What credit cards do you carry in your wallet? This list of the best cash back credit cards with no annual fees in Canada is worth considering if you want to earn free rewards from your card without paying any fees.
Premium credit cards, which charge a hefty annual fee, offer the holder a variety of perks, including juicy cash back rewards, executive travel bonuses, insurance and more.
Additionally, the annual fees you pay each year for these cards may not be worth it. That's because you'll need to spend up to a certain amount to offset the cost of the annual fee and break even. If you don't spend a lot of money using the credit card, your overall profit may be minimal.
No-fee credit cards are not without benefits. If you choose the right cash back card with no annual fees, you can earn more rewards than with a card with high fees.
A no-fee card is attractive when you don't want to spend $120 upfront on a credit card that you might not use enough times to cover the cost.
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The best Canadian credit cards with no annual fee
There are no-fee cards that offer unlimited cashback and travel rewards, attractive balance transfers, low purchase and cash-advance rates, 0% exchange fees, extended warranty, fraud protection and more.
You don't have to pay an annual fee for a credit card to take advantage of the many benefits it offers.
Tangerine Cash Back Credit Card
Prizes: Earn up to 2% unlimited cashback on up to 3 spending categories and 0.50% on all other purchases.
Welcome offer: Get an extra 10% cash back on spending up to $1000 in the first 2 months ($100 value); 1.95% balance transfer rate for 6 months.
Interest rates:19.95% on purchases, balance transfers and cash advances.
Annual fee:0 dollars
APPLY NOW
Mastercard KOHO prepaid card
Prizes: Earn 1% cash back on groceries and transportation; Up to 5% cashback at selected partners; Earn interest on your balance*.
Welcome offer: Get a $20 bonus when you load and make your first purchase (use promo codeREFUNDduring registration).
should:0%
Annual fee:0 dollars
APPLY NOW
Neo Credit Mastercard (standardna)
Prizes: Average 5% cashback on 10,000+ partners and minimum 0.50% cashback on all purchases
Welcome offer: Get 15% cash back on your first purchases plus a $25 welcome bonus.
Interest rates:19.99% - 29.99% on purchases; 22.99% - 31.99% for cash advances.
Annual fee:0 dollars
Karta SimplyCash firme American Express
Awards and benefits: Earn up to 2% cashback on fuel and groceries; 1.25% cash back on all other purchases; travel accident insurance.
Welcome offer: Get a $10 credit for every month you spend $300 on your card in the first 10 months (up to a $100 value).
Interest rates:20.99% on purchases and 21.99% on cash advances.
Annual fee:0 dollars
APPLY NOW
Tangerine World Mastercard
Prizes: earn up to 2% unlimited cashback on up to 3 spending categories and 0.50% on all other purchases; VIP benefits.
Welcome offer: Get an extra 10% cashback on up to $1,000 spent in the first 2 months ($100 value).
Interest rates:19.95% on purchases, balance transfers and cash advances.
Annual fee:0 dollars
APPLY NOW
1. Tangerine Cash Back Credit Card
TheTangerine Cash Back Credit Cardit qualifies as one of the best free cash back cards.
Benefits of this card include:
- There is no annual fee
- 10% Promo Cashback Rate for a limited time ($100 value)
- Earn regular 2% cashback on up to 3 selected spending categories including groceries, entertainment, home improvement, gas, recurring bill payments, drugstore purchases, transportation, etc. Cashback categories can change based on your spending habits at any time
- Earn 0.5% cashback on other purchases
- Cashback is automatically paid every month
- There is no limit to the total amount of cashback you can earn
- Free 90-day purchase protection
- Extended warranty for 1 year
- Promo balance transfer rate of 1.95% for 6 months if transferred within 30 days of card activation
I loveTangerine cash back cardbecause it does not impose spending limits on the 2% cashback categories. Also, you don't have to wait a whole year to enjoy the rewards. Pays out every month like real cash!
If you deposit money directly into your Tangerine savings account, you'll get three levels of 2%. Otherwise, you only qualify for two.
You can read my wholereviewcards.
2. Mastercard KOHO prepaid card
TheMastercard KOHO Easy prepaid karticano annual fee. Plus, you get 1% when you spend on groceries, fuel and transportation, and up to 5% when you shop with partners.
Zcalculation premium, you'll get 2% cashback across three spending categories and other perks like no currency conversion fees. There's also an optional credit building service for $7-$10 per month, depending on your plan.
KOHO accounts also include:
- Access to a savings account that earns up to 2% interest
- Budget application
- Automatic summary feature to save for financial purposes
- 0% interest rate.
There are no credit check or minimum income requirements for this card.
3. Karta NeoFinancial Mastercard
TheKarta NeoFinancial Mastercard(Neo Card) is one of the best Canadian credit cards with no annual fees, it gives you cash back when you shop.
Its key features include:
- No annual fee and $25 welcome bonus upon approval
- Up to 5% unlimited cashback at over 10,000 participating retailers and brands
- Easily redeem cash back rewards on your credit card balance at any time
- Welcome bonus 15% cash back in several stores on your first purchase
- It also includes a virtual card so you can pay with your smartphone
- Access to a savings account (Neo Money) and free unlimited payments for accounts and transactions with Interac e-Transfers
- Purchase interest from 19.99% to 26.99%.
The Neo Mastercard also functions as a student credit card and does not require a minimum income. Learn more in thisreview.
If you have bad credit, you can apply for guaranteed approvalSecure Neo credit card.
4. Karta SimplyCash firme American Express
TheKarta SimplyCash firme American Expressis one of the best free credit cards with a fixed cash back rate.
Benefits of this card include:
- There is no annual fee
- $10 credit for every month you spend $300 in purchases with your card in the first 10 months (up to a $100 value)
- 2% cash back on groceries and gas ($300 annual cash back limit)
- 1.25% cash back on all other purchases
- There is no limit to the cash prizes you earn
- $100,000 travel accident insurance
- 1 year extended warranty
- Free Purchase Protection Plan
- Exclusive access to American Express Experiences entertainment
The simple 1.25% cashback offered by the SimplyCash card is easy to understand and there is no limit to annual cashback rewards.
5. Tangerine's World Mastercard
Tangerine World Mastercard is Tangerine's newest credit card and definitely one of the best free credit cards in Canada.
Benefits of this card include:
- There is no annual fee
- 2% unlimited cashback on three spending categories including groceries, entertainment, fuel, restaurants, recurring bill payments, public transport, hotel/motel and several others
- Earn 0.50% cashback on all other categories
- Balance transfer rate of 1.95% for 6 months
- Collision/loss insurance for 31 consecutive days of car rental
- Mobile device insurance up to $1000
- Mastercard airport experiences powered by Loungekey with access to exclusive dining, shopping and spa offers in over 1,000 lounges in 400 airports worldwide
- Purchase protection and extended warranty
TheTangerine World Mastercardit's a step up from Tangerine's cash back credit card and comes with additional free benefits.
The only reason it's not #1 on this list is because it requires a minimum personal income of $60,000 per year. The cash back card requires a minimum income of $12,000.
You can read my wholeTangerine World Mastercard Review.
6. Karta Triangle World Elite Mastercard
If you shop a lot at Canadian Tire or Sport Chek or pay for roadside assistance, the Triangle World Elite Mastercard offers great rewards.
The advantages of the card are:
- There is no annual fee
- Earn 3% in CT Money when you spend on groceries (up to $12,000 per year). Excludes Costco and Walmart
- Earn 4% in CT Money on purchases at Canadian Tire, Sport Chek and participating Mark's/L'Equipeur and Atmosphere stores
- Collect 5-7 cents per liter in CT money when you buy fuel at Gas+ locations
- Free roadside assistance (gold plan)
- Car rental insurance against collision/loss
- Extended warranty
- Purchase protection
- No fee or interest financing on qualifying purchases of $200 or more at participating stores
- Simply exchange your CT money at participating Canadian Tire, Sport Chek and Mark's/L'Equipeur and Atmphere locations
The total rewards offered by the Triangle World Elite Mastercard are almost unbelievable for a free trade card.
You can read my wholeTriangle World Elite Mastercard Review.
7. Karta Scotiabank American Express
This Scotiabank card has no annual fees and helps you earn moneyStage + points.
You can earn 3x points per dollar spent on eligible grocery purchases, 2x points on dining, entertainment, fuel and streaming and 1x points on everything else.
Cardholders also receive special offers and discounts through American Express Invites, plusMobile devicesand basic purchase insurance.
Learn more aboutKarta Scotiabank American Express.
8. American Express Green Card
TheAmerican Express Green Cardallows you to earn American Express points that you can use for discounts on almost everything.
You can earn points on all your spending, plus additional points on qualifying hotel and car rental purchases. There are no rewards limits and claiming points is easy. You can also transfer them to several other loyalty programs.
9. Karta MBNA Rewards Platinum Plus Mastercard
TheKarta MBNA Rewards Platinum Plus Mastercardis one of the best free cards in the cash back and travel category.
Card benefits include 2 MBNA points (1% cash back) for every $1 spent on groceries, fuel and dining (up to $5,000 per category), 1 MBNA point (0.50% cash back) for every $1 in qualifying purchases, insurance for car rental and travel accident insurance.
Points can be redeemed for a variety of rewards, including travel, gift cards, cash back, merchandise and charitable donations.
With a maximum earning rate of 2% up to $15,000 per year and 1% on all overheads, this card is among the best in its category.
10. Karta PC Financial World Elite Mastercard
Tenstore cardit doesn't offer cash back and instead you can use it to earn PC Optimum points every time you use your card.
For example, you can earn 30 points for every dollar you spend at partner stores including Loblaws and Valu-Mart, 45 points at Shoppers Drug Mart and 10 points everywhere else.
1000 PC Optimum Points is equivalent to $1.
There is a high personal income requirement of $80,000 or a household income of $150,000.
11. Simple visa with the possibility of cash refund
TheEasy visa with cash backhas a standard cashback rate of 0.5% with no earnings limit. Earn 1.5% on grocery, drugstore and fuel purchases up to $15,000 per year. You can also earn 4% cash back on coffee, bar and restaurant purchases up to $5,000 per year.
It also has a low minimum household income requirement of $15,000.
12. Visa Home Trust card is preferred
TheVisa Home Trust card is preferredoffers cash rewards with free roadside assistance and no foreign transaction fees!
Benefits offered by this card include 0% foreign currency transaction fees, 1% cash back on all purchases with no annual earnings limit and purchase protection.
One of the features of this card is a 0% foreign currency conversion fee for purchases made while traveling abroad. This is usually a 2.5% charge.
13. Karta BMO CashBack Mastercard
TheKarta Mastercard Cash Back BMOoffers a combination of competitive cashback on all purchases and balance transfers.
Benefits offered by the card include no annual fee, 3% cash back on groceries (up to $500 per month), 1% cash back on recurring bill payments (up to $500 per month) and 0.50% on all other purchases.
You can deposit cash rewards into a savings or checking account, invest them, or use them to pay off your credit card balance.
14. Mastercard Amazon.ca Rewards Card
TheKarta Mastercard Rewards Amazon.cais a good choice for anyone who regularly shops on Amazon. You can earn 1.5% cash back on Amazon.ca and Whole Foods purchases for non-Prime members, while Prime members will get 2.5%.
You can also earn 1% cash back on eligible purchases anywhere else you can use your card. In addition, Prime members also receive 2.5% cashback on qualifying currency transactions and include select travel insurance.
Methodology:
Savvy New Canadians ranks the best free cash back credit cards based on their no annual fee status, cash back rewards, ease of redeeming rewards, welcome bonuses, key features, categories, insurance and other benefits. We carefully evaluate each credit card and place greater weight on the value of the long-term rewards it offers. Visit your credit card issuer's website using the links to confirm each product's terms and conditions before applying.
Comparison of the best credit cards with no-fee cash back
| cards | Annual fee | Purchase Apr | APR cash advances | Prizes |
| Tangerine Cash Back Credit Card | 0 dollars | 19,95% | 19,95% | Unlimited cashback up to 2% |
| Mastercard KOHO prepaid card | 0 dollars | Not applicable | Not applicable | Cashback from 0.25% to 5% |
| Karta Neo | 0 dollars | 19,99% do 26,99% | 22,99% do 28,99% | Cashback up to 5% |
| Karta SimplyCash firme Amex | 0 dollars | 20,99% | 21,99% | Cashback up to 2% (unlimited to 1.25%) |
| Tangerine World Mastercard | 0 dollars | 19,95% | 19,95% | Unlimited cashback up to 2% |
| Triangle world elite | 0 dollars | 19,99% | 22,99% | Make 4% in CT money |
| Karta Scotiabank American Express | 0 dollars | 19,99% | 22,99% | Up to 3x Scene+ points for every $1 you spend |
| American Express Green Card | 0 dollars | 20,99% | 21,99% | Earn American Express points |
| Karta MBNA Rewards Platinum Plus Mastercard | 0 dollars | 19,99% | 24,99% | Cashback up to 1% |
| Easy visa with cash back | 0 dollars | 19,99% | 22,99% | Cashback from 0.5% to 4% (with spending limits) |
| Karta Mastercard Rewards Amazon.ca | 0 dollars | 19,99% | 22,99% | Cashback from 1% to 2.5% |
| Karta PC Financial World Elite Mastercard | 0 dollars | 20,97% | 22,97% | Up to 45 PC Optimum points for every $1 spent |
| Karta BMO CashBack Mastercard | 0 dollars | 20,99% | 22,99% | Cashback up to 3% (with spending limits) |
| Visa Home Trust card is preferred | 0 dollars | 19,99% | 19,99% | 1% cash back |
What is a cash back credit card?
Cash back credit cards are simply credit cards that you normally use for everyday purchases, but they give you cash back as a percentage of your spending.
So if you spend $200 using a cashback credit card with a 2% cashback rate, you'll get $4 back.
Depending on your credit card, you may be able to get cash back at any time, but you can only do so when you reach your limit or once a year.
They are the same as no-fee cash-back credit cards, but they don't charge an annual fee. However, you may have to pay other types of fees, such as currency fees.
Remember that the best credit cards often have higher annual fees. This usually means a higher cashback rate or better rewards. But no-fee credit cards can still offer great rewards.
Types of Cash Back Credit Cards
There are several types of cash back credit cards you can get in Canada, including the following options:
Credit cards with the option of cash back without fees
Credit cards with free cash back do not charge an annual fee. However, sometimes you will have to pay overdraft fees, foreign exchange fees and more.
Premium Cash Back credit cards
Premium cash back credit cards often come with fairly high annual fees, which can run into the hundreds of dollars. However, they often offer higher cashback rates and perks like travel insurance and discounts.
Store Cash Back Credit Cards
These are just standard cash back credit cards issued by stores. They work the same way, but your cashback may be limited to in-store purchases.
Prepaid Cash Back Credit Cards
They're not exactly credit cards, because you have to deposit your own money on them, which can be used just like a regular credit card. However, when you shop, you also get cash back.Learn more about prepaid cards.
Credit cards with flat cash back
Some credit cards offer a flat cash back rate, which is often 0.5% or 1% on all eligible purchases.
Flexible credit cards with cash back
Many Canadian cash back credit cards offer a fixed and higher cash back rate for spending at certain stores or in certain categories.
For example, you can get 1% cash back on standard purchases and 3% on qualifying grocery, fuel, entertainment or travel purchases.
Some cards even let you choose the categories in which you want to earn the most money.
How cash back credit cards work
Cash back credit cards are very simple. The issuer will clearly state the percentage of cashback you can get for various purchases. For example, 1% on standard purchases, 3% on grocery purchases, etc.
Earnings limits may also apply. For example, there may be a limit on how much you can earn with higher cashback rates, such as a maximum of $500 per year with a 3% cashback rate. The lower cashback rate for standard purchases can be unlimited.
By spending money on the card, you can usually see how much money you have earned at any time.
Depending on the card you use, you may be able to get cash back at any time that suits you. For example, you may have to wait until you earn a certain amount, such as $20, or it may be automatically used to pay off your debt once a year.
Points vs Cashback Rewards
While many free credit cards allow you to earn cash back, others may reward you instead.
No-fee rewards credit cards will allow you to earn points, such as American Express points or Scene+ points, on all your spending. In addition, they may have the opportunity to earn more rewards for purchases in certain categories, such as gas and groceries, similar to cash back cards.
The big difference is that these credit cards don't give you cash to spend on anything. Instead, you can use rewards to get discounts on purchases under this rewards program, so they're often more limited.
Advantages and disadvantages of cash back credit cards
There are several pros and cons to using cash back credit cards in Canada:
Advantages:
- Earn money in exchange for daily purchases.
- You can often get higher rates for shopping in certain categories.
- Credit cards with free cash back are free to use.
Against:
- Some cash back credit cards allow you to redeem points only when you reach an earning threshold.
- Cash back rates for general purchases can be quite low, especially with credit cards.
- You can only get cash back on purchases at certain stores or purchase categories, which may make them more restrictive.
How to Apply for a Cash Back Credit Card with No Annual Fees
Applying for a no annual fee cash back credit card is a simple process. First you need to select the credit card you want to apply for. You can start by checking out the credit cards listed in this guide to get you started and comparing cash back rates, APRs and any perks they offer.
Then find outqualification requirementsand make sure you meet them. There are often requirements based on your age and residency status. There may or may not be a minimum income requirement or minimum household income.
You will also needgood credit scoreapply for most free cash back credit cards in Canada. If not, you can apply for a prepaid or secured credit card instead.
If you meet the requirements, feel free to apply. The quickest and easiest way to do this is through a credit card website, but you can often apply by phone or at a bank branch if you prefer.
Fill out the application with basic information. Your card issuer will check your information and credit report before making a decision, and instant approval may be possible online.
Your card will be sent by post. You can activate it and get a refund when you get it.
How to choose a credit card with no annual fees
There are several factors to consider when choosing a free credit card.
The main factor is the amount of cash back you can earn or rewards if you get a no-fee rewards card. See the standard amount and all categories where you can earn more money.
If you shop at a particular store regularly, check to see if the store offers a credit card. For example, if you regularly shop at Amazon.ca, the Amazon.ca Rewards Mastercard may be a good option.
Check the requirements to see if you qualify. There's no point in applying for a card you probably won't get. Additionally, applying for several cards in a short period of time can hurt your credit score.
Don't forget about interest. If you carry a balance, it can significantly affect the cost of your credit card. Generally, the lower the interest rate, the better.
Welcome bonuses change regularly so check them out as you may be able to earn a much higher level of cashback in your first few months.
Finally, check any other credit card features that are important to you, includingInsurance, discounts and other benefits that will help you choose.
How to maximize your cashback
When you use a cash back credit card, you want to maximize your rewards. This can be done in several ways.
If possible, choose your refund categories carefully. If you tend to spend more on groceries than anything else, choose grocery shopping as one of your cash back categories.
You may want to get two or more credit cards, depending on the cash back they provide for different categories. For example, one may offer a higher rate for gas purchases and another for entertainment purchases. If they are free credit cards, it can be worth it.
If your card comes with a generous welcome bonus, make a big purchase the first time you get the card and enjoy extra cash back.
Sign up for authorized users for your partner and children. Then you can get a refund on all your expenses.
You can even link your credit card to a cashback app like CashbackRakuten,AmpliLubCaddleand get even more cash for your purchases.
Who Should Get a Free Cash Back Credit Card?
Anyone looking to get cash back on their purchases should consider a Canadian credit card with free cash back. However, if you use your credit card frequently, it's worth checkingpremium cashback credit card. They may offer a higher rate, allowing you to earn more money to cover the cost of the card.
However, if you don't use your credit card often, a no-fee card is a good option because you don't have to worry about earning enough to cover the cost of the card.
A free cashback card can be a good solution if you regularly shop at a certain store or make certain types of purchases (petrol,Store, trips, etc.).
These cards are probably best if you don't have any balances on you. While cash back can be tempting, spending more on interest payments can defeat the purpose.
Which one to choose?
TheMandarin refundthe card is great for maximizing cashback on certain categories of purchases, eg groceries, gas, recurring bill payments, etc.
The same appliesTangerine World MastercardandKarta NeoFinancial Mastercard.
The Triangle World Elite Mastercard saves you money on good roadside assistance while you earn 4% cash back (Canadian Tire Money) on multi-store purchases.
On all general purchases, 1.25% unlimited cashback offersKarta SimplyCash firme American Expressis an excellent option.
FAQs about the best no-fee cash back credit cards
What is the best free credit card in Canada?
The best no-fee credit card varies depending on your needs. In our review, the top three no-fee credit cards are the Tangerine Money-Back Credit Card (2% unlimited cash back in three categories), the SimplyCash AMEX Card (fixed cash back), and the Neo Card, which earns a hefty 5% cash back on specific retailers.
Which credit cards offer the best rewards in Canada?
Here are the besttravel rewards credit cards. If you're looking for cash back rewards and don't want to pay an annual fee, the above options are some of the best you'll find for cash back. For the best credit cards that offer a combination of insurance, travel, no foreign currency transaction fees and cash back,click here.
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Best Canadian Cash Back Credit Cards
in general
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ABSTRACT
Read this review of the best no-fee cash back credit cards in Canada and get free rewards on your card without paying an annual fee.