English (Canada) 
English (Canada) 
Français du Canada Menu
Cashback credit cards are a popular choice for Canadian consumers who want to earn rewards for their everyday spending. With so many options on the market, it can be difficult to know which card is right for you. In this article, we will explore the world of cashback credit cards in Canada, including how they work, what to look for when choosing a card, and some of the best options currently available.
Cashback credit cards work by rewarding you with a percentage of your spending as cashback. For example, if you have a card that offers 1% cashback and you spend $1,000 in a month, you would earn $10 in cashback. The amount of cashback you earn can vary depending on the card and the spending category. Some cards offer a higher cashback rate for specific categories such as groceries, gas, or travel.
There are three main types of cashback credit cards: flat-rate cashback cards, tiered cashback cards, and bonus category cashback cards.
Flat-rate cashback cards offer a consistent cashback rate on all purchases. For example, a card may offer 1% cashback on all purchases, regardless of the category.
Tiered cashback cards offer different cashback rates depending on the spending category. For example, a card may offer 3% cashback on groceries, 2% on gas, and 1% on all other purchases.
Bonus category cashback cards offer a higher cashback rate for specific spending categories. For example, a card may offer 5% cashback on groceries, 3% on gas, and 1% on all other purchases.
When choosing a cashback credit card, there are several factors to consider:
Many cashback credit cards charge an annual fee. It’s important to weigh the cost of the fee against the potential cashback rewards to determine if the card is worth it.
The cashback rate is the percentage of your spending that you will receive as cashback. Cards with higher cashback rates can offer more value, but may also have higher annual fees.
If you frequently spend money in specific categories such as groceries, gas, or travel, it may be worth choosing a card that offers a higher cashback rate for those categories.
Many cashback credit cards offer a sign-up bonus, which can be a great way to earn additional rewards. However, be sure to read the fine print to ensure that you meet the spending requirements to qualify for the sign-up bonus.
Some cashback credit cards offer additional benefits such as travel insurance, extended warranty coverage, or concierge services. Consider these benefits when choosing a card to determine if they are worth the additional cost.
Here are some of the best cashback credit cards currently available in Canada:
The Tangerine Money-Back Credit Card offers 2% cashback in up to three spending categories of your choice and 0.5% cashback on all other purchases. There is no annual fee and no limit on the amount of cashback you can earn.
The Scotia Momentum Visa Infinite offers 4% cashback on groceries and recurring bills, 2% on gas and daily transit, and 1% on all other purchases. There is a $120 annual fee, but the card also offers travel insurance and concierge services.
The SimplyCash Preferred Card from American Express offers 2% cashback on all purchases with no limit on the amount of cashback you can earn. There is a $99 annual fee, but the card also offers travel insurance and extended warranty coverage.
The BMO CashBack World Elite Mastercard offers 1.5% cashback on all purchases with no limit on the amount of cashback you can earn. There is a $120 annual fee, but the card also offers travel insurance and concierge services.
The MBNA Rewards World Elite Mastercard offers 2% cashback on all purchases with no limit on the amount of cashback you can earn. There is a $120 annual fee, but the card also offers travel insurance and concierge services.
Here are some tips for maximizing the cashback rewards on your credit card:
Cashback credit cards can be a great way to earn rewards for your everyday spending. When choosing a card, consider the cashback rate, annual fee, bonus categories, and additional benefits. Some of the best cashback credit cards in Canada include the Tangerine Money-Back Credit Card, Scotia Momentum Visa Infinite, SimplyCash Preferred Card from American Express, BMO CashBack World Elite Mastercard, and MBNA Rewards World Elite Mastercard. By following some simple tips, you can maximize the cashback rewards on your credit card and earn even more rewards.
Our 60 second application will allow you to connect to all our lenders in our network!
We have over 30+ lenders in our network. With a large selection you will be able to see more offers!
Our lenders have the fastest turnaround time in the business.
Sign up here to get your weekly tips on how to build credit!
Loanspot.ca can introduce you to a number of finance providers based on your credit rating. Loanspot.ca services all of Canada.
Our lenders specialize in mortgages, personal loans, automotive loans and home & life insurance.