What Is the Best Cash Back Credit Card in Canada? 2024’s Picks

With inflation on the forefront of everyone’s mind, who wouldn’t want cashback on everyday purchases? Well, 78% of Canadians have opted for rewards credit cards, which means many are regularly reaping the benefits, even in these trying times!

But instead of picking up the first rewards card off the shelf, look through this extensive list and find the best cash back credit card in Canada!

Ready? Let’s jump right in!

What’s the Best Cash Back Credit Card in Canada? A Preview

* Annual fee waived for the first year.

Advertiser Disclosure: This page may contain links to our partners’ products and services, which allows us to keep our website sustainable. This means that reviewlution.ca may receive a compensation when you sign up and / or purchase a product or a service using our links. However, all opinions expressed in this article are solely ours, and this content is in no way provided or influenced by any of our partners.

Finding the Best Cash Back Credit Card in Canada

Although all cashback credit cards have something unique to offer, we’ve ranked them based on features most customers take into account:

• APR
• Fees
• Offers
• Cashback
• Insurance

Let’s have a look!

1. Tangerine Money-Back Credit Card – Best Overall 

As the best cash back credit card in Canada, the Tangerine Money-Back credit card provides exclusive features and makes it easy for customers to save and spend. This card has an appealing welcome offer of an extra 10% cash back on up to $1,000 for the first 2 months, standard interest rates, unlimited money-back, and no annual fee. 

Just like the Tangerine World credit card, this card provides 10 categories, from which customers can choose 2 primary options. Consequently, the primary categories will earn 2% cashback, while the rest will earn 0.5%. Moreover, users can track and categorize their spending and earn rewards automatically.

Tangerine cash back Mastercards are accepted worldwide at over 24 million locations, which is no surprise considering the cards’ popularity. Any Tangerine cardholder also gets purchase assurance and an extended warranty for newly purchased items, along with a Mastercard Zero Liability policy. 

Pros:

Cons:

2. NBC mycredit Mastercard – Best for Extended Warranty

Yet another card in the NBC line-up, the mycredit Mastercard is jam-packed with cashback benefits:

• 1% cashback for each dollar spent at eligible restaurants and recurring pre-authorized payments
• 0.5% cashback on other eligible purchases made during a billing cycle

Aside from the moneyback perks, your mycredit Mastercard comes with:

• Mobile protection – Theft and damage insurance for up to two years after buying your mobile device.
• Contactless payments – Thanks to the Tap & Go® technology, you can simply tap your card on the reader to make a purchase easily.
• Purchase protection – Theft and damage protection for new purchases for up to 90 days from the date of purchase.
• Extended warranty – Receive up to double the manufacturer’s warranty for the majority of products purchased with your mycredit Mastercard.
• Fraud protection – Mastercard’s Zero Liability policy makes sure you won’t be held responsible for unauthorized payments with your credit card.
• Mastercard® ID CheckTM – This service verifies your identity before you make online purchases to protect you for fraud. 

The best part is, cardholders get all of these sweet features at no annual fee. So, sign up for the mycredit Mastercard today and start reaping the benefits!

Pros:

Cons:

3. Scotiabank Gold American Express Card – Best Welcome Offer

The Scotiabank Gold AmEx card is our second pick for the best credit card for cash back in Canada, and there are many reasons why! Namely, the card gives 5 Scene+ points for every $1 spent on eligible groceries, dining, and entertainment purchases, 3 Scene+ points for every $1 on gas, daily transit, and streaming services, and 1 Scene+ point on all else.

This generous credit card has an enticing welcome offer of up to 40,000 bonus Scene+ points for the first year (which is valued at up to $400) and a waived annual fee. Moreover, the Scotiabank AmEx card has no foreign transaction fees, which can’t be said for the rest of the cards here.

Apart from its reasonable interest rates, AmEx offers complimentary concierge services,  airport lounge access, and 8 types of insurance coverage, including travel and rental car insurance, hotel burglary insurance, along with purchase security and extended warranty protection. It really has it all!

Pros:

Cons:

4. TD Cashback Visa Infinite Card – Best Gas Cashback Card 

The TD visa infinite cash back card is jam-packed with appealing features, from the 24/7 concierge service to the 3% cashback on grocery and gas purchases. Additionally, the card offers 1% cashback on all other purchases, a waived first-year fee, and a welcome bonus of 10% cashback on all purchases for the first three months.

As with all Visa Infinite cards, TD cardholders can access the exclusive Visa Infinite Luxury Hotel Collection and participate in Visa Infinite Food and Wine Experiences. Plus, the card provides travel medical insurance, lost baggage protection, emergency travel assistance services, and auto rental collision/loss damage insurance. 

And if that’s not enough, customers also gain a free Deluxe TD Auto Club Membership and the opportunity to save money when renting at Avis or Budget Rent A Car. Additionally, coffee fanatics can earn 50% more Stars at participating Starbucks stores, thus getting both rewarded and caffeinated.

Pros:

Cons:

5. Neo Card™ by Neo Financial – Best No-Fee Cashback Card 

As the best no-fee cashback credit card in Canada, the Neo Card™ doesn’t hold back on perks. Namely, the card provides instant, unlimited cashback with up to 15% cashback on first-time purchases and an average 5% cashback at 10,000+ partners.

But the Neo Card isn’t just your ordinary card. On the contrary, with the mobile app, users can freeze and unfreeze their card if it gets lost or stolen, track their spending, make use of a virtual card, and boost cashback rates on all purchases by stacking flexible perk subscriptions to their card. Additionally, Neo is part of a Rewards Network of over 10,000+ Merchant Partners in every category.

To solidify its status as one of the top cashback cards in Canada, Neo Financial allows its users to bundle their Neo Card™ with special perks at a monthly fee. You can choose to combine your card with the following perks:

• Travel perks – $4.99 per month, Valued at over $360 each year
• Everyday Essentials perks – $8.99 per month, Valued at over $170 each year
• Premium access perks – $0.99 per month, Valued at over $100 each year
• Mind and Body perks – $9.99 per month, Valued at over $430 each year
• Food and Drink perks – $1.99 per month, Valued at over $70 each year
• Mobile and Personal Protection perks – $9.99 per month, Valued at over $420 each year

Moreover, this cashback Mastercard offers zero liability protection, multiple-layer payment security, and instant notifications with regular updates, all for no annual or monthly fees. And as with everything else, the application process is fast and easy, while the eligibility requirements are on par with the industry.   

Pros:

Cons:

6. Desjardins Cashback World Elite Mastercard – Best for Cashback on Groceries 

The Desjardins World Elite Mastercard is our pick for the best credit card for cash back on groceries because it offers a 4% cash back on grocery store purchases, which is the most out of all cards on this list. What’s more, it also provides 3% cash back on restaurants, entertainment, and public transportation and 1% on all other purchases. Not bad, eh?

Regarding travel, this Mastercard comes equipped with travel insurance, access to over 1,300 airport lounges, cashback from the Mastercard Travel Rewards program, and free access to the official Mastercard Boingo Wi-Fi. For car rentals, it offers up to 25% off at Hertz, Thrifty, and Dollar, along with auto rental collision/loss damage insurance. 

Finally, it also provides a 21-day grace period for paying bills without credit charges, mobile device insurance, fraud and identity protection, purchase protection, and extended warranties of up to 2 additional years. 

Pros:

Cons:

7. RBC Cashback Preferred World Mastercard – Best Flat-Rate Cashback Card 

With an annual fee of just $99, the RBC Cash Back Preferred World Elite Mastercard offers premium benefits and unlimited cashback on spending, for a flat rate of 1.5% on all purchases, both big and small. 

Moreover, this card allows cardholders to instantly save 3¢/L on fuel, earn 20% more Petro-Points at Petro-Canada, get 50 Be Well points for every $1 spent on products at Rexall, get free delivery for a year from Door Dash, and enjoy a 12-month complimentary DashPass subscription.

But the fun doesn’t stop there! In fact, this RBC card offers prestigious benefits from add-on services, such as travel insurance, road assistance, balance protection, and identity theft and credit protection. If this sounds appealing, the application process is straightforward, secure, and over in less than 60 seconds. What more could you want?

Pros:

Cons:

8. MBNA Rewards World Elite Mastercard – Best for Cashback on Dining 

Next on the list is the coveted MBNA Rewards Mastercard, which welcomes new cardholders with up to 20,000 bonus MBNA Rewards Points for gift cards or cashback. This generous bonus is coupled with an earn rate of 5 points for every $1 spent on eligible restaurants, memberships, grocery stores, household utility purchases, and digital media. 

For other eligible purchases, customers will get 1 point for every $1 spent and will receive Birthday Bonus Points equal to 10% of all the points accrued in the last 12 months. Moreover, the reward points never expire, and users can redeem them for merchandise, charitable donations, travel, retail, or cash back. 

In addition, this card offers emergency services, trip and legal assistance, collision damage waiver benefits, and concierge services. Luckily, this Mastercard also provides insurance for travel, lost or delayed baggage, delayed flights, and mobile devices. 

Pros:

Cons:

9. Meridian Visa Infinite Cash Back Card– Best for Cashback on Pharmacy Purchases 

For those on the hunt for a credit card that offers cashback on pharmacy purchases – meet the Meridian Visa Infinite. This card enables cardholders to earn 4% cash back on gas and grocery purchases, 2% on pharmacy purchases, 1% on all other eligible purchases, and have the annual fee waived for the first year.  

The Meridian credit card allows customers to redeem cashback rewards in the form of account credit, merchandise, event tickets, or gift cards. And since this is a Visa Infinite card, it comes equipped with additional rewards, like the Visa Infinite Dining Series and the concierge service. 

For peace of mind, by using this Visa, customers get a full suite of insurance, including emergency health care coverage, trip cancellation and interruption insurance, lost or delayed baggage insurance, auto rental collision/loss insurance, mobile device insurance, purchase protection, intergenerational coverage, price protection services, and extended warranty. 

Pros:

Cons:

10. Allure Mastercard from National Bank – Best Lifestyle Cashback

How many people can say they’re contributing to an important cause by using a credit card? Well, Allure Mastercard users can because the card allows customers to support the Quebec Breast Cancer Foundation while also earning cashback rewards and discounts of 10% for online and in-store purchases and gift cards. 

This cash back credit card has enabled the National Bank to donate over $6 million to the aforementioned Foundation, which means that cardholders directly contribute to improving the lives of countless women by donating 1% of their purchases. Consequently, customers accumulate points and receive a 10% discount for every 1,000 points.  

What’s more, the card offers hassle-free contactless payments, zero liability for unauthorized transactions, Mastercard ID Check security, purchase protection, and extended warranties of up to 2 times the original. Helping and earning simultaneously? Sign us up!

Pros:

Cons:

11. BMO Cashback Mastercard – Best for Cashback on Recurring Bill Payments

The BMO Cashback card provides cardholders with 3% cash back on grocery purchases, 1% cash back on recurring bill payments like streaming service subscriptions, and 0.5% cash back on all other purchases with rewards that never expire. With $0 annual fees and low-interest rates, users can redeem rewards whenever and enjoy great flexibility.

Furthermore, customers will be able to save up to 25% off rentals at National Car Rental and Alamo Rent-A-Car locations, 15% off admission to Cirque du Soleil shows in Canada, and 20% off Las Vegas resident shows. Plus, users can earn even more cash back by adding another cardholder (for free). 

BMO Cashback Mastercard takes security seriously by introducing a zero liability policy, a Mastercard ID Check, and alerts to confirm transactions. For a full review of this card, check out this article!   

Pros:

Cons:

Buyer’s Guide

Now that you’ve read all about some of the best cash back credit cards in Canada, you’ll need to brush up on your general knowledge about cashback before settling on a card. Remember, credit cards are not one-size-fits-all, so what works for your friend won’t necessarily work for you.  

What is Cash Back on a Credit Card?

Cashback is a credit card perk and a type of rebate you receive on your monthly credit card statement. Therefore, this means that for every purchase you make, you get a small percentage of that amount credited back to your account.

For example, if your credit card offers a cashback rate of 2% and you spend $100 at the grocery store, you would get $2 back in cash from your purchases. 

Types of Cashback

Interestingly enough, there are three main types of cashback credit cards in Canada:

• Flat-rate cashback credit cards give you the same cashback, regardless of spending. Here, all categories have identical cashback rates. 
• Tiered-rate cashback credit cards have a different rate which depends on the cardholder’s annual spending. Therefore, a card might offer 1% cashback if the annual spending is below a certain amount and 2% if it’s over that amount. 
• Different-rate cashback credit cards have different rates depending on the category of spending. Usually, grocery store purchases and dining have the highest cashback rates of up to 4%, while other categories like gas and pharmacy purchases have lower ones of around 0.5% or 1%. 

Whichever one you choose will mostly depend on your spending habits, lifestyle, and how much cashback you prefer.

Common Cashback Categories in Canada

There are also numerous common cashback categories that you’ll see across different cards. Some of these include:

• Groceries
• Dining 
• Travel 
• Gas
• Transport 
• Entertainment
• Recurring bills
• Pharmacies 
• Streaming services
• Others 

Although most credit cards offer a combination of categories that bring cashback rewards, there are some cards that are geared toward more specific purposes. 

When Is a Good Time to Redeem Your Cashback?

Even though the best cashback credit card will let you redeem your rewards at any time, when you choose to do so will mostly depend on you. However, some might have restrictions, such as minimum balances or set waiting periods. Therefore, it’s always best to check with your card issuer to see when you can start redeeming.

Moreover, some cards also have expiration dates on their rewards, so if you don’t redeem your cashback in time, you could lose out on everything you’ve earned. To avoid this, ensure you keep track of when your rewards are set to expire and redeem them before then.

All in all, it’s always advisable to redeem your rewards sooner rather than later. That way, you can be sure your money doesn’t fall victim to inflation or expiration. Plus, why wouldn’t you want to claim your rewards sooner? 

How to Choose a Good Cashback Card?

So you’re ready to get some extra cash with a top-notch Canadian rewards card, but you’re not sure where to start. Arguably, the most difficult decision you’ll make is choosing your preferred cashback card. 

What’s a good deal? Is this card a rip-off? 

To answer these questions, here’s what you need to look for when picking a card:

• APR is the Annual Percentage Rate – the yearly interest rate a credit card charges on your balance. You should aim for lower APRs so you won’t break the bank with interest fees. However, remember that a low APR is generally permissible for cardholders with good credit and clean payment histories. 
• Annual fee is the amount of money you’ll pay for credit card upkeep. There are credit cards with no annual fees, but there are also those with fees in the hundreds. Usually, cards with higher annual fees come with more diverse rewards, while those with no fees are more limited. However, that’s not always the case.
• Welcome offer is a bonus for new cardholders for a limited amount of time. Typically, welcome offers are higher cashback rates, a cash reward, or a 0% APR. This bonus is usually applicable for the first 3 or 6 months.
• Bonus categories are categories that earn you more cashback. Therefore, if you spend a lot on travel, getting a card that offers more cashback for a frequent flyer or bonus points for travel expenses would be beneficial. 
• Insurance is a type of protection some cashback credit cards offer. Customarily, this includes things like payment protection, balance protection, rental car insurance, etc. 
• Additional benefits are extra perks that come with a credit card. This includes things like:
  • Travel insurance
  • Roadside assistance
  • Mobile device insurance
  • Concierge services
  • Product warranties
  • Purchase protection
  • Airport lounge access
  • Exclusive rewards

Although this might seem overwhelming, by reflecting on what you value most and taking your spending habits into consideration, you will quickly decide which cash back credit card fits your lifestyle best.

Wrapping Up

Now that you’ve learned all there is to know about how to pick the best cash back credit card in Canada and have uncovered some of our favourites, the time is nigh to put that knowledge to good use.  

But before making a decision, do your homework or talk to a certified financial advisor about what would work best for you based on your lifestyle. After all, there are different strokes for different folks!