Best Cash Back Credit Cards with no annual fee in Canada

Hate paying Annual Fees for Credit Cards?

Interestingly, you’re not alone. We all hate to pay annual fees for a service we could avail for no cost. In fact, we do our best to avoid paying even a single dollar as credit card fee whenever possible. But in some instances, a credit card with low annual fees may not be that bad.

Some of you might ask what’s so good about paying extra. That’s a valid question ... but you should think about it this way. All popular cash back credit cards in Canada have some sort of annual fee. The real moment of joy, however, comes when you decide to do the math. That’s right. When you break down the money you pay an annual fee or other credit card charges, you will find that the fee gets refunded back to you thanks to cash-back rewards.

If you’re still not convinced and want to avoid paying credit card fee, there’s nothing to worry about. This post has been put together to help you discover the best Canadian cash-back credit cards that have no annual fee. That’s right. Exciting cash back credit cards that charge you nothing.

Tangerine Money-Back Credit Card

This credit card is an absolute steal. There’s no annual fee and you can spend your money the smart way. Simply put, every purchase you make earns cash back rewards that you can enjoy however there’s a slight twist.

This credit card allows you to decide whether you want the cash back to be deposited in your credit card balance or into a savings account. Isn’t this exciting? Yes, you have the power to choose spending categories for the bonus you earn with Tangerine money back credit card, unlike other options where you forced to use your cash-back as standard gas or groceries.

Tangerine Money-Back Credit Card

19.95%
No Annual Fee
3% Balance Transfer & Earn 2% Money-Back Rewards on purchases
Get a $25 gift card from CompareMyRates.ca upon approval

When you apply for the credit card, you have the chance to choose up to three categories. Don’t worry, these bonus categories aren’t fixed and can be changed using the credit card’s online interface once every 3 months. You get 2% bonus cash on the categories you choose. Cash-back on other purchases is 1%.

SimplyCash - American Express

As the name suggests, you get 1.25% flat cash back on all purchases without any limits or questions asked. Yes, this no-fee cash back Amex card perhaps offers the highest earning rate and the good news doesn’t end here.

 

SimplyCash Card from American Express

19.99%
No Annual Fee
5% Cashback & 1.99% Balance Transfer for first 6 months
Get a $35 gift card from CompareMyRates.ca upon approval

SimplyCash also helps you earn 5% bonus on gas and grocery purchases for the first 6 months. The maximum bonus you can earn is $250. Like other Amex cardholders, SimplyCash allows you free access to Front of the Line and get event and concert tickets. When you apply for SimplyCash, you also get 1.99% interest rate for the first 6 months on balance transfers.

MBNA Rewards MasterCard

The MBNA Rewards MasterCard offers 1% cash back on spending but there’s something else you should know. The card has no limits on the amount of cashback you can earn. Plus, you get more insurance coverage for free, unlike other no-fee credit cards. The cash-back you earn can be redeemed anytime, any way you want.

MBNA Rewards MasterCard®

19.99%
No Annual Fee
5,000 bonus MBNA Rewards points
Get a $50 gift card from CompareMyRates.ca upon approval

If you’re looking for a really simple and flexible cash-back credit card, this would be the right choice for you. This MBNA credit card also offers 90 days purchase protection, travel accident insurance, 12 months extended the warranty, and car rental theft protection.

 

Blue Sky® Credit Card from American Express

This credit card helps you earn 1.25 point for every dollar you spend. If you charge $500 on your card as purchases during the first 3 months, you can get a signup bonus of 10,000 Blue Sky® Points. The good thing about this credit card is that there are no travel restrictions. Yes, you have read it right. There are no advance purchase requirements, seat limitation or travel restrictions.

American Express – Blue Sky® Credit Card

19.99%
No Annual Fee
10,000 Blue Sky Points

You can always earn additional Blue Sky points by referring your friends. Each successful referral approval gives you the chance to earn 5,000 Blue Sky Points.

Scotiabank SCENE Visa Card

If you love to watch movies, this is the no-fee credit card you should own. $500 worth of purchases in the first three months can help you earn 2,000 bonus SCENE points which are equivalent to 2 free movie tickets.

You earn 1 SCENE point for $1 spent. Similarly, every $1 spent at Cineplex theaters helps you earn 5 SCENE points.

Scotiabank SCENE® VISA* card

19.99%
No Annual Fee
2,000 Bonus SCENE Points†
Get a $50 gift card from CompareMyRates.ca upon approval

You will definitely enjoy being a SCENE member. SCENE points can be redeemed at SportCheck (shopping for sports gear), participating restaurants and AVIS car rentals. As a Scotiabank card holder, you have added protection against emergency situations and unpredictable life events.

Conclusion

You can see that there are no one-size fits all card, however, you can have a closer look at some of the best options mentioned above to see what works for your financial goals and situation.

Here’s some friendly advice. When you are shopping for no-fee cash back credit card for the first time, make sure you get a second no-fee cashback credit card as a backup. Remember, the second credit card might cost nothing but you do have a backup if your primary card gets frozen, stolen or misplaced.

Secondly, you should always use your credit cards carefully. Simply put, even if you are paying nothing to the bank, doesn’t mean you use the credit card carelessly. Space out your purchases and take note of your spending habits. Of course, a free movie or travel ticket along with other bonuses is exciting, but make sure your spending doesn’t get off track. After all, the last thing you want to happen is to end up in credit card debt and fail to identify a way to get out of it.