Canada's Best Cashback Credit Cards Compared & Ranked
The best cashback credit cards are the most straightforward of the rewards cards. No blackouts, expiring points, or gimmicks – just cold, hard, cash. If you pay down your credit card balance every month, some of the best rewards credit cards available pay out in cash. Whether you have a family of four, vacation to your cottage on the weekends or are just starting out in life, cashback credit cards offer simplicity and impressive value.
To find the best cash back credit cards (update rankings), we took census Canada’s average monthly spend on gas of $200, groceries of $400, and an additional $100 of other credit card expenses. This gave us $700 in monthly credit card spend and $8,400 over the course of the year. We then created two lists. One of cashback cards with annual fees, and the other of cashback cards without annual fees. We then calculated the cashback earned from each credit card and ranked the top three for both fee and no fee cashback cards.
When evaluating the rankings, it’s important to note the credit and income criteria required to be eligible for the offer. There’s nothing more frustrating than applying for a credit card and being declined. The no fee cards will tend to be less stringent on both credit and income than the fee based cards.
Best Cashback Credit Card Rankings:[table “28” not found /]
*Includes annual fee in calculation
We also put together a chart to help us see how the top cashback cards stack-up with one another based on different monthly spend volumes:
So what’s the best cashback credit card Canada? The MBNA Smart Cash Mastercard ranks as the best cashback credit card with no annual fee. In the first 6 months, The Smart Cash card offers 5% cashback on gas & groceries and 1% on everything else. After 6 months, it offers 2% cashback on gas & groceries and 1% on everything else. It’s also a great credit card for those with average credit, so long as your credit history is clear of a bankruptcy or seriously delinquent accounts. The 1.99% introductory interest rate on transferred balances for 10 months, is aggressive for a rewards card and can be taken advantage of by those with current credit card balances. There are some drawbacks with some of the monthly caps, but if you spend less than $1,250 per month on your credit card and less than $400 a month on gas or groceries, you’ll be fine.
For those earning more than $60K per year, have excellent credit, and are willing to commit to an annual fee, the Scotia Momentum Infinite card ranks as the best cash back credit card in Canada for you. It offers 4% cashback on gas and groceries, 2% cashback on pharmacy and recurring bills and 1% on everything else. Even with its annual fee of $99, no cashback card comes close in value, except if you spend less than $600 per month on your credit card, then we would recommend the MBNA Smart Cash card.
Time to get excited and start earning you cashback now!