There are many cashback credit cards available in Canada, each with their own benefits and features. Here are some of the best cashback credit cards in Canada:

1. Tangerine Money-Back Credit Card: This card offers 2% cashback on up to three categories of your choice, and 0.5% on all other purchases. There is no annual fee for this card.
2. SimplyCash Preferred Card from American Express: This card offers 2% cashback on all purchases with no limit, but does come with an annual fee of $99.
3. Scotia Momentum Visa Infinite: This card offers 4% cashback on groceries and recurring bills, 2% cashback on gas and daily transit, and 1% on all other purchases. There is an annual fee of $120 for this card.
4. BMO CashBack World Elite Mastercard: This card offers 1.5% cashback on all purchases, and comes with added benefits such as travel insurance and concierge service. There is an annual fee of $120 for this card.
5. CIBC Dividend Visa Infinite Card: This card offers 4% cashback on gas and groceries, 2% cashback on Tim Hortons and TELUS purchases, and 1% on all other purchases. There is an annual fee of $120 for this card.
6. Rogers World Elite Mastercard: This card offers 1.75% cashback on all purchases, and 4% cashback on purchases made in a foreign currency. There is no annual fee for this card, but you must be a Rogers or Fido customer to be eligible.
7. MBNA Rewards World Elite Mastercard: This card offers 2% cashback on all purchases, and comes with added benefits such as travel insurance and concierge service. There is an annual fee of $89 for this card.
8. National Bank of Canada MC1 Mastercard: This card offers 1.5% cashback on all purchases, and has no annual fee.
9. RBC Cash Back Mastercard: This card offers 2% cashback on groceries, and 0.5% on all other purchases. There is no annual fee for this card.
10. American Express Cobalt Card: This card offers flexible rewards points that can be redeemed for travel, merchandise, or statement credits, and includes 5x points on eats and drinks, 2x points on travel and transit, and 1x points on all other purchases. There is an annual fee of $120 for this card.
11. Scotia Momentum No-Fee Visa: This card offers 1% cashback on groceries, gas, drugstore purchases, and recurring bill payments, and 0.5% cashback on all other purchases. There is no annual fee for this card.
12. CIBC Dividend Platinum Visa Card: This card offers 2% cashback on groceries and gas, and 1% cashback on all other purchases. There is an annual fee of $99 for this card.
13. BMO CashBack Mastercard: This card offers 1% cashback on all purchases, and comes with added benefits such as purchase protection and extended warranty. There is no annual fee for this card.
14. Tangerine World Mastercard: This card offers 2% cashback on up to three categories of your choice, and 0.5% on all other purchases. The card also comes with added benefits such as mobile device insurance and rental car insurance. There is no annual fee for this card.
15. Desjardins Cash Back Mastercard: This card offers 1% cashback on all purchases, and has no annual fee.
16. Canadian Tire Triangle Mastercard: This card offers 4% cashback in Canadian Tire Money on purchases made at Canadian Tire, Sport Chek, and participating Mark’s/L’Équipeur stores, and 0.8% cashback on all other purchases. There is no annual fee for this card.
17. PC Financial World Elite Mastercard: This card offers PC Optimum points, which can be redeemed for groceries and other merchandise at participating stores, and includes 30 PC Optimum points per dollar on purchases made at Shoppers Drug Mart, 30 PC Optimum points per litre on fuel purchases at Esso and Mobil stations, and 10 PC Optimum points per dollar on all other purchases. There is no annual fee for this card.
18. HSBC +Rewards Mastercard: This card offers flexible rewards points that can be redeemed for travel, merchandise, or statement credits, and includes 2 points per dollar on eligible dining and entertainment purchases, and 1 point per dollar on all other purchases. There is no annual fee for this card.
19. Triangle World Elite Mastercard: This card offers 4% cashback in Canadian Tire Money on purchases made at Canadian Tire, Sport Chek, and participating Mark’s/L’Équipeur stores, and 3% cashback in Canadian Tire Money on grocery purchases, up to $12,000 per year. There is an annual fee of $99 for this card.
20. Home Trust Preferred Visa Card: This card offers 1% cashback on all purchases, and has no annual fee.

Here’s a table summarizing the key features of the 20 cashback credit cards in Canada mentioned above:

Please note that the benefits and features of these credit cards are subject to change, and it’s important to review the terms and conditions before applying for a credit card to ensure that it meets your needs and financial situation.

How do cash back credit cards work in Canada?

Cashback credit cards in Canada work by rewarding you a certain percentage of your spending back in the form of cash rewards. The percentage of cashback that you can earn varies depending on the credit card, and some cards offer higher cashback rates for certain categories such as groceries, gas, or travel.

When you make a purchase with a cashback credit card, the credit card issuer earns a percentage of the transaction as an interchange fee from the merchant. The credit card issuer then shares a portion of this fee with you in the form of cashback rewards.

Cashback rewards can be earned in different ways depending on the credit card. Some cards offer a flat cashback rate on all purchases, while others may offer tiered rates or rotating categories that change every few months. Some cashback credit cards also come with sign-up bonuses, which allow you to earn a certain amount of cashback rewards when you first open the account and meet certain spending requirements.

The cashback rewards that you earn with a cashback credit card can typically be redeemed in a few different ways, such as a statement credit on your account, a deposit into your bank account, or a check in the mail. Some cashback credit cards also offer additional redemption options, such as travel or merchandise.

Is getting a cash back credit card worth it?

Whether getting a cashback credit card is worth it for you depends on your spending habits and financial situation. If you are able to pay off your credit card balance in full each month and you use the credit card responsibly, a cashback credit card can be a great way to earn rewards and save money on your everyday purchases.

With a cashback credit card, you earn a percentage of your spending back as cash rewards, which can add up over time. Some cashback credit cards offer higher rewards on certain categories, such as groceries, gas, or travel, so if you spend a lot in those categories, you may be able to earn more cashback rewards. Additionally, some cashback credit cards come with added benefits, such as travel insurance, extended warranties, or concierge service, which can provide extra value.

However, it’s important to note that some cashback credit cards may come with annual fees, which can eat into your rewards earnings. You’ll need to weigh the potential rewards against any fees, and determine whether the rewards outweigh the cost of the card. Additionally, if you don’t use the credit card responsibly, you can end up accruing interest charges, which can quickly wipe out any rewards earnings.

10 Best no fee cash back credit cards Canada

Here are ten of the best no fee cashback credit cards available in Canada:

1. Tangerine Money-Back Credit Card: This card offers 2% cashback on up to three categories of your choice, and 0.5% on all other purchases. There is no annual fee for this card.
2. RBC Cash Back Mastercard: This card offers 2% cashback on groceries, and 0.5% on all other purchases. There is no annual fee for this card.
3. SimplyCash Card from American Express: This card offers 1.25% cashback on all purchases, and has no annual fee.
4. BMO CashBack Mastercard: This card offers 1% cashback on all purchases, and comes with added benefits such as purchase protection and extended warranty. There is no annual fee for this card.
5. Home Trust Preferred Visa Card: This card offers 1% cashback on all purchases, and has no annual fee.
6. MBNA Rewards Platinum Plus Mastercard: This card offers flexible rewards points that can be redeemed for travel, merchandise, or statement credits, and includes 2 points per dollar on eligible gas, groceries, and restaurants, and 1 point per dollar on all other purchases. There is no annual fee for this card.
7. CIBC Dividend Visa Card: This card offers 2% cashback on groceries and gas, and 1% on all other purchases. There is no annual fee for this card.
8. Triangle Mastercard from Canadian Tire: This card offers 4% cashback in Canadian Tire Money on purchases made at Canadian Tire, Sport Chek, and participating Mark’s/L’Équipeur stores, and 0.8% on all other purchases. There is no annual fee for this card.
9. PC Financial World Mastercard: This card offers PC Optimum points, which can be redeemed for groceries and other merchandise at participating stores, and includes 25 PC Optimum points per dollar on purchases made at Shoppers Drug Mart, 10 PC Optimum points per dollar on purchases at Loblaws-owned stores, and 10 PC Optimum points per litre on fuel purchases at Esso and Mobil stations. There is no annual fee for this card.
10. Scotia Momentum No-Fee Visa: This card offers 1% cashback on groceries, gas, drugstore purchases, and recurring bill payments, and 0.5% on all other purchases. There is no annual fee for this card.

Best Cashback Credit Cards Canada FAQs

Q: What is a cashback credit card?

Q: Do cashback credit cards in Canada offer other benefits besides cashback rewards? A: Yes, many cashback credit cards in Canada offer additional benefits such as travel insurance, extended warranties, purchase protection, and more. It’s important to review the benefits of the card and understand any limitations or restrictions on these benefits.

Q: Can I have more than one cashback credit card in Canada? A: Yes, you can have more than one cashback credit card in Canada. However, it’s important to use each card responsibly and understand the rewards and fees associated with each card. Carrying multiple credit cards can also make it more difficult to track your spending and manage your finances.

Q: Will my credit score be affected if I apply for a cashback credit card in Canada? A: Yes, applying for a cashback credit card in Canada will typically result in a hard inquiry on your credit report, which can temporarily lower your credit score. However, if you use the credit card responsibly and pay off your balance in full each month, it can also help improve your credit score over time.

Q: Can I cancel my cashback credit card in Canada at any time? A: Yes, you can typically cancel your cashback credit card in Canada at any time. However, it’s important to review the terms and conditions of the card and understand any fees or penalties associated with cancelling the card. Cancelling a credit card can also affect your credit score, so it’s important to consider the impact before making a decision.

Q: How do I track my cashback rewards earned from a cashback credit card in Canada? A: Many cashback credit cards in Canada offer online account access where you can track your cashback rewards earned, as well as any other transactions and balances. Some cards may also offer mobile apps or other tools to help you track your spending and rewards.

Q: What should I do if I have a problem with my cashback credit card in Canada? A: If you have a problem with your cashback credit card in Canada, such as an unauthorized charge or billing error, you should contact the credit card issuer’s customer service department as soon as possible to address the issue. It’s important to keep records of any communication and follow up as needed to ensure the issue is resolved.

A: A cashback credit card is a type of credit card that rewards you with a percentage of your spending back in the form of cashback rewards. The percentage of cashback that you can earn varies depending on the credit card, and some cards offer higher cashback rates for certain categories such as groceries, gas, or travel.

Q: How does a cashback credit card work in Canada?

A: Cashback credit cards in Canada work by rewarding you a certain percentage of your spending back as cash rewards. When you make a purchase with a cashback credit card, the credit card issuer earns a percentage of the transaction as an interchange fee from the merchant. The credit card issuer then shares a portion of this fee with you in the form of cashback rewards.

Q: What are the benefits of a cashback credit card in Canada?

A: The benefits of a cashback credit card in Canada include earning rewards on your everyday purchases, saving money on your expenses, and potentially receiving additional perks such as travel insurance or extended warranties.

Q: How do I choose the best cashback credit card for me?

A: When choosing a cashback credit card in Canada, consider your spending habits and which categories you spend the most money in, as well as any additional perks or benefits that may be important to you. Additionally, consider any fees or interest rates associated with the card, and review the terms and conditions carefully before applying.

Q: Is it worth getting a cashback credit card in Canada?

A: Whether getting a cashback credit card is worth it for you depends on your spending habits and financial situation. If you are able to pay off your credit card balance in full each month and you use the credit card responsibly, a cashback credit card can be a great way to earn rewards and save money on your everyday purchases.

Q: Are there any no-fee cashback credit cards in Canada?

A: Yes, there are several no-fee cashback credit cards available in Canada, including the Tangerine Money-Back Credit Card, RBC Cash Back Mastercard, SimplyCash Card from American Express, and more.

Q: How do I redeem my cashback rewards from a cashback credit card in Canada?

A: Cashback rewards from a cashback credit card in Canada can typically be redeemed in a few different ways, such as a statement credit on your account, a deposit into your bank account, or a check in the mail. Some cashback credit cards also offer additional redemption options, such as travel or merchandise.

Q: Can I earn cashback rewards on all purchases with a cashback credit card in Canada?

A: The amount of cashback rewards you can earn on a cashback credit card in Canada may vary depending on the card. Some cards offer a flat cashback rate on all purchases, while others may offer higher rates for certain categories such as groceries, gas, or travel. It’s important to review the terms and conditions of the card to understand how rewards are earned.

Q: Do cashback credit cards in Canada have annual fees?

A: Some cashback credit cards in Canada do have annual fees, while others do not. Cards with annual fees may offer higher cashback rates or additional perks or benefits. It’s important to consider the overall value of the card, taking into account any fees, before applying.

Q: How can I maximize my cashback rewards with a cashback credit card in Canada?

A: To maximize your cashback rewards with a cashback credit card in Canada, consider using the card for purchases in categories that offer the highest cashback rates. For example, if a card offers a higher cashback rate on groceries, consider using it for your grocery purchases. Additionally, some cards may offer bonus cashback rewards for meeting certain spending thresholds or for signing up for the card.

Q: Can I use a cashback credit card in Canada for international purchases?

A: Yes, many cashback credit cards in Canada can be used for international purchases. However, some cards may charge foreign transaction fees, which can offset any cashback rewards earned. It’s important to review the terms and conditions of the card to understand any fees associated with international purchases.

Q: Are cashback rewards taxable in Canada? A: Yes, cashback rewards earned on a credit card are considered taxable income in Canada. However, many credit card issuers will issue a tax receipt for the cashback rewards earned in a given year. It’s important to keep track of your rewards and any associated tax documents for tax purposes.

Q: How can I avoid paying interest charges on my cashback credit card in Canada?

A: To avoid paying interest charges on your cashback credit card in Canada, it’s important to pay off your balance in full each month before the due date. Carrying a balance can result in accruing interest charges, which can quickly wipe out any cashback rewards earned.

Q: Can I transfer my cashback rewards to another credit card or loyalty program?

A: It depends on the credit card issuer and the specific terms and conditions of the card. Some cashback credit cards in Canada may allow you to transfer your rewards to another loyalty program or credit card, while others may not offer this option. It’s important to review the terms and conditions of the card to understand any restrictions or limitations on rewards transfers.

Q: Are there any restrictions on how I can use my cashback rewards?

A: Generally, there are no restrictions on how you can use your cashback rewards earned from a cashback credit card in Canada. Rewards can typically be redeemed for statement credits, cash deposits, or used to purchase merchandise or travel. However, some cards may have minimum redemption thresholds or limitations on how rewards can be redeemed.

Q: Can I earn cashback rewards on balance transfers or cash advances?

A: Generally, cashback rewards are not earned on balance transfers or cash advances. These types of transactions typically have higher interest rates and fees, and carrying a balance on these types of transactions can offset any rewards earned.

Q: How do I apply for a cashback credit card in Canada?

A: To apply for a cashback credit card in Canada, you can typically apply online through the credit card issuer’s website, or by calling the issuer’s customer service line. You will need to provide personal and financial information as part of the application process. It’s important to review the terms and conditions of the card and understand any fees, rewards, or benefits associated with the card before applying.

Q: How long does it take to receive a cashback credit card in Canada after applying?

A: The time it takes to receive a cashback credit card in Canada after applying can vary depending on the issuer and the application process. Some credit card issuers may provide an instant decision on the application, while others may take several days or weeks to process and approve the application. Once approved, the card may take several days to a few weeks to arrive in the mail.

Q: Do cashback credit cards in Canada offer other benefits besides cashback rewards?

A: Yes, many cashback credit cards in Canada offer additional benefits such as travel insurance, extended warranties, purchase protection, and more. It’s important to review the benefits of the card and understand any limitations or restrictions on these benefits.

Q: Can I have more than one cashback credit card in Canada?

A: Yes, you can have more than one cashback credit card in Canada. However, it’s important to use each card responsibly and understand the rewards and fees associated with each card. Carrying multiple credit cards can also make it more difficult to track your spending and manage your finances.

Q: Will my credit score be affected if I apply for a cashback credit card in Canada?

A: Yes, applying for a cashback credit card in Canada will typically result in a hard inquiry on your credit report, which can temporarily lower your credit score. However, if you use the credit card responsibly and pay off your balance in full each month, it can also help improve your credit score over time.

Q: Can I cancel my cashback credit card in Canada at any time?

A: Yes, you can typically cancel your cashback credit card in Canada at any time. However, it’s important to review the terms and conditions of the card and understand any fees or penalties associated with cancelling the card. Cancelling a credit card can also affect your credit score, so it’s important to consider the impact before making a decision.

Q: How do I track my cashback rewards earned from a cashback credit card in Canada?

A: Many cashback credit cards in Canada offer online account access where you can track your cashback rewards earned, as well as any other transactions and balances. Some cards may also offer mobile apps or other tools to help you track your spending and rewards.

Q: What should I do if I have a problem with my cashback credit card in Canada?

A: If you have a problem with your cashback credit card in Canada, such as an unauthorized charge or billing error, you should contact the credit card issuer’s customer service department as soon as possible to address the issue. It’s important to keep records of any communication and follow up as needed to ensure the issue is resolved.