Best no fee credit cards in Canada for 2023
Prostock-studio / Shutterstock
We adhere to strict standards of editorial integrity to help you make decisions with confidence. Please be aware that some (or all) products and services linked in this article are from our sponsors.
We adhere to strict standards of editorial integrity to help you make decisions with confidence. Please be aware this post may contain links to products from our partners. We may receive a commission for products or services you sign up for through partner links.
High-end credit cards in Canada provide measurable financial benefits to their cardholders and can (hopefully) justify the annual fees they charge. But that doesn’t mean credit cards with no annual fees deliver insignificant value by comparison.
In fact, there are many Canadians who steadfastly refuse to pay an annual fee for a credit card, no matter their credit score or income level. You might not want to spend the amount of money necessary for your collected rewards or cash back to break even with an annual fee, for example. Not having an annual fee also makes it easy to ‘try out’ a card without losing any money in the event you don’t like it or don’t use it often. Whatever your reason for preferring a card without an annual fee, before applying for one you should review our curated list of the very best in Canada to determine which no annual fee card offers the best value for you.
Canada’s best no fee credit cards
Best no annual fee cash back card
Tangerine Money-Back Credit Card
Quick Facts
Minimum credit score: Fair-good
Minimum income: $12,000
Age: 18+/Age of majority
Residency: Canadian citizen/permanent resident
Other: No bankruptcy for the past 7 years
Other no-annual-fee cards in the cashback category find it difficult to compete with the Money-Back card from Tangerine, which saves you from paying an annual fee while still offering a very high 2% cash back on two purchase categories of your choice (three categories if you deposit the Rewards into a Tangerine Savings Account). All other purchases earn cash back at 0.5%, and cash back is credited (or deposited to your Savings account) on a convenient monthly schedule rather than yearly.
With no limits on how much cash back you collect, and the ability to swap categories between groceries, gas purchases, home improvement, pharmacy and many others, Tangerine provides superior flexibility.
- Accelerated cashback rate: 2% cash back on 2 categories of your choice
- Enhanced cashback rate: Get a 3rd category for depositing cash back to a Tangerine Savings Account.
- Flat cashback rate: 0.5% cash back on everything else
- Welcome bonus: Special 10% extra cash back rate on the first $1,000 spent with the card on everyday purchases (max. $100 cash back) in the first two months if you're approved, apply by July 5, 2023.*
- Added features: purchase assurance and extended warranties
Apply here or learn more by reading our Tangerine Money-Back Credit Card review.
Please note that those who have an annual personal income of at least $60K or combined household income of $100K can get an upgraded version of the Money-Back Credit Card in the Tangerine World Mastercard®. It’s also a no annual fee card, and has the same money-back rewards, but adds on valuable features including mobile device insurance, airport lounge access, and insurance for car rentals.
*Terms and Conditions apply
Best no annual fee student credit card
BMO CashBack Mastercard for Students
Quick Facts
Credit score required: Good
Minimum personal income required: None
Annual fees: $0
Students will appreciate not having to pay an annual fee for the privilege of using their credit card, money which is better spent on books or food. As an entry-level card with a $0 price tag, it’s nice to be able to earn 0.5-3%* cash back on any eligible purchase and is made better with a bonus of 5% cash back in the first 3 months (up to $125)*. Purchase protection* and extended warranties* are also clutch for students who don’t want to take a financial hit due to accidents or theft.
- Sign-up bonus: Get 5% cash back in your first 3 months*
- Regular cashback rate: 0.5-3% cash back on all purchases*
- Added features: Purchase protection* and extended warranties*
Apply here for the BMO CashBack® MasterCard®* for Students
*Terms and conditions apply
Best no annual fee visa card
CIBC Dividend Visa Card
Quick Facts
Minimum credit score: Good
Minimum income: $15,000†
Age: Age of majority in province
Other: No bankruptcy for the past 7 years
Offer overview
The CIBC Dividend® Visa* Card is a great no-annual-fee option for those who prefer cash back over rewards points and who like the wide merchant acceptance rate associated with Visa. After the Welcome Offer ends, the card earns 2% cash back on eligible grocery purchases and up to 1% on everyday purchases like gas, recurring payments such as streaming subscriptions, transit, food and more†, as well as 1% cash back on eligible gas, EV charging, transportation, dining purchases and recurring payments†, and 0.5% cash back on all other qualifying purchases†.
There are technically limits on the amount of cash back that can be earned at the 1–2% rates, but the limits are exceedingly high, lasting through either $20K in combined annual spending on groceries, gas, EV charging, transportation, dining, and recurring payments; or $80K in net annual card spending. After reaching one of those milestones all purchases will earn at the 0.5% rate until the start of a new year†.
Key features
- Annual Fee: $0
- Welcome Bonus: Get 5% cash back for the first 4 statements on net purchases of up to $2,000 (up to $100 cash back)†.
- Regular Earn Rates: After the Welcome Offer ends, the card earns 2% cash back on eligible grocery purchases and up to 1% on everyday purchases like gas, recurring payments such as streaming subscriptions, transit, food and more†; 1% cash back on eligible gas, EV charging, transportation, dining purchases and recurring payments†; 0.5% cash back on all other purchases†
- Other Features: Get cash back on demand – redeem your cash back at any time when you have a minimum of $25 through CIBC Online and Mobile Banking®†
- Interest Rates: 20.99%† Purchase Annual Interest Rate, 22.99%† (for non-Quebec residents only) Cash Advance Annual Interest Rate, and 22.99%† (for non-Quebec residents only) Balance Transfer Annual Interest Rate
Most merchants today accept both Mastercard and Visa, and in general we advise readers to focus on a card’s individual attributes rather than the payment network it belongs to. That said, some stores only accept one or the other, so if you shop frequently at a spot that accepts only Visa and not Mastercard, the CIBC Dividend® Visa* Card is probably the best no annual fee card for you, particularly if groceries are the largest line item in your budget.
Apply here or learn more by reading our CIBC Dividend® Visa* Card review.
This is a digital-exclusive offer.† To be eligible for this offer, you must apply for a new eligible card using the “Apply Now” link available on this webpage.†
† Conditions apply
Quebec Residents: Learn More about this CIBC product here
Résidents du Québec : Pour en savoir plus sur ce produit CIBC, suivez ce lien
Best no fee low-interest card
MBNA True Line Mastercard Credit Card
Quick Facts
Credit score required: Fair-good
Minimum personal income required: N/A
Annual fees: $0
Canadians looking to consolidate their other credit card balances or lines of credit under one low rate can do so with this card at no annual fee. The MBNA True Line® Mastercard® credit card offers 0% promotional interest rate† on balance transfers✪ for the first 12 months which then jumps to 12.99%✪ interest, which is definitely lower than you’d be paying on other cards (without paying an annual fee). Plus, the purchase APR is 12.99% so you won’t have to feel so guilty for using it when you shop.
This is especially true if your balances were previously exposed to high rates. It’s also worthwhile to note that MBNA offers a slightly different card (the MBNA True Line® Gold Mastercard® credit card) to those who would pay a small annual fee in exchange for a lower standard rate on balance transfers and purchases.
- Promotional Balance Transfer Rate: 0% for 12 months†
- Balance transfer rate: 12.99%✪
- Purchase interest rate: 12.99%
- Cash advance rate: 24.99%
Apply here or learn more by reading our MBNA True Line® Mastercard® credit card review.
†, ✪, Terms and Conditions apply.
This offer is not available for residents of Quebec.
Sponsored advertising. MBNA is a division of The Toronto-Dominion Bank (TD) and TD is not responsible for the contents of this site including any editorials or reviews that may appear on this site. For complete information on this MBNA credit card, please click on the “Apply Now” button.
The Toronto-Dominion Bank is the issuer of this credit card. MBNA is a division of The Toronto-Dominion Bank. ®MBNA and other-trademarks are the property of The Toronto-Dominion Bank.
Best USD cash back card
Rogers World Elite Mastercard
Quick Facts
Credit score required: Good-excellent
Minimum personal income required: $80,000
Annual fees: $0
The combination of Canada’s top flat cashback rate with no annual fee is already an advantageous opportunity for cardholders, but the Rogers™ World Elite® Mastercard® raises the bar further by erasing some foreign transaction fees. Travellers know that fees of at least 2.5% on purchases made in a foreign currency can quickly get expensive, so Rogers lets them earn an accelerated 3% in cash back on these purchases made in U.S. dollars in order to offset those fees—and then some. Purchases made in Canadian currency earn a generous rate of 1.5%, making the card as useful for the average consumer as it is for regular travelers.
To qualify for the Rogers World Elite MasterCard your personal annual income must be at least $80,000, or $150,000 if applying as a household. Rogers makes redemption for your cash back easy as well, by allowing you to pay off eligible purchases that appear on your statement whenever you like (given you have at least $20 in cash back collected). This can be accomplished in real time with Mastercard’s Pay with Rewards application.
- Regular cashback rate: 1.5% cash back on all purchases in CA$
- Special cashback rate: 3% cash back on all purchases made in U.S. dollars
- Sign-up bonus: $25 in cash back rewards when you make your first card purchase within 3 months of receiving your card. Conditions apply.
- Minimum annual income: $80,000 personal/$150,000 household
- Added features: travel and insurance benefits
Apply here or learn more by reading our Rogers™ World Elite® Mastercard® review.
Best no fee rewards card
MBNA Rewards Platinum Plus Mastercard
Quick Facts
Credit score required: Fair-good
Minimum personal income required: N/A
Annual fees: $0
If you’re looking for a rewards credit card that offers a great points program on everyday purchases and strong welcome offer along with its no annual fees, then we recommend the MBNA Rewards Platinum Plus® Mastercard® (for more options, check out our full list of the Best Rewards Credit Cards in Canada).
For digital media memberships, utility payments, groceries, and restaurant purchases (a hefty portion of most monthly bills), the MBNA Rewards Platinum Plus® Mastercard® earns 2 MBNA Rewards points‡ per $1 spent, and 1 point‡ per $1 spent on everything else. These rewards don’t expire and can be spent on a variety of useful things like travel, cash back, merchandise, gift cards, and more.
Earn 4 MBNA Rewards points†† for every $1 spent on grocery, restaurant, digital media membership and utility payments for the first 90 days of account opening.
As a bonus, cardholders will earn up to 10,000 additional points†† just for making $500 in purchases (5,000††) and for signing themselves up for paperless e-statements (another 5,000††) (both within the first 90 days). 10,000 points have a value of $100 when redeemed on travel. If that’s not enough, on your birthday‡, you’ll earn 10% of the points earned the previous year, up to 10,000 points total.
- Accelerated earn rate: 4 MBNA Rewards points†† for every $1 spent on digital media membership, utility payments, grocery, and restaurant purchases for the first 90 days of account opening. Goes down to 2 points‡ after 90 days.
- Regular earn rate: 1 MBNA Rewards point‡ per $1 spent elsewhere
- Intro bonus: Up to 10,000 points††
- Added features: purchase assurance and extended warranties
- Purchase interest rate: 19.99%
- Cash advance rate: 24.99%
- Balance transfer rate: 22.99%✪
Apply here or learn more by reading our MBNA Rewards Platinum Plus® Mastercard® review.
‡, ††, ✪, ***, Terms and Conditions apply
This offer is not available for residents of Quebec. For residents of Quebec, please click here.
Sponsored advertising. MBNA is a division of The Toronto-Dominion Bank (TD) and TD is not responsible for the contents of this site including any editorials or reviews that may appear on this site. For complete information on this MBNA credit card, please click on the “Apply Now” button.
The Toronto-Dominion Bank is the issuer of this credit card. MBNA is a division of The Toronto-Dominion Bank. ®MBNA and other-trademarks are the property of The Toronto-Dominion Bank.
Summary of the best no fee credit cards in Canada
How did we choose these cards?
We selected the cards on this page based on the fact that they include features usually reserved for cards with an annual fee, like lucrative sign-up bonus rewards, strong cash back and rewards rates, low-interest balance transfer promotions, etc. For each type of feature, we singled out the no annual fee card that provides the utmost value in its own special way. For example, there are a number of cards in the Canadian market that offer cash back with no fee, but the Tangerine Money-Back Credit Card is unique because it allows cardholders to choose the spending categories they’d like to earn back in.
How do you choose the best no annual fee credit card?
When choosing the best no annual fee credit card, you have to consider what would personally benefit you most. Not all no annual fee credit cards are created equal. Are a great rewards program and a sign-up bonus most important to you? Or are you more focused on obtaining the lowest interest rate on cash back and purchases? Of course, your own credit history and annual income may be a determining factor in the best credit cards for you, so it’s important to do your research on what you are eligible for.
When is a credit card annual fee worth paying?
Wondering why anyone would choose a card with an annual fee when there is such a strong selection of no annual fee credit cards available? Well, cards with annual fees may offer more in terms of lower interest rates, bigger rewards, and other features that you may find desirable. Therefore, it’s important to look at your spending habits and take into consideration whether a card with an annual fee may actually benefit you more.
Related articles:
- Why pay for a credit card with an annual fee?
- Best low interest credit cards
- How to choose the best credit card
BMO is not responsible for maintaining the content on this site. Please click on the Apply now link for the most up to date information.
Latest Articles
Alberta to debate Canada Pension Plan, says it deserves half of fund if it leaves
A look at the numbers and assumptions behind Alberta's pension report
Pathways Alliance watching Trans Mountain's latest hurdles with dismay
Coastal GasLink fined $340,000 for erosion, sediment control challenges
Most actively traded companies on the Toronto Stock Exchange
