5 Best Cash-Back Credit Cards in Canada with Low Interest
Credit cards offer unparalleled convenience, serving as a lifeline for everything from everyday transactions like buying a cup of coffee to unforeseen emergencies like car repairs.
While consumers have access to various types and terms of credit cards, cash back credit cards present distinct advantages. These cards allow you to earn a percentage of your monthly purchases back as a cash reward. Opting for a cash back credit card with low interest rates maximizes the benefits of credit card usage.
In Canada, the market is saturated with numerous cash back cards, making it challenging to choose just one. To streamline the selection process, here are five cash back cards with low interest rates that are sure to earn a coveted spot in your wallet.
1. BMO CashBack World Elite Mastercard
Annual Fees: $120, $50 for additional cardholders
Cash Back Rewards: Five percent on groceries, four percent on transit, three percent on gas, two percent on recurring bills, and one percent on all other purchases
Welcome Bonus: 10 percent cash back during your first three months and no annual fee for the first year
The BMO Cash Back World Elite Mastercard stands out as the sole card in Canada offering consumers five percent cash back on grocery store purchases. Furthermore, you can redeem your cash rewards at any time for as little as $1. To be eligible for this card, individuals must have an annual income of at least $80,000 or a combined household income of $150,000.
An exceptional aspect of this credit card is its one percent rewards rate for all other purchases, combined with an unlimited rewards threshold. Additional perks include:
- Roadside assistance
- Travel and medical protection
- Complimentary Wi-Fi access via Boingo
- Discounts on car rentals with National and Alamo
2. MBNA Rewards World Elite Mastercard
Annual Fees: $120, $50 for additional cardholders
Cash Back Rewards: Points-based system. Earn five points for every $1 spent on grocery, digital media, household, restaurant, and membership purchases up to $50,000 annually in each category. Earn one point per $1 on all other eligible purchases
Bonus Rewards: Primary cardholders earn Birthday Bonus Points each year equal to 10 percent of total account points earned in the previous 12 months, up to 15,000 points annually
The MBNA Rewards World Elite Mastercard is an ideal cash back credit card tailored for travelers. With a personal income of $80,000+ per year or a $150,000 annual household income, cardholders gain access to a plethora of rewards and features. Flexible rewards points can be redeemed for cash, gift cards, travel, or charitable donations.
Given the current uncertainties surrounding global travel, this card offers invaluable peace-of-mind with insurance coverage for travel medical expenses, delayed and lost baggage, as well as delayed flights and trips. Additional benefits include:
- Trip assistance
- Emergency cash transfer
- Lost document and ticket replacement
- 24/7 concierge services
3. Scotia Momentum Visa Infinite Card
Annual Fees: $120, $50 for additional cardholders
Cash Back Rewards: Four percent on groceries and recurring bills, two percent on transit and fuel, and one percent on all other purchases
Welcome Bonus: 10 percent cash back during your first three months and no annual fee for the first year for primary and supplementary cardholders
The Scotia Momentum Visa Infinite Card, recognized as the best overall cash back credit card for 2022 by MoneySense, is an excellent choice for everyday spending or those new to credit. With a minimum individual income of $60,000 or a household income of $100,000, cardholders can earn cash back on a variety of expenses including groceries, subscription services, travel, and fuel purchases.
This card offers added benefits such as purchase security and extended warranty protection, providing coverage against theft, loss, or damage for up to 90 days after purchase. Additionally, manufacturers’ warranties are extended by an additional year.
4. Brim World Elite Mastercard
Annual Fees: $199, $0 introductory offer, $50 for additional cardholders
Cash Back Reward: Points-based system. Earn two percent of purchases back in redeemable points
Welcome Bonus: Annual fee waived in the first year. Earn $500 or more in first-time offers
Designed with business class travelers in mind, the Brim World Elite Mastercard offers exceptional benefits for frequent travelers, whether for business or leisure. Some of the key member benefits include:
- Zero percent foreign transaction fees
- Complimentary global Wi-Fi access
- Flight delay insurance
- Lounge key access
In line with the digital age, Brim allows cardholders to easily upload their card to popular mobile wallets like Apple Pay, Google Pay, and Samsung Pay. With no purchase limit, this cash back card offers the convenience of contactless payment for any type of purchase.
5. SimplyCash Preferred Card from American Express
Annual Fees: $99, $0 for additional cardholders
Cash Back Reward: Earn two percent cash back on all purchases with no rewards limit
Welcome Bonus: Earn 10 percent cash back on eligible purchases in the first four months of membership up to $450 cash back
The SimplyCash Preferred Card from American Express is an excellent choice for Canadian shoppers seeking a low-interest cash back credit card. With no minimum income threshold, cardholders can enjoy earning two percent cash back on all purchases, without any limits on rewards. Additionally, this card offers valuable purchase protection features including online and in-store shopping coverage, extended manufacturers’ warranties, and purchase protection.
Furthermore, cardholders can earn up to $1,500 cash back by referring friends or family members to the SimplyCash card.
In Conclusion
As global prices continue to rise and economic stability becomes more uncertain, having dependable access to funds is crucial. Additionally, earning cash back on your purchases can serve as a smart strategy to mitigate the effects of inflation. Opting for a low-interest cash back credit card offers you exclusive benefits for both your everyday expenses and larger purchases.
