Food prices have risen to historic highs in 2022 and are expected to continue climbing into 2023. The average Canadian household could spend up to $700 more on their grocery bills, every month
But luckily, some of these added costs on everyday purchases can be made up with one of the best cash back credit card in Canada options.
Cash-back credit cards rebate back a portion of every dollar spent with the card. The actual amount will vary—anywhere from 0.5 percent to up to 4 percent on specific spending categories.
This cash back is then be returned back to you as the consumer in the form of a statement credit. For Scotiabank customers, this occurs every November.
But, there are pros and cons to each choice. Important factors include cash back rates, annual fees, and benefits offered. Depending on your preferences and spending habits, there are various cards that might be the best fit for you
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Read on below for more information on the Best cash back credit card in Canada.
Scotia Momentum® No-Fee Visa Card
For consumers looking at hassle-free credit cards with no annual charge—this may be the best option for you.
The Scotia Momentum® No-Fee Visa Card earns the following rewards:
| Cash Back Amount | Type of Transactions |
|---|
| 1% | Cash Back on gas purchases |
| 1% | Cash Back on groceries purchases |
| 1% | Cash Back on drugstore purchases |
| 1% | Cash Back on recurring bills |
| 0.5% | Cash Back on all other purchases |
To qualify, applicants need a minimum estimated credit score of 650. Personal income must also exceed $12,000, though there is no household income threshold.
Purchase interest rates are 19.99% for the Scotia No-Fee Visa. Cash advance and balance transfer rates both sit at 22.99%. There is, however, a promotional balance transfer rate of 7.99% for six months.
In terms of fees, there are no annual or extra card fees included. The minimum credit limit is $500.
Pros
One of the biggest benefits to the Scotia Momentum® No-Fee Visa Card is just in the name—there is no annual fee. There is also no fee for adding additional authorized users. This means you can rack up bonuses faster without having to pay to issue additional cards.
Another benefit is for frequent road travellers—you can save up to 20% on AVIS car rentals with this card.
Finally, this card is good for users who are continuing to build credit. As it does not carry a particularly high credit score requirement, it might be a good option for users with scores in the mid-600s.
Cons
While there is no annual fee for this card, it’s also important to note there is no welcome bonus either. There is also no insurance coverage included with this card that might be important to some consumers.
Another notable con is the low cash-back rate. Compared to some other options on this list, the Scotia Momentum® No-Fee Visa Card may not be the best option for those looking to maximize rewards.
Scotia Momentum® Mastercard® Card
The Scotia Momentum® Mastercard® is another example of a straightforward cash back card. This card is a similar example to the Scotia Momentum® Visa, but with added Mastercard benefits.
Similarly, the Scotia Momentum® Mastercard® features:
| Cash Back Amount | Type of Transactions |
|---|
| 1% | Cash Back on gas purchases |
| 1% | Cash Back on groceries purchases |
| 1% | Cash Back on drugstore purchases |
| 1% | Cash Back on recurring bills |
| 0.5% | Cash Back on all other purchases |
This card also offers a 19.99% purchase interest rate, with 22.99% for cash advances and balance transfers. But, there is a promotional interest rate of 7.99% on purchases within the first six months.
The minimum income required for this card is just $12,000.
Pros
One of the biggest benefits of this card is its $0 annual fee. It also offers no fee on supplementary cards, to help maximize your benefits.
While its cash back is not the highest in its category, it’s important to note this card does not limit rewards back. This card also has a lower APR as compared to some of the other options, at 19.99%.
This may be a good option for those with lower income, considering the minimum requirement is only $12,000.
For those that find themselves renting cars often, this may also be a good choice. The Scotia Momentum® Mastercard® features a discount of up to 25% at participating AVIS and Budget locations across Canada and the US.
One benefit that sets this card apart from other Scotiabank cards is its Mastercard affiliation. With this, you can rest assured with Mastercard’s Zero Liability Protection. It also boasts worldwide acceptance by millions of merchants in 210 countries.
Cons
While this card has many benefits for those just starting out in their credit, it’s important to consider the downsides as well. Unfortunately, this card does not offer the highest cash back rates as compared to others in its category. For consumers looking to maximize their rewards, this may not be the best option.
Another downside to this card is its lack of insurance coverage that consumers may find with other options. There also is no purchase protection or extended warranty benefits. Depending on your priorities, this may be a deal-breaker.
Scotia Momentum® Visa Card
The Scotia Momentum® Visa Card is a good option for a low-fee cash back credit card in Canada. Some of the best cash back benefits for this card include:
| Cash Back Amount | Type of Transactions |
|---|
| 2% | Cash Back on gas purchases |
| 2% | Cash Back on groceries purchases |
| 2% | Cash Back on drugstore purchases |
| 2% | Cash Back on recurring bills |
| 1% | Cash Back on all other purchases |
Plus, the card offers purchase security and extended warranty benefits. It also provides a discount of up to 25% on participating AVIS and Budget rental car locations.
This card does have a $39 annual fee to take note of. The purchase APR is 19.99%, with 22.99% on cash advances and balance transfers.
Additionally, the card offers a promotional balance transfer rate. With this, consumers only pay a The intro balance transfer fee APR is 0% for the first 6 months. After this period ends, the balance transfer APR goes up to the full 22.99%.
Pros
One of the most notable benefits of this card is its balance transfer rate. For the first six months, consumers can pay just 0% APR on their transfer.
There is also no balance transfer fee. For customers looking to offload high-interest debt, this may be a good option.
Another notable benefit is its low annual fee. This is significantly reduced when compared to other cash back cards. Plus, this card boasts a 2% cash back rate on some of the most common purchases Canadians make every day.
When it comes to purchase security, the Scotia Momentum® Visa Card does stand out against others in its category. It protects items purchased with the card against loss, theft, and damage for up to 90 days after purchase. This insurance covers up to $10,000 in repair or replacement costs.
Plus, this card offers extended warranty benefits. The Scotia Momentum® Visa Card will double a manufacturer’s warranty for up to one additional year.
There is a maximum claim per occurrence limit of $10,000. There is also a maximum lifetime claim of $60,000—applying to both the purchase security and extended warranty benefits.
Cons
Though it is smaller than others in the same category, this card still carries an annual fee. For some consumers, that is an added expense that can be a deal-breaker when comparing credit cards.
Furthermore, it’s important to consider this card does have limits on total benefits. Cardholders earn 2% cash back on eligible purchases within the gas, grocery, pharmacy, and recurring bill categories.
But these purchases are capped at $25,000 per year. Once you reach this threshold, you will only receive 1% cash back.
Scotia Momentum® Visa Infinite Card
The Scotia Momentum® Visa Infinite Card is great for high-value cash back on household spending categories. This card regularly ranks high on lists of the best cash back credit cards in Canada.
This card features:
| Cash Back Amount | Type of Transactions |
|---|
| 4% | Cash Back on groceries purchases |
| 2% | Cash Back on gas, public transit, taxis, and ride-sharing programs |
| 0.5% | Cash Back on other categories |
The average point value for this card is $1. The minimum credit limit for the Scotia Momentum® Visa Infinite Card is $5,000.
The purchase interest rate is 20.99%, with a 22.99% cash advance interest rate and a 22.99% balance transfer interest rate.
To obtain this card, there is a minimum income requirement of $60,000 per year. For household income, the minimum is $100,000 per year. The recommended minimum credit score is 660.
Pros
This card is best used for groceries and bills. After your first three months, users can get 4% back on eligible recurring bill payments as well as purchases at grocery stores.
Plus, it features 2% back on eligible purchases for gas, public transit, taxis, and ride-sharing apps. All other eligible everyday purchases get 1% back.
Though it is not considered a travel card, there are still trip interruption insurance and other benefits to those who enjoy taking an occasional vacation. This includes:
- Baggage delay or loss insurance
- Travel accident insurance
- Travel emergency medical insurance
- Purchase assurance
- Car rental insurance
- Extended warranty
Plus, this card features mobile device insurance.
It also includes Visa Infinite benefits built-in. These include:
- Complimentary 24/7 concierge services
- Visa Infinite Dining and Music Series
- Wine Country Wonders
- Luxury hotel privileges
Additionally, there is a notable welcome offer. New cardholders can earn 10% cash back on all purchases during their first three months (up to $2,000). There is also a welcome offer of $350, in addition to the annual fee waived for year one.
Cons
One notable downside to this card is its annual fee. To maintain status with the Scotia Momentum® Visa Infinite Card, consumers must pay a $120 fee every year. But, the annual fee is waived for the first year.
Another cost to consider is for adding authorized users to your account. With this card, it will cost $50 per year. While this card does offer notable cash back benefits, it comes at a cost that is important to take into consideration.
Comparing Options for the Best Cash Back Credit Card in Canada
Despite the effects of the COVID-19 pandemic, Canadians are saving more money than ever. These savings can be further multiplied by taking advantage of cash back credit cards with key benefits.
But when shopping for a cash back credit card, it’s important to carefully weigh your options. Consider the pros and cons of each option, weighing it against your lifestyle and what cash back categories matter most to you.
For those simply looking for one of the best cash back credit card in Canada options, consider the Scotia Momentum® no-fee Visa. This card offers a hassle-free cash back program with no annual charge. It's a simple way to build up cash back when purchasing the items you already know and love.
With its low income requirement and no annual fee, the Scotia Momentum® Mastercard® Card may be a good option for students or entry-level credit cards.
While it does have an annual fee, the Scotia Momentum® Visa Card offers great cash back benefits. Plus, it has an attractive introductory balance transfer rate of 2.99%. This makes this card a good potential choice for consumers looking to offload high-interest debt.
But for consumers looking to truly maximize cash back benefits within the class of Scotiabank cards, the Scotia Momentum® Visa Infinite is one of the best choices. It offers the highest cash back of all the above choices. However, this does come at a cost—this card has a steep annual fee to consider.
Turning to the Experts
Using cash back cards is a great way to rebate money. Plus, it can help build credit while providing excellent benefits for the shopping you already do every day.
There are many options for the best cash back credit card in Canada. But, these cards all carry their own considerations that appeal to specific types of consumers.
It’s imperative that you research each option, and select the cash back card that will provide the best benefits for your priorities. Luckily, Insurdinary is here to help with expert advice on all things credit.
Check out Insurdinary today for more information or to get quotes on the best cash back offers in Canada!
