Are you looking for a credit card with no annual fees in Canada? These credit cards offer great benefits to their users without requiring that the users pay an annual fee upfront. Whether you are looking for cash back, travel rewards, insurance perks or more, you can certainly find one card that suits your lifestyle and meets your needs. Here are the best no-fee credit cards in Canada.
Tangerine Money-Back Credit Card
This is my go-to card that I have been using for years.
Why I like this card
- This card allows you to earn 2% cash back on up to 3 spending categories. You have the flexibility to choose your own spending categories that most suit your lifestyle.
- The spending categories include groceries, recurring bill payments, drug stores, entertainment, furniture, gas, hotel-motel, home improvement, parking/public, and restaurants.
- Moreover, you can change your spending categories at regular intervals. For example, if you have a one-time but big furniture expense coming up, you can easily change your spending category to furniture to earn 2% cash-back.
- Note that to earn cashback on 3 categories, you must deposit your cash back in your Tangerine savings account. Otherwise, you will only get 2 categories.
- This card gives you 0.5% cash back on everything else with no monthly limit.
- You can cash out the rewards every month.
- This card has no annual fee. It is also free to add any additional cardholders to your account.
Limitations
Tangerine is a virtual bank, so there are limited physical locations. However, their customer service over the phone is really good. They even gave me $5 once because I was held on the call for too long.
Eligibility requirements
- Gross annual income of $12,000 or more
- The age of majority in your province or territory
- A permanent resident of Canada
- Clear of bankruptcies over the past 7 years
I have written a detailed review of this card. To learn more, feel free to check out my Tangerine Money-Back Credit Card Review!
Welcome bonus
How to apply
Apply for the Tangerine Money-Back Credit Card today!
Tangerine World Mastercard
I have recently upgraded from the Tangerine Money-Back Credit Card to Tangerine World Mastercard. My experience has been very positive so far.
Why I like this card
- This card is still one with no annual fees
- You can enjoy all the perks that come with the Tangerine Money-Back Credit Card
- As a premium credit card, the World Mastercard offers additional benefits including the following:
- Boingo Wi-Fi for Mastercard®
- Mastercard® Travel Rewards
- On-Demand and Subscription Services
- Rental Car Collision/Loss Damage Insurance
- Mobile Device Insurance
- Mastercard® Travel Pass Provided by DragonPass
Limitations
- Again, Tangerine is a virtual bank, so there are limited physical locations.
- This card doesn’t come with free lounge access. You still have to pay to get access (albeit at a good discount price)
Eligibility requirements
You must meet one of the following Tangerine World Mastercard® criteria:
- Gross annual income of $60,000 or more (note that this is less than the $80,000 threshold that is typically required for a premium Mastercard)
- Gross Household Income of $100,000 or more
- Total balances of $250,000 or more in Tangerine Savings Account(s) and/or Investment Fund Account(s)
You must also be:
- The age of majority in your province or territory
- A permanent resident of Canada
- Clear of bankruptcies over the past 7 years
Welcome bonus
How to apply
Apply for the Tangerine World Mastercard today!
Home Trust Preferred Visa Card
This is another credit card that I have used for years. With 1% cash back on all purchases in Canadian dollars plus no foreign transaction and no annual fee, this card is a perfect secondary card for every day use.
I highly recommend that you get this card in combination with another card, such as the Tangerine Money-Back Credit Card, to maximize your cash back.
Why I like this card
- This card has no annual fees
- This card has no foreign transaction fee, which makes it the perfect card to use when you are traveling abroad.
- It offers 1% cash back on all transactions made in Canadian dollars with no cap.
- This card has a low annual income requirement of $15,000 Canadian dollars.
Limitations
- You can only receive the cashback in January every year.
Eligibility requirements
- You are a permanent Canadian resident
- You have reached the age of majority in your province, and is not currently in bankruptcy
- You will need to make at least $15,000 as annual income
- You cannot be a resident of Quebec
How to Apply
Apply for the Home Trust Preferred Visa Card today!
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Neo Credit Card
Why I like it
- This credit card has no annual fee.
- The cash back rewards are very generous: You can earn an average of 5% cash back with thousands of local and national Neo partners, including major gas stations and grocery stores, restaurants, gyms, cafes and more.
- Neo guarantees at least 0.5% cash back every month (subject to a $50 maximum).
Here is a list of retail partners:
- Canadian Tire
- Sport Chek
- Netflix
- Amazon
- Walmart
- Loblaws
- Metro
- Dollarama
- LCBO
- The Keg
- Lululemon
- Hudson’s Bay
Limitations
The biggest cashback bonuses are for purchases made with Neo’s business partners. If you don’t currently shop at some of the partners, then this card may not provide a lot of benefits for you since you will be limited to 0.50% cashback. If you do already shop with some regularly, however, then this card could be great for you. Alternatively, you can also supplement this card with another card, such as the Tangerine Money-Back Credit Card mentioned above.
Eligibility requirements
You must live in Canada, have a Canadian photo ID and have reached the age of majority in your province to be able to apply for a Neo Credit card. Various credit scores are accepted.
How to apply
You can apply for the Neo credit card here. Neo also offers a secured version of the card. If your credit score is on the low side, or if you want to have a credit card to improve your credit score while earning cash back at the same time, you can apply for the Neo Secured Card here.
Check out my full review of the Neo Credit card here!
Simplii Financial™ Cash Back Visa Card
Why I like it
- This credit card has no annual fee
- The cash back rewards are very generous, subject to an annual limit: You can earn 4% on the first $5,000 spent on restaurants, bars and coffee shops. Additionally, you can earn 1.5% on the first $15,000 in net annual card purchases on gas, grocery and drugstore purchases and pre-authorized payments. You can earn 0.5% on all other purchases.
Limitations
There is a spending limit on the bonus cash back. Once you exceed it, you can only earn 0.5%. However, if you aren’t a big spender, then this card could be great for you. Alternatively, you can also supplement this card with another card, such as the Tangerine Money-Back Credit Card mentioned above.
Eligibility requirements
You must have a minimum annual household income of $15,000.
Welcome bonus
For your first 3 months, you can enjoy 20% cash back on eligible gas, groceries, drugstore purchases and pre-authorized payments. Up to $500 spend. This is $100 free cash!
How to apply
Apply for the no-fee Simplii Financial™ Cash Back Visa Card today and earn $50 extra cash! Note that to qualify, you must spend $100 on your Cash Back Visa Card within six months after opening the account.
TD Cash Back Visa* Card
Why I like it
- There is no income requirement on this Canadian credit card with no annual fees.
- TD is one of the five major banks with branches available across Canada. If you like face-to-face interactions, you may want to stay with a major Canadian banking institution.
- You can earn 1% in cash back dollars on grocery, gas, and recurring bill payments, and 0.5% on everything else.
- You can earn 50% more Stars at participating Starbucks® stores. If you love Starbucks, this no-fee credit card is a great option.
- You can save a minimum of 10% off the lowest available base rates in Canada and the U.S., and a minimum of 5% off the lowest available base rates internationally, on qualifying car rentals at participating Avis and Budget locations.
Limitations
The cash back percentages are not super impressive. For example, even though the Tangerine Money-Back credit card offers the same 0.5% on everyday purchases, it offers 2% on up to 3 spending categories, vs. TD’s 1% on grocery, gas, and recurring bills. You can also choose your categories with the Tangerine card.
Eligibility requirements
You are a Canadian resident and are of the age of majority in your province/territory of residence. Note that there is no income requirement for this card.
How to apply
Apply for the TD Cash Back Visa* Card today!
BMO AIR MILES® Mastercard®
Why I like it
- If you like collecting Air Miles, this is a great no-fee Canadian credit card that allows you to do just that.
- You can get 3x Miles for every $25 spent at participating AIR MILES Partners, such as Metro for groceries, Shell for gas, and Samsung for electronics.
- If you also collect Shell Go+ Miles, you can double up on eligible fuel and in-store purchases. That’s 4x the Miles!
- You can also get 2x the Miles at any eligible grocery store.
- You can save up to 25% off rentals at participating National Car Rental and Alamo Rent a Car locations.
- You can get 15% off admission to Cirque du Soleil shows touring Canada, and 20% off resident shows in Las Vegas.
Limitations
This credit card is geared towards Air Miles collectors. If you don’t have any of the Air Miles partners in your routine, you may want to look for another card.
Eligibility requirements
- You need to be at least the age of majority in your province or territory
- You haven’t declared bankruptcy in the last 7 years
- There is no income requirement for this card.
Welcome bonus
Get 800 AIR MILES Bonus Miles (that’s enough for $80 towards purchases with AIR MILES Cash) and a 0.99% introductory interest rate on balance transfers for 9 months with a 2% transfer fee.
How to apply
Apply for the BMO AIR MILES® Mastercard®here!
RBC ION Visa
Why I like it
- Avion is RBC’s flagship rewards program. With this card, you can earn 1.5X Avion points for every $1 spent on groceries, rides, gas, streaming, subscriptions, digital gaming and more.
- No annual fee
- You can save 3¢/L on fuel and earn 20% more points when you pay with a linked RBC card at Petro-Canada.
- You can earn 50 Be Well points at Rexall for every $1 spent on eligible purchases at Rexall when you pay with your linked RBC card and scan your Be Well card.
- You can also get a 3-month complimentary DashPass subscription. With the subscription, you can enjoy unlimited deliveries with $0 delivery fees on qualifying orders of $15 or more when you pay with your eligible RBC credit card.
- Avion points are transferrable. You can transfer to British Airways Executive Cub (Avios points), AAdvantage American Airlines (AAdvantage miles) and WestJet Rewards (WestJet dollars)
Limitations
Since Avion points are RBC’s program, the bank can choose to devalue points.
Eligibility requirements
- You need to be at least the age of majority in your province or territory
- You haven’t declared bankruptcy in the last 7 years
- There is no income requirement for this card.
Welcome bonus
Get 6,000 Avion welcome points upon approval – that’s $40 of value in gift cards!
How to apply
Apply for RBC ION Visa here.
CIBC Aeroplan® Visa* Card
Why I like it
- Aeroplan is the flagship travel rewards program for Air Canada. This card will allow you to turn your everyday purchases into a dream vacation, all without the burden of an annual fee.
- You earn 1 Aeroplan point for every $1 you spend on eligible gas, electric vehicle charging, groceries and with Air Canada directly, including through Air Canada Vacations®. For everything else, you earn 1 point for every $1.50 you spend.
- You can earn points twice at over 150 Aeroplan partners and over 170 online retailers through the Aeroplan eStore. The partners include popular merchants such as Amazon, Sephora, etc.
- If you link your card with Journie Rewards, you can get up to 10 cents off per litre at participating gas stations.
- Included in the card are Purchase Security and Extended Protection Insurance, Common Carrier Accident Insurance and Auto Rental Collision and Loss Damage Insurance. Most other no-fee cards at most offer the first insurance.
Limitations
- Air Canada could change their redemption policy for Aeroplan points at any time.
- Aeroplan also uses dynamic pricing. This means that depending on your travel time, you may need more or less points for the same route.
Eligibility requirements
$15,000 minimum annual household income
How to apply
You can apply for the CIBC Aeroplan® Visa* Card here.
Scotiabank American Express® Card
Why I like it
- This is an American Express card offered by one of the top 5 banks in Canada.
- You can earn 3 Scene+ points on every $1 you spend at grocery stores such as Sobeys, Safeway, FreshCo, and Foodland.
- You can earn 2 Scene+ points for every $1 you spend on restaurants and takeouts. This accelerated bonus applies to food subscription and delivery services as well.
- You can also earn 2 Scene+ points for every $1 you spend on eligible entertainment purchases, gas and daily transit, and streaming services.
- You can earn 1 Scene+ point for every $1 spent on all other eligible everyday purchases.
- You get to enjoy special offers, experiences and more with American Express Invites.
- This credit card offers optional insurance coverages that include the following:
- Life Benefit
- Critical Illness Benefit
- Hospitalization Benefit
- Disability Benefit
- Job Loss Benefit
- Strike or Lockout Benefit
Limitations
- American Express cards are less widely used than Visa and Mastercard. As such, this card may not be accepted everywhere (however, the majority of merchants will accept it).
Eligibility requirements
- You need to be at least the age of majority in your province or territory
- There is no income requirement for this card.
How to apply
Apply for the no-fee Scotiabank American Express® Card here!
Additional tips
Ask your bank to waive the annual fee
Some banks may be willing to waive the annual fee on a for-fee premium credit card. If there is a credit card you love that requires an annual fee, it may be worth it to give your bank a call.
Get the welcome bonus
As well, many cards offer a welcome bonus when you sign up. Usually, the welcome bonus is tied to a specific dollar amount you have to spend. As such, it may be worthwhile to time your sign-up time with some big planned purchases.
Use multiple cards
Because different cards offer different earnings rates, it may be helpful to use multiple cards. For example, you can use the no-fee Simplii Financial™ Cash Back Visa Card for your restaurants, gas, grocery, drugstore and pre-authorized payments, and choose three other categories with your Tangerine Money-Back Credit Card for hotels, furniture, and parking/public transportation. This way, you can earn at least 1.5% cash back for all your purchases.
Conclusion
Above are my top recommended no-fee credit cards in Canada. I hope you can find some cards that meet your needs and give you the highest rewards possible without having to spend money on the annual fee!
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