered it for the list, but we think that it’s more of a “Jack of all trades”, rather than an “Ace” in any single category. For example, there are cards that collect more overall cash back and also have a $0 annual fee. We’re thinking specifically of the Rogers World Elite Mastercard, in this example. Though it’s flat cash back rate is a bit short of 2.00% (1.75%), you’ll end up earning more because there are no purchase category restrictions, and you also get 4.00% cash back when purchasing anything in a foreign currency (on trips or if you buy things online).
The Tangerine Money-Back card is likely a better deal as well. You can choose gas and groceries as categories in which you’ll earn 2.00%, and if you open an account with Tangerine to hold your cash back, you’ll get a third 2.00% category. We’re not discouraging you—in fact, we love when readers come to give feedback on their credit cards. We’re just saying that there are too many great credit cards and selecting the “finalists” is harder than you’d expect!
Thanks very much,
Just got a letter today from MBNA regarding this card. Good News first – No more $89.00 annual fee starting September 5, 2018.
Now the bad news … It will now be a 1% cashback for most purchases and the 2% cashback will be for Gas, groceries and restaurants up to to a maximum of $5000.00 annually in each category. This starts on February 1, 2019.
I’ve been with MBNA for the last 10 years and was “promoted” to world elite, and now they are slapping a $120 annual fee and reducing the 2% to 1.75%. I will be cancelling my card.
That’s quite the appropriate username you’ve chosen to post under—we love it! It suits your observation about the MBNA World Elite Mastercard as well. It must have been very disappointing to get upgraded to the World Elite card, only to learn that you only have a handful of months before the card loses a whole lot of value. Fortunately, there’s still time to get out, and many other alternatives that you’ll appreciate which are similar to the World Elite card.
First, from September 1 until January 31, 2019, you’ll see that the minimum number of points you can redeem for cash back will be decreasing from 5,000 to 1,000, meaning that you’ll have a much easier time getting your value out of the card and then cancelling it. After it’s cancelled, you can apply for a card like the Rogers World Elite card, which is the new heavy weight cash back contender, as far as we can tell.
With 1.75% cash back on all purchases made in Canada, 4.00% cash back abroad (and online purchases from foreign retailers), you’ll see a lot of cash back accumulate quickly. You can also use the card with Mastercard’s Pay with Rewards program, which lets you apply your cash back whenever you like to your past purchases via a handy smartphone app. There’s no annual fee, and it also has a solid array of insurance perks as well. If this is an interesting for you, feel free to apply via our link. We’ll also be re-doing the comparisons and lists to reflect the downgraded status of the MBNA card, so it’ll be easier to determine which cards are replacing it in terms of cash back value.
The GreedyRates Team
MBNA is raising the annual fee on its world elite mastercard. Beginning September 1, 2018, the annual fee will increase from $89 to $120. Say goodbye to being in the #2 position.
After Feb. 1st 2019 they’re reducing their cashback to 1.67% (do the math) … and raising the minimum to 6 from 5000 points to obtain a cash reward. Temporarily from Sept until the Feb changes you can cash in at 1000 points.
Thanks for your comment about the changes coming to the MBNA Rewards World Elite Mastercard. We’ve covered the unfortunate alterations to this once-amazing card in other comments, but we’d like to take your comment to highlight an important opportunity for people who are thinking about making a switch to another card.
The “window” for those who want to get out of MBNA and into another card’s rewards plan lasts from September 1, 2018 to January 31, 2019. During this time, they’ll lowere the minimum points redemption amount for cash back to 1,000, making it much easier to use your points and cancel the card without “leaving money on the table”. This is actually pretty nice of them, and it seems as though they anticipated a mass exodus from their card due to these new changes. It also tells us that they might also introduce a new card option that harkens back to the old Rewards World Elite card’s benefits, but this remains to be seen.
The GreedyRates Team
In addition to what Joe has pointed out, my MBNA notification letter also states that effective February 1, 2019, the Cash Back Redemption will increase from 100 points = $1.00 to 120 points = $1.00 and the minimum redemption of points for cash back also will increase from 5,000 to 6,000 points. Thus what still earns 2% for other reward redemptions, now only earns 1.67% for a cash back option. And when you take into account the $120 annual fee, the effective cash back % falls further – down to approx. 1.50% with $71,ooo of annual spending. My wife and I will be looking for a better Cash Back credit card option!
Great reply to Joe’s comment. We’re in the process of creating a new breakdown of what cardholders can expect when the new changes hit later this year, and early next year as well. While we can’t argue with your numbers for now, there’s no doubt that the 2.00% rate is diminished significantly due to the higher annual fee and lower redemption rate on cash back. If you’re looking for an alternative, your best bet is actually to use the card as much as you can before September, and then begin redeeming points until they’re all spent. This is because MBNA is opening a window from September 1st, 2018 until January 31st, 2019 where the minimum cash back points redemption amount is reduced to 1,000 from 5,000.
After you’ve extracted all the possible value from the MBNA card, cancel it and switch to something like the Rogers World Elite Mastercard. This is strikingly similar but better in a few key ways. While it won’t accrue 2.00% cash back on all purchases, 1.75% is likely better than what you’ll receive when MBNA completes their downgrade. It also earns cash back at 4.00% when you make purchases in a foreign currency, meaning either abroad or online. For a ZERO annual fee, you’ll also be entitled to a suite of nice insurance perks. As far as redeeming cash back goes, it’s super easy with the Pay with Rewards application from Mastercard. Just login via your phone and redeem your cash back to cover purchases made on your previous statements. Check it out, and if you aren’t satisfied, we’ll be happy to make other suggestions. Thanks!
MBNA is changing their Cashback rate as of Feb 01, 2018. It now requires 120 points per $1 redemption vs. the 100 points per $1 redemption currently. Crunching the numbers your cash reward comes out to 1.8% than the current 2%. Also, their annual fee is changing to 120 dollars. Still a decent card but I wish that Canada had similar offers and cards to our US counterparts. Quite unfortunate.
We’ve been getting a lot of feedback about MBNA’s disappointing changes to the Rewards World Elite Mastercard. It was truly unique among other cash back contenders, and perhaps MBNA simply wasn’t getting enough interest (or enough profits) out of the offering than they had anticipated. Too bad. You’re right that Canada has a different array of credit cards than America does, but we still find a lot of value in cards like the Rogers World Elite Mastercard, and others.
Like the old 2.00% rate on all purchases granted by MBNA, Rogers comes close with 1.75%. Its main appeal is the 4.00% cash back on foreign currency transactions, however, meaning that when you’re travelling abroad or buying something online, you’ll get cash back as well. With no annual fee as opposed to the $89 (and soon to be $120) price tag on MBNA’s World Elite and similar insurance benefits, we think it’s the new “top dog”. Check it out.
Thanks to GreedyRates for being such a valuable resource in the myriad of hype that is the Canadian credit card market.
I opened the mail yesterday and knew this day would come. A letter from MBNA about my Rewards World Elite MasterCard:
“We are writing to let you know about increase(s) to the standard annual interest rate(s) and annual fee, and changes to your MBNA Rewards World Elite Program Terms and Conditions…”
Long story short, in September the card’s annual fee increases from $89 to $120, and rewards points redeemed for cash now cost 120 points for $1 instead of 100 points for $1.
Other changes include a 1-point increase in the interest rate to 22.99%, and the minimum points required to obtain a cash back reward increasing from 5,000 to 6,000.
GreedyRates, will you please re-rank the cash back cards in light of this so I know which to choose next? DM me if you want a copy of the entire letter.
Thanks for the shout out! We’re grateful that you found our guidance helpful. Now, onto the new changes you’ve just been informed about. MBNA is changing their Rewards World Elite Mastercard a bit, and in our opinion, they haven’t done anything but downgrade it. Usually, some issuers alter the rewards schema a bit to provide value in certain areas, while reducing it in others. This is a full-fledged downgrade—and you’re right—it deserves a reranking in the chart with other cash back cards.
We’d now readily recommend the Rogers World Elite Mastercard in place of MBNA’s card, because it has a generous all-encompassing cash back rate (no purchase category restrictions), as well as other awesome perks and no annual fee. It’s difficult to find a cash back card that accomplishes the trifecta:
– Low/zero annual fee
– Great “all purpose” cash back rate
– Insurance for travelers
There are a few other options, but until competitors move in to fill the gap left by MBNA, Rogers is your best bet. We appreciate your offer to send us the letter from MBNA, but we’ve already been informed, and will surely incorporate these changes into the articles and reviews we’ve written that include this card. Good looking out!
MBNA just increased their fee and the number of points required for cash back.
MBNA will be increasing their annual fee to $120 in September 2018, as well as the balance transfer interest rate (from 21.99% to 22.99%). Then, February of the following year brings the other changes, namely the increased points to cash redemption rate from 100 points/$1 to 120 points/$1. The minimum points-to-cash redemption amount is also changing in February 2019 from 5,000 to 6,000. All in all, the changes aren’t too impactful on those who use the card for rewards, and not cash back, but the card does start to look a lot less valuable in comparison to its peers.
Thankfully, there are still many worthwhile options in the cash back category, including the Rogers World Elite card, which largely replaces the MBNA World Elite. It has 1.75% cash back in Canada, 4.00% abroad (1.50% after the foreign transaction fee), excellent insurance benefits and no annual fee. Check it out!
The GreedyRates Team
The MBNA World Elite just increased their annual rate to $120 effective Sept 1, 2018, AND lowered the points to cashback ratio from 1 point = 1 cent, to 1 point = 0.83333 cents starting Feb 1, 2019. Effectively, senior management at TD have made this roughly a 1.5% cashback card, clearly knocking it out of any contender spot for top place.
Thanks for your comment. You’re correct that MBNA’s upcoming changes make it less competitive than it once was, which brings a lot of cards much closer in terms of value. If you’re unhappy with the changes and want to switch cards, we suggest you spend your accrued rewards on cash back before the transfer ratio decreases, cancel the card, and apply for one of the following options.
The Rogers World Elite Mastercard is now a more worthwhile option, when compared with the soon-to-be-changed MBNA Rewards World Elite card. Rogers offers an excellent 1.75% cash back on all purchases made in Canadian dollars, and 4.00% cash back on those in any foreign currency (this includes online purchases made from American/other foreign eCommerce stores). With no annual fee and a hefty package of insurance perks, it’s now one of the top contenders for those who are angry about MBNA’s fee hike and cash back redemption changes.
We’ll be updating our articles shortly to warn readers about the upcoming alterations from MBNA. If you need any other suggestions, feel free to ask!
There is an error in the chart. Annual fee for Home Trust Visa is $0.
Thanks for being a vigilant reader. The Home Trust card does indeed have an annual fee of $0, not $99! We’ve made the change and the table now reflects the correct information.
Hello. Do you know of a card that has decent, useful travel insurance for people that buy their travel a la carte and not from the box as with package holidays. I have the Scotia Momentum Visa Infinite card and knew I had flight delay and trip interruption but like 99% of the population didn’t know what was and was not covered until it was needed. I book all my flights when I need them and that means a lot of one way tickets. I recently booked an domestic flight in the UK to get my to my international flight back to Canada. The domestic flight was cancelled so the international one was missed. I booked the next day assuming that my card insurance would cover the additional cost, it does not! According to the fine print in the travel insurance a trip has to be starting and returning to the same place, which is usually your home, but because I usually book one way tickets none of my travel has ever been covered. The reason I book tickets when needed is in case a meeting runs over, it works out cheaper to book last minute than to cancel and rebook and existing flight. Needless to say I am not impressed with the Scotia Momentum Visa Infinite card, can you advise on a card that would cover me in such a circumstance? thanks
Hi David, thanks for providing us with so much helpful detail. It’s understandable that you don’t want to be forced to book air transit through travel rewards programs, as they obviously can’t offer the same variety as other alternatives. We believe that you will appreciate the Gold Amex Rewards card for its superior flexibility in this regard. With the Gold Amex you’ll earn points on travel and everyday expenses, and can redeem them against any travel expense you put on the card. This means you’ll be able to book where you want, when you want, and expect to pay for it with the rewards you’ve earned.
As for flexible insurance coverage for one-way trips, we believe that most insurance providers will require that a full trip flight be booked from a single location. However, we’ll need to check further before providing a definitive answer. For now, look at the Amex line of cards and also at our article dedicated to the different travel insurance benefits of Canadian credit cards, which will give you more detail.
Hi. I’m looking for the best cash back MasterCard that provides trip cancellation insurance and car rental waiver. I realize it will be a fee card. Any help would be appreciated.
Hi Dianne, thanks for the comment. Your described credit card has valuable perks that usually only exist on the best travel-focused cards, but also earns cash back for using the card instead of travel rewards points. We know of only one card that covers all these bases at once, and it’s called the Rogers World Elite Mastercard. It has trip cancellation and interruption insurance, and also coverage for your rental car. It also earns cash back on purchases made in a foreign currency and in Canadian dollars. You’ll earn 4.00% when spending money abroad, which offsets the 2.50% foreign fees (to net 1.50%), and then 1.75% on all purchases at home.
You’ll need to show an annual income level of $80,000 for just yourself, but if you and a partner or spouse can reach $150,000 then that’s also fine. Otherwise, there are few cards that combine travel and cash back rewards in such a way. If your priority is to get trip cancellation insurance, then check out our article we’ve written on the subject of credit cards and travel insurance–and good luck!
Thank you for the info on the Rogers World Elite Mastercard. It is very impressive for a card that does not charge a fee! However, in all the reading I have done it appears you can only redeem the cash rewards for application against Rogers accounts and Rogers related purchases. Am I missing something? I am open to the cash being in the form of a credit against my statement once per year or something like that, but I don’t see that as an option.
Rogers allows cash back rewards to be credited against your balance once a year. You need to call to set that up though.
Hi Dianne, thank you for contacting us at GreedyRates! Fortunately, we’re able to give you an encouraging answer for your dilemma. While it may appear that Rogers only allows cardholders to redeem their cash back on Rogers products, this is mostly a result of their poorly-formatted website. In fact the yearly redemption plan is, and has always been, in effect. It allows you to cash in your cash back once per year in December, and then it’s applied to January’s statement.
New to Rogers is the inclusion of Pay With Rewards plan, which now comes standard on many Mastercards. You can download an application to your smartphone , and use it to flexibly redeem cash back on demand for the purchases listed. The addition of this perk makes the Rogers card–and any eligible Mastercard, really–much more useful.
Hi. My understanding is once a year, before December first, you can ask to get the rewards credit to your statement. It would be credited in the following year. I called them and this what they said.
Good of you to stop by and give some guidance to another reader. We were just explaining to Dianne that this is exactly how the Rogers cards work for redeeming cash back. You’ll need to request that your accumulated cash back will be applied to your statement before December, in the month prior to when it will actually take place. In January, you’ll see the cash back hit. However, it’s also possible to do this in a more on-demand way with your smartphone.
The GreedyRates Team
Hi, I want to have a card which gives me road side assistance + huge Gas discount + great on cash back+ great cash back on recurring payment. What card would you recommend and why?
Hi Iqbal! Great questions–and thanks for the challenge! We’re ready to recommend a card that fulfills your every criteria, and in fact, it was pretty easy to arrive at a solution. The ideal card for you is from TD, and it’s called the Cash Back Visa Infinite Card. With this credit card, you’ll be able to earn a generous cash back rate of 9.00% on gas, groceries, and recurring bill payments for the first 3 months of membership. However, to get this bonus you’ll need to apply before June 3, 2018. This necessitates fast action.
After the bonus, the cash back rate is reduced to 3.00%, which is still among the best in its class. The 1.00% cash back rate on all purchases helps to ensure that you’re always saving money when using the card, regardless of what you buy. Finally, your last requirement is also satisfied, with TD’s emergency road services and deluxe TD auto club membership. This is the card that will suit you best, simply because it checks all the boxes you laid out in your comment to us. If you’d like another suggestion, let us know and we’ll happily provide other options! You can learn more about the card by reading our full TD Cash Back Visa Infinite card review.
For the SimplyCash Preferred Card from Amex – is the 5% cashback in first 6 months only on ‘eligible’ purchases – like gas, groceries etc? It seems like the 5% applies to ANYTHING during the promo period, ie. if I want to buy furniture, clothes etc in a retail store. I checked the footnotes, but don’t see specific categories.
Hi Cait. Thanks for coming to the GreedyRates comments section, and for your question about the American Express SimplyCash Preferred card. We did a little digging ourselves, and discovered that you may not need to make ‘eligible’ purchases to get the 5.00% bonus cash back during your first 6 months. In the fine print, Amex specifies that customers must make eligible purchases to avail of perks like the Purchase Protection insurance and others. Curiously, they don’t use the same wording when it comes to earning cash back, allowing us to believe that you may be able to purchase virtually anything and earn cash as you please.
However, we’d advise caution before applying for the card without confirmation of this. Call up Amex (usually the friendliest customer service in the business) and ask about it. We expect you’ll get a satisfactory, firm answer. If you still need help afterward, let us know and we can provide additional assistance, including calling on your behalf.
We are beginning to build a house and I am looking for a credit card that we can use to put thousands of dollars of expenses on and pay off for good rewards. We are not super high income earners (under the 80,000 cut off that some cards stipulate). We would love to used the money to take a holiday at the end of the building process or purchase some needed furniture. What would you recommend? Thanks!
Hi Lisa! Thanks for the great questions! We’re happy you came to us and will try to help you get the best tools for your upcoming home construction project. If you’re about to incur the large expenses that come with an undertaking of this size, then you’ll likely appreciate cash back more than anything else. Cards that offer general, comprehensive cash back rates on any purchase category are best, because groceries and gas aren’t costs that are relevant to you. Accordingly, our first recommendation is for the BMO Cashback World Mastercard.
BMO offers 1.25% cash back for any purchase up to a maximum of $7,000 per month, which we think will be fine considering that it takes more than a month to build a house. You’ll also get 3.00% cash back on gas at Shell that may come in handy, as well as some other basic perks. Another card on the cash back front is the Tangerine Money Back card, which allows you to pick the purchase categories for which you’ll earn 2.00%. You get to choose two initially, and one of them is labeled ‘Home Improvement’, which likely includes building materials, tools, and possibly labor (check with Tangerine to confirm).
As for travel cards, we think that you’d appreciate the RBC WestJet World Elite Mastercard. You’ll earn 1.50% in WestJet Dollars (redeemable on flights) for everyday purchases, plus 2.00% when purchasing from WestJet itself. It also comes with a generous introductory bonus of $250 WestJet Dollars and an annual companion voucher. The cards we mentioned work for your income level.
I have Both Fido mastercard and Hometrust visa.
Home Trust has its drawback and benefit.
1) highestcash back with no annual fee, no fx VISA card in Canada
2) good 1% cash back flat
3) high credit limit if u have FICO above 900
4) road side assistance 5km 4 calls a year
5) collision auto rental insurance
What I hate
1) no Google pay
2) Horrible online statement, looks really old and old school it’s even black and white
3) very long time to get a hold of customer service
What I really hate
1) no pin changes
2) no paypass
3) no paperless
If u do t spend alot of foreign transaction I suggest the Rogers 0.5% is good enough… But if u really spend alot like about min 3000$ a year in fx fees than I suggest go for Hometrust 🙂
I travel to the US a lot, hotel 1.5k/month, air 2k/month, car 500/mo and dining 1k/month. Don’t mind a fee esp with a good sign up bonus but want cash back not a travel reward system. Can you recommend the best? Thank you.
Hi Guy. Your comment and exact criteria are much appreciated! It makes our job of suggesting more relevant cash back credit card recommendations much easier. For those who spend substantially in foreign currencies, we generally recommend cards that either waive or subsidize foreign transaction fees. These cards are usually in the travel rewards ecosystem, but there are some options that offer cash back instead. The first card we’ll recommend is the Rogers Platinum Mastercard, with which you’ll earn 3.00% cash back on every purchase made in a foreign currency. This means that you’re earning 0.50% cash back on everything you buy during your frequent trips to the US (after the 2.50% foreign transaction fee is factored out). You’ll also earn 1.25% cash back on all Canadian dollar purchases when you’re back home.
Another popular car that waives foreign transaction fees completely is the Home Trust Preferred card. It provides 1% cash back, giving it a slight edge over the Rogers card (0.5% vs. 1% after factoring out foreign trans. fees). Keep in mind though that the Home Trust card does have some drawbacks: it has a limit of 10 transactions per day, it’s not available to residents of Quebec and Home Trust is currently taking a long time to process card applications (it’s a very popular card at the moment).
You can learn more about this subject by reading our article on Canadian cards without foreign transaction fees.
Hope we were helpful. Let us know if there’s any other advice you need.
Looks like this travel spending can justify the expensive Amex Platinum card. Even though it’s 699/mo munis $200 travel credit, you get Priority Pass, Centurion airport lounges, free WiFi. Plus – 1.25 points per CAD, which can be either statement credit or a real airline mile (British Airways, Air Canada, Delta) if you transfer. Plus, their fixed rewards tickets, companion tickets here and there. 2 points per airline/hotel dollar you spend to book with their travel service – but that’s only if your destinations in Canada are available to book through their service. Many Canadian regional airlines and airports aren’t bookable with American Express travel, and that’s their major drawback.
I’ve done some research, why isn’t CIBC Dividend® Visa Infinite* Card listed? It’s got %4 back on gas and groceries. They have a promo that the first year fee is free and it has great insurance products with it. It would be good to use for just gas and groceries, I think it’s the highest cash back of all cash back cards.
Hi Joey, thanks for your questions and for the request for a quick card comparison. That’s our specialty! Let’s take a look at the CIBC Dividend Visa Infinite‘s perks, and then see how it stands up to some of the other top cashback cards that we review on GreedyRates. To begin, CIBC offers 4.00% cash back on gas and groceries, with a first-year annual fee rebate. You’ll get 2.00% cash back at Tim Horton’s and TELUS, and then 1.00% everywhere else. The card also comes with travel medical insurance, and coverage for trip interruption, rental car damage, common carrier accidents, flight delays and your baggage. It costs $99 after the first year.
A good point of comparison for the CIBC card is the Scotia Momentum Visa Infinite card, which is strikingly similar. You’ll also earn 4.00% cash back on gas and groceries, but instead of 2.00% at Tim Horton’s and TELUS, you get this cash back rate on drug store purchases and recurring bill payments. The same 1.00% cover-all rate also applies, as does the $99 annual fee rebated in the first year. You can learn more about the Scotia card by reading our full Scotia Momentum Visa Infinite card review.
These two cards are largely similar–you just need to decide which is more valuable to you: cash back on drugstore purchases and bills, or cash back at Tim Horton’s and TELUS, plus travel insurance. In our opinion, Tim Horton’s and TELUS are likely less common purchases, though this is entirely subjective. It’s hard to say no to travel insurance, however, so if you don’t already have it from another card or from your insurance company, the CIBC card might gain the lead.
When looking at our other cash back cards, it squeaks ahead of most of them as well. We say go ahead and grab the CIBC card. Though we haven’t thoroughly reviewed it, it seems like a good deal–and we want you and our other readers to have the best. Enjoy!
Re: Home Trust preferred — I applied for this card and got it. However, to actually speak to someone requires an unbelievably long wait. I have been on hold now for 30 minutes and still waiting — the other time it was roughly 35 minutes before I could speak to someone. I’m closing the account probably through surface mail with a cut-up card. NOT RECOMMENDED.
For the TD Cash Back Visa Infinite* Card or Scotia Momentum VISA Infinite Card do you still get the 9% or 4% cash back on Gas/Grocery if you use the card in a US Grocery Store or US Gas Station?
Hey Ramon, we appreciate you seeking clarification about the cash back promotions for these cards. In fact, the TD Cash Back Visa Infinite card does offer 9.00% cash back on gas and groceries within the first three months (up to $3,500 spending), but there is nothing in the promotion about using the card in a US grocery store or gas station. Additionally, you also have the 4.00% cash back on gas and groceries available with the Scotia Momentum Visa Infinite card (up to $25,000 annually). In the fine print, we see that cash back is earned in grocery stores and gas stations with Visa-defined merchant codes, and we wouldn’t be surprised to learn that these codes are universal between the US and Canada. So, while you might earn the 9.00% cash back in American grocery stores, for example, you would probably incur 2.50% foreign transaction fees as well.
It’s frustrating to find a cashback card as good as Amazon’s visa card. Nothing like it exists, and now they are closing out in Canada. Sad!
They charged no foreign currency transaction fees(2.5%) and their cash back automatically was credited on my monthly statements as soon as $50 accumulated. If this is an example of how Amazon does business in their other endeavors, it is very clear why they are eating everyone’s lunch. If they ever come back to Canada, I will definitely switch. No wonder my Amazon shares seem to double every 2 yrs.
Hi Peter, thanks for your comment. We agree with you, and are very disappointed that Amazon’s Visa is no longer available! Nonetheless, Canadians who appreciate exemption from foreign transaction fees have two options that we recommend:
The Rogers Platinum card does not waive foreign transaction fees per se, but it does offer 3% cash back on purchases made in a foreign currency. This covers the 2.5% foreign transaction fee and then leaves 0.5% cash back left over.
The Home Trust Preferred card has 0.00% foreign transaction fees and awards 1.00% cash back for purchases made in Canada or abroad.
Both cards have their drawbacks. Rogers, for example, only allows cardholders to credit their cash back once per year in a lump sum. Home Trust limits their card’s number of daily transactions to 10, and is reportedly taking a very long time to process applications after the void in the no foreign transaction fee credit card space left by Chase’s withrawal from Canada. Nonetheless until Amazon comes back, or another card matches its perks, these are solid options and can eliminate foreign transaction fees.
You can learn more details about the Rogers card by reading our complete Rogers Platinum Mastercard review, and you can learn more about the Home Trust card by reading our complete Home Trust Preferred Visa review.
Looks like the TD “6% on all spend during the first three months” no longer applies. On the website, it says “Earn 6% on gas purchases, grocery purchases and regularly recurring bill payments set up on your Account for the first 3 months2 up to a total spend of $3,500.”
Hey Ian, we appreciate you leaving your comment with us. While that deal may have ended for standard applicants, GreedyRates has a special arrangement with TD that keeps the promotional 6.00% bonus available until March 1st. If you can manage to apply before then you’ll get that 6.00% for three months easily. All you need to do is apply through the link on our page. We’ve linked it below for your convenience. Thanks!
Capital One is a little underhanded in that the “cash back” is actually a “rebate coupon”, which only be redeemed by the *primary* cardholder. I still buy things at Costco; I just pay using a MasterCard which gives me *real* cash.
Hey guys, what do you think about TD Cash Back Visa Infinite Card?
Hi Tomas, thanks for your question! We love cut-and-dry “what do you think about…” inquiries because we spend so much time understanding the nuances of each card that we review. Now, about the TD Cash Back Visa Infinite card: this is one of the newest from this issuer and it’s a great deal. We recently wrote about it and can summarize for you here. Basically, for the first three months of card ownership, TD offers a world-class deal of 6% cash back, plus an annual fee rebate for the first year (worth $120). Afterwards, you’ll earn an impressive 3% cash back on gas and groceries, plus recurring bills with no limits. All other purchases earn cash back at 1%. While the annual fee is a bit steep, the high rate on both the promotion and the time afterwards makes it worthwhile. Travel medical insurance also sweetens the deal. Now that you have our stamp of approval – go sign up! Be sure to let us know how it performs for you. Good luck!
Thanks for your explanations, question about “Cardholders receive 3% for eligible purchases at grocery stores, at the gas pump, and on recurring bills”. could you define what type of grocery, gas and recurring bills are eligible and what kind are not?
Hey Arash! We appreciate your need for clarification, and are glad to help settle the matter for you. Usually, the word ‘eligible’ is defined in the fine print, and in this case it simply means any transaction that isn’t cash-only. You won’t be credited cash back for item returns, rebates, cash advances and similar transactions, for example. Generally speaking, any item you buy in a grocery store is eligible–there are caps on how much of your spending is eligible for this cash back rate, however. We encourage you to go to the page linked below, and read the entire text for yourself, just to get a better idea of what you’re entitled to with this great card.
I am looking to purchase $26,000 product from the USA and I’m wondering which CC would best acquired to do so. I already have a CIBC Aerogold, and a MBNA Mastercard.
Hey David, it’s great to see that you came to GreedyRates with your question!
We have two cards in mind that can help you save money on your large purchase. When shopping in a foreign currency, whether it’s in America or abroad, using the Rogers Mastercard is a huge advantage. The card offers an impressive 4% cash back on all of these expenses. This 4% is meant to compensate for the standard 2.5% foreign transaction fees that Mastercard charges, thus giving you 1.5% on top. For your $26,000 purchase, this means that you will be charged around $650, and then get over $1000 back in cash.
Alternatively, you can use the Home Trust Preferred Visa, which does away with Mastercard’s admittedly roundabout method, and simply exempts customers from any foreign transaction fees at all. Good luck with your purchase. If you end up using either of these cards, let us know how it goes! We love hearing feedback.
Td has a new cash back infinite visa which you may want to include in your next/updated review. 3% gas/groceries/recurring bills and 1% for others and welcome bonus of 6% for the first 3 months and first year fee is waived although the fee is higher at $120.
Thanks for sharing. It looks like you’re referring to the TD Cash Back Visa Infinite card, which is still being reviewed by our team of professionals. You’re right – it looks quite worthwhile and we will surely take a thorough look as soon as possible. We always appreciate when our readers inform us of new products on the marketplace, so thanks again and expect to see that review up in the near future!
I just called Rogers and their cash back program is pretty sneaky and restrictive IMO. You can only use the cash back as follows (as stated on the cash back portal):
Eligible Rogers purchases include: your monthly Rogers, Fido and chatr bills; purchases made in Rogers and Fido branded stores; and online purchases at Rogers.com, Fido.ca and The Shopping Channel. Visit Rogersbank.com/rewards for a complete list.
The ONLY way to use it for anything else is to request a lump sum payout BEFORE Dec 1 which will be applied to your balance on the January statement. This info is not provided on the website anywhere, how dodgy is that? You want the cash back in April? Tough! August? No way! January, but you forgot to call until Dec 2nd? Too bad sucker. I was saving up for a trip to Vegas, but I’m not going in January so I’ll have to request the payment before Dec 1st this year and sit on the lump sum payout for 4 months.
Hi Swank, thanks for coming to GreedyRates.
We see you did your research, and are very impressed! While the Rogers card does earn significant cash back on a variety of purchases, you’re correct – the cash back you earn can only be used in so many ways. While you can request the lump sum, you must remember to do so. During our research, we liked that Rogers cash back can be used against one’s outstanding balance or credit card statement, as not all cards allow this.
When you think about it, using cash back rewards to pay off a credit card statement is not restrictive at all, in fact, it’s the opposite. You can buy literally anything you like with the credit card first, and then use the cash back to cover the same expenses once the monthly bill arrives.
While we aren’t making excuses, this cash back infrastructure is similar to many other issuers that we’ve reviewed. However, we truly appreciate that you took the time to comment and understand how some might feel misled. Accordingly, in our future mentions of the Rogers Platinum Mastercard, we will be sure to highlight the information that you’ve brought to light. Thanks very much, and we hope you keep reading!
Thanks for the detailed reply GR Staff, I think there is one item I don’t think we agree upon and I’d like to try to come to a common understanding on this:
“You can buy literally anything you like with the credit card first, and then use the cash back to cover the same expenses once the monthly bill arrives.”
My understanding is that the ONLY purchases eligible for MONTHLY expenses are Eligible Rogers purchases (details in my first post). All other expenses can only be covered on the January statement if you request the cash back to be applied before Dec 1. So If I have $500 in cash back credit and buy a $500 TV from Best Buy in April, I have to pay minimum balance plus interest until the next January before I can use the cash back credit to pay for the TV. The interest would chip away about $100 from the cash back if my math is correct, that’s a substantial loss.
All that being said, if you don’t ever incur interest payments the 1.75% is one of the highest cash back amounts that I’ve seen which can add up to a lot in a year, which you can turn into a sweet lump sum on your card (and then I believe can request cash for the balance).
Hi Swank, thanks for returning to clear up our previous statement.
We had written ‘You can buy literally anything you like with the credit card first, and then use the cash back to cover the same expenses once the monthly bill arrives.’ However, you’re correct, only in January can one request their rewards as a lump sum cashback – and then use it towards all purchases that make up their balance. During the rest of the year, cash back can be used but only against purchases connected with the Rogers brand, though it is amazing considering the enormous variety of things one can purchase under this umbrella.
We also thank you for pointing out the lucrative cash back rate that one receives with this card. 1.75% is nothing to ignore, and can quickly accrue value for the cardholder that more than makes up for the small limits imposed on how cash back is redeemed. Stop by again any time!
What happens if one forgot to call Rogers bank to have the credit on January Statement ?
Will the money be lost or it can be redeemed next year ?
I’m not a Fido or rogers customer, I’m just looking for the most generous credit card cash back.
Hey Greg, thanks for your question.
If you forget to call and request your annual credit statement, the cash you’ve accumulated isn’t just erased. It will remain on your Rogers account and is still available for redemption in other ways, like through Mastercard’s Pay With Rewards portal, or online with Rogers Online.
Alternatively, you can wait for next year and redeem twice as much (we hope!).
You may want to consider becoming a Rogers customer, as they allow you to use your credit to pay at Rogers retail locations, redeem against some of your bills and more. Regardless, we can confirm that the cash back you receive with this card is better than virtually all others. Let us know if we can help in any other way, thanks!
Why all the dabate about which card is best? IMO – none of them; so have multiple cards.
Depending on my purchase I use multiple cards in the following priority sequence
1. Scotia Visa Infinite for 4% at groceries, recurring bills, gas, drug stores
2. Costco capitalOne MC for 3% at restaurants, and 2% at gas stations where VISA is not accepted (aka Costco Gas Bars)
3. Tangerine Mastercard for 2% at Home Repair, Furniture and Grocery stores where VISA is not accepted (aka No Frills, etc).
4. VISA for 1% on all other categories
5. Costco MC for 1% over $3,000 annually on all other categories where VISA is not accepted
I’m sure this could be refined even further with 2% on “all other categories or other purchases” cards, but it nets me some nice cash every year.
I use the same strategy, but I recently added AMEX Simply Cash which earns 1.25% on all purchases, no annual fee, however the earned cash is put towards your balance at the end of each year. The card would be perfect if you could access the money at any time like the Capital One Aspire Cash card.
I’m just learning this so forgive me if this is a stupid question. Are all of these cards “no fee” for the first year or forever?
Hi Sandy! Thanks for your question, and we’re sorry if the language in our article wasn’t clear. When we specify that a card has its first year’s annual fee waived, it just means that the issuer won’t make you pay for that year. The next year, you will begin paying the annual fee as normal. If we list a card with a $0 annual fee, it means that the card will never charge it to you – even if you have it forever.
If you’re approved for a credit card with the first year’s fee waived, it’s very important to remember that some issuers will likely charge it to you initially. Don’t feel fooled though. These issuers will rebate (or credit you) the same amount a couple weeks or months down the road, so it will be like you never paid it at all.
Hi there, I was wondering what greedyrates thought of the new Meridian Visa that offers similar returns as the Scotia Momentum with 4% gas and groceries, 2% Drug stores etc…..
Thanks for asking us about the Meridian Visa card. While it’s still something that we need to look into more thoroughly, it does seem strikingly similar to the Scotia Momentum card in many ways. Both reward cash back in the same proportions and on the same kinds of purchases, such as 4% on groceries, 2% on a variety of other expenses and then 1% to cover everything else.
At the moment, we can recommend the Scotia Momentum card to you for the same reasons as the Meridian card you’re considering, but we have not done enough research on Meridian or their products to provide more precise information. We will surely do so in the near future.
As it appears to me, both these cards offer the same rate of cashback accumulation. However the most striking difference to me between the two is the redemption of your cashback dollars.
The Scotiabank Visa Infinite is redeemed once a year, on your November statement. There is no wiggle room with this. November statement.
The Meridian Visa Infinite is redeemed whenever you want as long as you’ve accumulated at least $50.
This to me makes the Meridian the better choice. Here’s why:
With Scotiabank, you can accumulate all the cashback you want in that first year, but to redeem and get any value out of it, you would have to go into your second year, and therefore are locked into the next year’s annual fee. You can of course time it so that you redeem in November and have your anniversary in December or January, but this is a limiting factor.
The Meridian, being able to redeem at your will, you can redeem shortly before your anniversary is up, then cancel the card, and therefore avoid being locked into the annual fee of the second year.
Perhaps you don’t cancel after the first year, but keep it for a few more years. But, sometime down the line on some later year, with the Scotiabank card, (depending on when your anniversary is) you will always be faced with the decision of giving up your accumulated Cashback dollars, versus staying until November to redeem those dollars but then probably incurring one more annual fee. Meanwhile, with the Meridian, you will always have the freedom to cut out and redeem before your anniversary in your last year of owning the card.
Thanks for your thorough comment. It sounds to us like you’ve done your due diligence about the difference between the Meridian Visa Infinite card and the Scotia Momentum Visa Infinite card. Yes, they’re virtually identical, but if you prefer more flexibility when it comes to the redemption of your cash back, then the Meridian card is superior. We also found another nuance that puts it ahead of Scotia—price protection—which is a very useful perk allowing cardholders to get reimbursed should they buy something right before it goes on sale. If you buy a blender for $100, for example, and then see the same blender a month later for $50 you can ask Meridian to reimburse you that $50 (which then leaves you at $450 more that you can redeem for reimbursement over the course of a year, with the maximum being $500). We digress, but in the end, we can’t argue with your take on things and encourage you to get the card you appreciate the most. Enjoy it!
Rogers MC is now $29 in annual fee, no welcome bonus.
That’s not completely accurate, since there is a $25 welcome bonus in the form of $25 in cash back rewards when you make your first purchase within 90 days of receiving your card.
We hope this helps,
I am looking for a new credit card to apply for because I am moving out. I have no idea what to look for and what certain things mean. After reading everything I still would like to know the best options for me who is wanting to start their credit building. I want the most beneficial that goes towards groceries and if possible a good welcome bonus. I’m sorry if I’m very vague and should already know a lot by now but I always appreciated opinions. Thank you!
Great questions! We know there is a lot of information to process at first, but let’s see if we can sort it out for you.
The first thing you should do is discover exactly what your credit score is, and this can be done easily through one of the many online services out there. They can pull your credit report and send it to you, often for free. The score is a big determinant for the credit card you’ll eventually be approved for.
We recommend applying for the Scotia Momentum Visa Infinite Cash Back card. This great credit card suits your needs well. A welcome bonus of 5% cash back for the first three months is huge, and you will also get a perpetual 4% cash back on eligible gas and grocery purchases, which you mentioned is important. With 2% back on recurring and drugstore spending and 1% from everything else, the Scotia Momentum Visa is very worthwhile.
However, because you mentioned that you are somewhat of a beginner and want to build credit, you might need something more introductory. You can work your way up to excellent credit very easily with a card like the People’s Trust Secured Credit Card, which will give you a credit limit that matches your initial security deposit. Use and pay off the card diligently and soon you will see your credit score improve significantly.
We hope this helps,
Best travel credit card is Amazon card, there is no currency exchange fee of any kind just the daily Visa official exchange rate. Plus 2% cash back on Amazon purchases and 1% on everything else. Check it out, goodbye Canadian banks.
As of April 3rd, Chase no longer offers the Amazon Visa card in Canada. We suggest you look at the Marriott Rewards® Premier Visa® (annual fee of $120 waived from 1st Year) for another solid card with no foreign transaction fee.
We hope that helps,
Tangerine isn’t so hot anymore. They’re dropping their 1% to .5% on all other categories 🙁
And, the foreign exchange conversion premium is raised from 1.5% to 2.5%. Your out of country holidays and purchases got more expensive.
A couple of other changes are also being made that suggest it is copying more of Trump’s style as well as his colour. Tangerine isn’t as caring and sharing as it used to be.
I called Tangerine yesterday and told them that if they go ahead with plans to reduce the pay-back on the “other category” purchases from 1% to .5% that i would move my business. They did not appear concerned. However, if more and more people do as i plan to, it will get their attention and make them re-consider their plans. Consumers yield a big stick if they stick together!
I did the exact same thing as you did. And also sent them an email thanking them because I just found a card that offers 2% on everything, with $85 fee but $100 in points once I use it (MBNA reward world Elite)
Found out about this recently too and it’s disgusting howith tangerine used the 4% bait switch for 3 months then lower the 1% to 0.5% which makes the card average at best. Now I’ll need another card just for all other purchases
I called them and complained about it too. We moved all our transactions to Tangerine for their cash back but it is no longer the best in the market. I told them that I would stop using it too. They mentioned that they were going to release new credit cards but we’ll see how it will. I don’t personally like credit cards with annual fees, however, MBNA might be worthed. I will consider it. If you have any other good options with no fees, let me know.
Yeah, that kinda ticked me off. I only use the tangerine card for my 3 picks now. Everything else goes on other cards.
Tangerine is changing their 1% on Other-category purchase to 0.5% effective April 29th. Has anyone heard of other no-fee cash back cards doing something similar?
Yes, i just received notification of this today and i’m not happy! I switched to the Tangerine Mastercard because it was offering the best rates at the time. Get the feeling we were sucked into something they knew they couldn’t maintain! Looking for a better deal! Suggestions?
Tangerine also increases the transaction fee for foreign currencies from 1.5% to 2.5%, and other fee increases here and there. I think the Rogers card is now a better option, especially if you travel once in a while.
with the Rogers Master Card can i apply my cashback to my monthly bill of the same credit card ???
i read that advantage just for tyhe Fido Master Card not for the Rogers Master Card?
Yes, you can apply your cashback from your Rogers MasterCard to any Rogers, FIDO or Chatr monthly bills. In fact Rogers MasterCard states “you can take a little off your bill each month, or save up and get a month for free! Or apply your cash back rewards against any purchase made in a Rogers retail location or online at Rogers.com.”
One of the advantages of the Rogers MasterCard over the Fido MasterCard is that with the Rogers MasterCard you can apply your cash back to any Rogers, Fido or Chatr bill, whereas with Fido you can only do it against a FIDO service.
Hope that helps,
yes i know that, tx,but …
but i would like to use my cashback to pay my the same credit card statement.
because im not client of rogers, fido or chatr.
for example with the scotia infinite once a year they put the all amount of my cashback at my same statement like a positive amount.
Thanks in advance for your answer !
Yes you have the option to apply your cash back earnings from your Rogers MasterCard as a statement credit once per year to any and all expenses, including non-Rogers expenses. All you have to do is call and ask Rogers to do so at the end of the year.
Hope that helps clarify.
Call Rogers? That’s a deterrent in and of itself.
How does the Tangerine MasterCard compare to Citi Double Cash Card? Anyone know?
Thanks in advance
Not sure if that’s a relevant comparison given that Tangerine is Canadian and Citi Double Cash is American. That said, it’s fun nonetheless. They are completely different cards. Tangerine you get to choose up to 3 cashback categories of your choice that give you unlimited 2% cash back each, and you get 1% on all other purchases. Citi Double cash is unique and we don’t have a Canadian comparable. It gives you 1% cashback on all purchases, and then you get another 1% cashback when you pay down your credit card balance.
Hope that helps!
I’m wondering if I can use the Rogers MasterCard to withdraw money from ATMs while travelling in order to save on foreign exchange costs.
It charges a withdrawal fee of $5, but I’m not sure if I would be getting the 4% cash back as this will be considered a cash advance!!!
Great question! The 4% cashback rate on the Rogers MasterCard is for foreign transaction purchases on the credit card only, not for cash advances.
Hope that helps,
Hi, I was just wondering if there is a credit card in Canada that charges 49% for cash advances?
We’d be running from that card, not trying to find it. We don’t know of a Canadian credit card that charges that much interest for cash advances. Hopefully it stays that way.
So the elite MBNA world MC flat rate, does it allow automated bill payments to be considered for 2% rate? What limitations for bill payments are there? Ie, mortgage etc.
All purchases, other than cash like transactions (cash advances, balance transfers, lottery tickets, etc…) will receive 2% cash back, including automated bill payments.
The limitations for bill payments are dictated by the service provider, not the credit card issuer. The MBNA Rewards World Elite card can be used for automatic bill pay of any account, in the same way as any other credit card. The service provider i.e. mortgage, insurance, telco, is the one that may or may not automatically charge your card.
Hope that helps,
That helps quite a lot. Yeah, the service provider info does make sense. Just wanted to make sure before I actually start talking to the credit card provider.
Does Scotia infinite visa count Superstore as a grocery store?
Yes Real Canadian Superstores count as grocery stores for the Scotia Momentum Infinite Visa card, thus earning 4% per dollar spent.
For all ou you wondering if a specific store falls under a certain category, here’s a trick to get the best out of the grocery category (seems to be the one that’s most frequently offered at the best reward rate):
Most grocery stores offers prepaid card, as in prepaid visa/master cards that you can then use in whatever store you fancy… Bam 4% or 2% cash back/points in Walmart, Canadian tire, Costco, some random antique store etc.
I’ve Known about this for a long time but never practiced, store goes out of business. POOF. Gift card gone. Carry around more gift cards, fork up the cash up front ? (no, I’m not hard done by I could easily fork over thousands in gift card balances ahead of time); too much effort required to save a few extra bucks.
Im debating my credit cards and Im soooo confused on what to do. I currently have the Scotiabank Momentum and the BMO World Elite Air Miles cards, both have annual fees though. I do not track my monthly expenses as to where i shop etc but i spend about $6K per month on credit cards. Are one of these better than the other or is there a better no fee card? We travel a fare bit too so we do use Air Miles.
Without knowing where you spend your money, it’s hard for us to be accurate with our advice. That said, if you’re spending $5,000 a month in non-bonus categories, and $1,000 a month in bonus categories, you’d actually be better off with the MBNA Rewards World Elite MasterCard than the Scotia Momentum card. The simply reason being, you’ll be getting 2% on $5,000 versus 1%.
It might offer you a lot of flexibility in redeeming for travel as well. You’ll be able to book your travel however and whenever you want, and simply apply your cash back earnings against your credit card statement. If you have $700 in cash back earnings, simply apply it against your credit card bill, travel expense or not.
With Air Miles you’ll have to book through their system and contend with availability. With the Scotia Momentum card, you’ll only be able to redeem at the end of each year, once a year.
Hope that helps,
Amazon.ca visa has great foreign exchange rates only slightly higher (approx 1%) than Bank of Canada Rates and possibly the only Canadian credit card with no foreign conversion fee. Tangerine was decent at 1.5% but not as of April 29/17. Amazon visa also pays 1% cash back with no annual fee. They don’t offer purchase insurance however not a big deal because it seems most people don’t use it. If you purchase out of Canada and you only want one card in your wallet, Amazon Visa!
Presidents Choice Elite, one of the best no fee cards (a must if you shop at any Loblaws, Superstores extra foods etc), loads of features(check on the web) (money back is in groceries) decent travel medical insurance for trips up to 10 days, car rental collision/Loss damage waiver insurance.
KatRyt, it is important to note that as of April 3rd Chase no longer offers the Amazon Visa card in Canada. But the good news is that it wasn’t the only card with no foreign conversion fee! The other two are the Rogers™ Platinum MasterCard® (no annual fee) and the Marriott Rewards® Premier Visa® (annual fee of $120 waived from 1st Year).
THE MBNA Rewards World Elite® MasterCard® credit card is NOT 2% cash back. Rather, card holder gets 2x points on every dollar spent ($10 = 20 points). However, when you redeem points for cash you get 1% so 20 points get redeemed for $1, not $2.
That’s incorrect. Each MBNA Rewards World Elite point is worth one cent ($.01). MBNA’s website clearly states 10,000 bonus points equals $100 when redeemed for cash back. As a result, if you earn 2 points per dollar spent, you’re earning the equivalent of 2% cash back. Put another way, spend $10,000 on your credit card, you get 20,000 points worth $200 when redeemed for cash back.
Hope that helps clear things up! It’s a great product with the highest flat cash back rate in Canada.
What’s the break down for the options world mastercard and regular options mastercard. Is that better in rewards compared to a Cashback card. ( Canadian tire dollars are just as good for me as I shop there quite a bit. Probably spend 50k a year on the options world mastercard and I’m thinking if I should be using another mastercard that would have better rewards. Paying a fee doesn’t bother me.
The Canadian Tire Options MasterCard is actually pretty robust for Canadian Tire purchases at a cash equivalent rewards rate of approximately 4%. However, as you mentioned, you can only use your rewards to redeem against Canadian Tire purchases. The card is not good at all for any other purchases outside of Canadian Tire, offering a very low rewards rate of .8%.
By comparison you can get 1.75% cash back with the no annual fee Rogers MasterCard on ALL purchases and redeem your cash back against non-Rogers purchases, or get up to 2% cash back with the no annual fee tangerine credit card in up to 3 categories… 1% everywhere else. If you’re willing to pay an annual fee, you can go with the flat rate 2% MBNA Rewards World Elite cash back card, or the Scotia card which gives you 4% in gas and groceries, 2% in pharmacy and recurring spend and 1% everywhere else. You can also combine a few of the cards to maximize your rewards in different categories.
Hope that helps,
What do you guys think about the Laurentian Bank Dollars Visa card vs the Scotia Momentum Visa Infinite card?
The Laurentian Bank Dollars card offers 3% on pre-authorized bills (phone, internet, etc), 2% on gas & groceries and 1% everywhere else. It comes with a $65 annual fee, and no travel insurance.
The Scotia Momentum card comes with 4% on gas & groceries, 2% on drugstore and recurring bills (phone, internet, etc), 1% everywhere else. Scotia also comes with fantastic travel insurance including travel medical insurance, trip interruption, trip delay, lost baggage and car rental insurance. The first year annual fee of $99 is waived.
For most, it seems the Scotia Momentum Infinite card will provide more cash back (double in gas & groceries). We definitely like the free travel insurance package that comes with the Scotia card as well- pretty unique for a non-travel card. The advantage of the Laurentian Dollars Visa is that you can redeem your cash back at any point after you’ve accumulated $25. Scotia applies your cash back as a statement credit once per year.
Hope that helps,
Can you link to a list of which restaurants are eligible for the Costco MasterCard 3% cashback.
Also, a link to a list of which grocery stores are eligible for the Scotia Momentum Visa 4% cashback. Thank you.
Unfortunately neither provides a link to all the restaurants and grocery stores where they provide cash back. They both use the SIC classification for the merchant category to determine if you get cash back. Suffice to say if it looks like a duck, smells like a duck and walks like a duck, it probably is a duck. Meaning if you’re eating at a restaurant, it’s probably classified as such by its SIC code, which is what CapOne and Scotia will use to determine if it qualifies for cash back.
In the case of grocery stores (SIC Code 5411), the same holds true. That said, Costco and Walmart are NOT considered grocery stores. Stores like Loblaw, Metro, Maxi, IGA, Sobeys, Super C, Zehrs are all covered.
Hope that helps,
The issue is that most of these cards don’t consider places like Superstore or Costco as “groceries”. So it’s really just 1% cashback….this increases the utility of the cards that have a flat cashback on all categories like the MBNA Rewards World Elite MC or the Rogers Platinum Card. The PC one is great if you just shop at Superstore and gas up at Esso but its very limiting.
Thoughts on the fact that Superstore and Costco somehow are not considered in all of this?
That is definitely an advantage of the flat rate cash back cards such as Rogers and MBNA. However, no fee credit cards with category bonuses such as Tangerine still offer tremendous value. And remember, it gives just as much cash back within Costco, as the Costco MasterCard itself!
That said, there are two issues that explain the decision to exclude Costco from category bonuses. First, issuers can’t afford to give 2% cash back on everything for a no fee card, or 4% on everything for a fee based card. Their profitability model simply does not work. They can only do it for certain categories (where they will actually lose money on each dollar you spend), and then hope you use your card elsewhere to make up the difference.
The challenge for the credit card companies with retailers like Costco and Walmart, are that customers can literally use their card for everything, from groceries to bicycles and clothing. As a result, the credit card issuer won’t have the opportunity to make up its loss on those transactions elsewhere – on the average.
If we take Costco for example, it’s estimated that MasterCard charges an interchange rate of .80%+-, which the credit card company collects as its revenue. However, if they then give you 2% cash back, the’re losing 1.2% on each transaction. The hole is simply too large to dig out of, especially if users won’t use their card outside of Costco as much, because they get so much of what they need within Costco.
Hope that helps,
What do you think about CIBC Dividend® Visa Infinite* Card which never mentioned in the article ?
We did consider the CIBC Dividend Visa Infinite card, but felt the Scotia Momentum Visa Infinite card was superior for the following reasons:
1. Both offer 4% cash back in gas and groceries
2. Scotia Momentum offers 2% cash back on all recurring spend and drugstore purchases. CIBC Momentum only offers 2% cash back on Tim Hortons and Telus.
3. Both offer 1% on all other purchases.
4. Scotia Momentum waives it’s annual fee or has a welcome bonus almost all the time.
So the reason the Scotia Momentum Visa Infinite card beat the CIBC Dividend card is because it offers a wider basket of merchants covered in the 2% category, and it almost always has an annual fee waiver or welcome bonus, making the card free to try for a year at tremendous value.
Hope that answers it!
Does anyone know if the following stores count as grocery stores with Amex simply cash back card?
Safeway. Save on food.Walmart. Shoppers.
Walmart, Walmart Supercenters and Shoppers would not count as grocery stores. Safeway and Save on Food should.
I looked into the Rogers Platinum Mastercard and it turns out that unfortunately, they do now have the usual 2.5% foreign transaction fee. This mean 4% – 2.5% = 1.5% cashback on foreign transactions. It’s still worth it if you’re buying a lot in foreign currencies.
Great point and we totally agree. Rogers offers this most value on foreign purchases when you consider that you’re netting 1.5% cash back on foreign purchases. The Amazon card will have no foreign transaction fee, but will only get you 1% cashback, so you’ll only net 1% cash back – you get 50% more cashback with the Rogers card.
Thanks for the comment,
For a US Costco customer, only the VISA card is accepted, the Amazon VISA card will be the best choice to shop there.
We’d throw the Marriott Rewards Visa card in their as well, as a good Canadian Visa card with no foreign transaction fees. No annual fee in the first year, a nice welcome bonus of up to 4 free nights and free night voucher each and every year you keep the card open.
The Marriott Rewards Visa is being discontinued at the end of March 2018 as the relationship between Chase and Marriott is ending. That’s why I’m on this site looking for a replacement 🙁
Hey Joanna! Welcome to GreedyRates and thanks for the question. We’re disappointed about the Marriott Rewards discontinuation as well, but thankfully the Rogers Platinum Mastercard has stepped up to fill the gap. The biggest benefit that the Marriott card used to boast was its lack of any foreign transaction fees, and the Rogers card employs the same benefit but in a more powerful way. Every foreign transaction made with the card still accrues a 2.50% fee, but then Rogers credits your account 4.00% cash back for purchases made in a foreign currency. Basically you end up netting 1.5% cash back after the foreign trans fee is factored out.. It’ll also earn 1.75% on purchases made in Canadian dollars. You can learn more by reading our full Rogers Platinum Mastercard review.
I was about to apply for the Costco Mastercard until I read your article. My main reason to get it was for Costco purchases. I assume Costco purchases would be classified as “other” so I would earn .5% using Costco card (up to first $3,00 spent), 1% using Tangerine or 1.5% using Fido Mastercard. I’m a Fido customer so choice is easy.
Thanks for the great info.
Great thoughts. Not to mention, you could also get the MBNA Rewards World Elite card above, and get 2% at Costco (and everywhere else), with no annual fee in the first year and a $100 signing bonus!
Dont think so. Costco used to only allow payments with cash or debit card. When it started accepting payments with credit cards, it only allowed for their own credit card. So you will not gef a 2 or 4 percent from a different card at Costco.
Hi Alain. Thats not correct. They do accept other mastercards. I currently pay with CT Cashback without any issues.
I spoke with Tangerine today, because I could not apply using the online application link. They don’t have a separate field for mailing address and the online form fields they do have won’t let you add mailing address to them. So I phoned. I’m told that you only get 3 categories if you have a Scotiabank savings account. If you don’t you get 2 categories only. You get 2% back on your categories, after the 3-month promotion is up, and only 1% cashback on everything else. Is that correct?
Yes that is correct. You get 2% cash back in 3 bonus categories of your choice, if you deposit your cash back into a Tangerine Savings account (which is free), 2 categories of your choice if you direct the cash back as a statement credit each month. The 2% cash back in bonus categories is doubled to 4% for the first 90 days. You get 1% cash back on all other spend. There are no earning limits or caps either in the bonus categories or elsewhere.
Hope that helps,
Can anyone tell me what kind of credit limit is possible on the tangerine card? I have tried their help line twice but have been told they can’t answer that question and the only way to find out is to do a full credit app. I don’t want to do that if its a low limit card. Any info would be appreciated. Cheers
I was approved for $15,000. It really will depend on your credit history, and annual income.
How does the Canadian Tire Mastercard compare with these other ones?
The Canadian Tire MasterCard earns good rewards in Canadian Tire stores, but poor value (.8%~) outside of Canadian Tire stores. As a result, it’s not recommended as a general cashback credit card.
Moreover, you have to be careful when applying for a Canadian Tire MasterCard, because while you’re applying for a credit card with an interest rate of 19.99%, they reserve the right to decline you for that rate, and approve you for a card with a rate of 25.99% on purchases and 27.99% on cash advances. You won’t know which rate you’ve been approved for until you receive your card. If you ever carry a balance, that’s a very high rate to assume.
The Tangerine card does have a drawback not mentioned here. Most credit cards allow you to set up automatic payments (either the minimum payment or the full balance due) so that you can be assured you will never get an interest charge even though there is a postal strike, or you are traveling, or just forget sometimes. But the Tangerine card seems to only allow this if you are a Tangerine Bank customer (and I live East of Montreal, so no Tangerines around here). This may be enough of a drawback for me to consider cancelling my Tangerine M/C.
You are correct. However, you can still make online bill payment from your bank to pay down your Tangerine credit card. You just can’t make automatic pre-authorized payments initiated through Tangerine.
Thanks for the comment!
Yes, you are right, I can make payments through my regular bank – but if I am traveling, this means accessing my online banking information through an insecure public wi-fi hotspot, since my economy phone has no data capabilities. As we are warned in many security posts, this is NOT a good idea. All of my other cards can be paid automatically, in full, from my (non-Tangerine) bank account.
Signed up with the MBNA Mastercard to get the 2% cashback, which is a great reward, especially with no annual fee first year and the $100 credit with first purchase.
But I also want to mention that the customer service with MBNA has been outstanding so far. Perhaps because it is relatively unused or new, but I have never waited more than 2 seconds for a call to be answered and have gotten fast, efficient service and directly through to tech support (trying to link my new card to a 10 year old profile).
I agree. MBNA service has been outstanding. Fast friendly and very apologetic should they make an error.
Hi there. This is a great site to help decide what credit card to have. We have been trying to decide what is best. What do you folks think of the Walmart Financial Mastercard?
We think you can do better than the Walmart Financial MasterCard, both to earn cashback inside and outside of Walmart. First, you only get 1.25% cashback with the Walmart MasterCard for purchases inside Walmart, and 1% outside of Walmart.
You can get 1.25% on ALL purchases with the no fee Amex SimplyCash card. Or, using the no fee Tangerine cashback card you can get 2% on WalMart supercenter purchases, if you select grocery as one of your 2 categories, plus another 2% cashback in another category of your choice, such as gas. You then get 1% everywhere else. Both these cards have great bonuses as well, you can read about above.
Alternatively, if you’re a Rogers customer, you can get the no-fee Rogers MasterCard and get 1.75% cashback on ALL purchases, including Walmart.
Thanks for the kind words and hope that helps Shelley!
One negative I find with the Walmart Mastercard is that it’s not accepted if you live in Quebec. I also had trouble setting up the SecureCode and after calling Walmart Mastercard, and Mastercard itself, I have not received any replies.
That is true. Quebec residents cannot get the Walmart card yet, nor can any Walmart cardholder pay their balance in a Quebec based Walmart store. Then again, we’re not sure Quebecers are missing much with the Walmart MasterCard.
The AmEx card is great for 6 months, or until you realize that most of your regular merchants don’t accept AmEx, whichever comes first. Thereafter, it is subject to incineration.
Hi. Just noticed this post. Great stuff as always.
A question though, If the Scotia momentum Card has no fee the 1st year & gives 4% back on gas & groceries, while it cant be used at No Frills (owned by Loblaws) it still is a better bet in all other Loblaw grocery stores & all gas stations. More than Tangerine as well, after the 90 days , so why wouldn’t this be a good choice for stacking or on the grid above. Is the 2 cents per litre discount on gas offered by PC World Elite more lucrative r than 4% cash back?
P.S. With all these options of travel points, cash back, Insurance , Free luggage on flights etc….It is virtually impossible to figure out which cards to use & when.
P.P.S. Unrelated question : Trip interruption , loss baggage perks given by various credit cards are only if you booked the ticket with that credit card . Is that correct?
We didn’t add the Scotia Momentum card to the stacking grid because of the annual fee. Sometimes the annual fee promo is in market other times it’s not.
Correct, trip cancellation, interruption and lost baggage are typically available only if you book your ticket with the card that offers the coverage. The only exception is travel medical insurance, which covers even if you don’t book your travel with that card. You could drive to the U.S. and you, your spouse and dependents will be covered.
Rogers card will be good for who have rogers products and to waive annual fee you have to pay rogers, fido, chatr bill. Therefore, better for recurring bill with rogers mastercard. And PC mastercard gas points are 2 cents per liter unless fill with supreme. Only supreme will get 3 cents per liter or 3% back.
Thanks for the insight. The Rogers MasterCard gets you 1.75% on ALL purchases, and you can redeem once a year as a statement credit against ANY purchases, so it’s actually a really rich general cashback card. The annual fee is free for the first year for everyone, plus the welcome bonus of $35 off-sets the second year annual fee of $29 for non-Rogers customers – making it effectively free for 2 years.
Of course nothing beats the no-fee PC Financial World Elite MasterCard’s 3% cashback in Loblaw owned stores. Combine the Rogers MasterCard with the PC Financial World Elite and Tangerine’s no-fee cashback card which gives you 2% in up to 3 categories of your choice and you have yourself a formidable trio of cashback options to optimize your rewards.
Rogersbank announced the new mastercard.
sounds good because I’m using fido but I already have rogers platinum master card.
It pays to pay with Fido™ MasterCard®
Earn 4% unlimited cash back rewards on all purchases in a foreign currency – from international websites to anywhere you travel abroad
Plus 1.5% unlimited cash back rewards on all purchases in Canadian dollars
Get the credit card with no annual fee and get more of what you want from Fido.
Get paid for using your card!
Get up to $50 in cash back rewards as a welcome bonus: $25 on your first purchase
Plus $25 when you register your Fido bill for pre-authorized payments.
Hopely, it help you paying your bills..
Thanks for the update Calvin!
You can get 7cents/litre with PC MasterCard at superstore gas station, that’s more than 5%!
Something to note with the PC Financial World Elite card is that although the points are only available at Loblaws stores, they sell Gift certs to just about every major retail outlet out there. I believe they also sell pre-paid credit cards. So although it’s not as good as cash back, it’s the next best thing.
Good observation. So on the redemption side, using gift cards allows you to effectively redeem for more than just Loblaw goods, because you can redeem your cashback for an itunes, home depot or amazon gift card.
I agree. I use points for pre paid Visa cards
How come the Costco MasterCard is not on this list of the best?
The Costco card may be good if you wanted to use it exclusively to earn 3% cashback in restaurant purchases, in combination with other cashback or rewards cards that earn more on all other purchases. Otherwise, it’s value is matched or exceeded by many, if not most, other no fee cashback cards in Canada.
Here are the reasons it did not make our list. First it’s base cashback rate is one of the worst in Canada. You get .5% cashback on your first $3,000 of spend, and then 1% thereafter. 1% is the minimum base cashback rate available on every credit card in our rankings. That means one can get DOUBLE the cashback, even on Costco purchases, using their Tangerine or BMO no fee cashback MasterCard over Costco’s own MasterCard on the first $3,000 of spend.
Second, while Costco’ 3% cashback on restaurants and 2% on gas is good, there are plenty of options, which we believe are as good or better, which have much better base cashback rates (although we won’t take anything away from the 3% cashback on restaurants). Tangerine offers 2% cashback in up to 3 categories of your choice (you get to choose from 10 categories), offering 4% for the first 90 days in your selected categories. Amex offer 5% cash back on gas, groceries & restaurants for the first 6 months and 1.25% cashback on all other spend all the time. BMO’s offering 2% cashback on all spend for the first 6 months, etc…
Hope that helps,
I don’t see Capital One listed – I like it because it gives 1.5% cash back on everything, low annual fee and you can apply the cash back as credit to your account anytime you want.
Glad to receive your comment! The Capital One card you mention is a great contender for one of the top cash back cards, but it’s so similar to Rogers’ World Elite Mastercard (but slightly inferior), that we had to bump it from consideration. Rogers is offering 1.75% cash back on all spending in Canadian dollars with the World Elite card, which is already significantly better than Capital One’s offer. Then, World Elite cardholders also get 4.00% cash back when they spend in a foreign currency, which might happen online or during a business trip or vacation. The freedom to use cash back anytime is matched by Rogers’ card because it’s compatible with the Pay With Rewards application from Mastercard, which lets you browse your recent statement expenses and apply cash back to them on demand.
Unfortunately, we can’t fit every great deal into a “best of” list, but if you’re fond of the Capital One card, then we support your decision. It’s really a nice card and will serve you well, as will the Rogers card. Let us know if you’re still stuck on your decision and we’ll weigh a few extra factors.
Tangerine only offers the 3rd category if you deposit your rewards into a Tangerine Savings Account although I am not sure if this is a one time thing. It also has the worst base cash back rate of 0.5% with no 1% base after a certain amount of spend unlike the Costco version you mentioned above.
Thanks for the comment. You’re right that the flat, base rate of cash back attached to the Tangerine Money Back card is a relatively low 0.50%. However, most people that love the card either have a couple main purchase categories where they spend most of their money (eliminating the need for variety), or they use it as a supplementary card to fill in the gaps where their other card or cards don’t earn cash back. Those who are focused on boosting their savings also appreciate it for the automatic cash back deposits to their Tangerine savings account.
Attaching the savings account to your card unlocks a third cash back category, but it’s not a one-time thing. You won’t be able to link the account and card, make a single deposit, and then enjoy the third category. Automatic deposits means that all your cash back goes towards the savings account, not just some of it. If this doesn’t gel with your financial strategy, don’t worry about it. There are many other cards on this list that are better suited to you, we’re willing to bet. If you’d like to provide us with some details about your financial situation, we’d be better able to supply some great card recommendations. Let us know! If you’re worried about sharing information online, you can always email us as well, at [email protected]. Thanks again!