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Looking for a credit card with no fee Canada? You’re in the right place. Here we will cover the main options for credit cards with low fees.
Regarding each of the credit card with no fee Canada, we will talk about their benefits. This way, you will be able to choose a no-fee card that has differentiated advantages.
Therefore, in this article, we will explore the complete landscape of the best no annual fee cards in Canada. You will learn how to analyze the most competitive options on the market, compare interest rates and the real cashback return. Let’s go!
Main costs you should pay attention to on cards
Although zero annual fee is a great advantage. There are other points you should pay attention to, especially the APR interest rate and the foreign transaction fee (FTF).
Purchase Interest Rates (Purchase APR) – Credit Card With No Fee Canada
For any credit card with no fee Canada, the issuer’s main source of revenue is the Purchase Interest Rate (Purchase APR).
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First of all, most standard interest rates range between 19.95% and 21.99% for balances not paid in full by the due date.
Furthermore, this high rate often cancels out the cashback that may be provided on your card.
Therefore, we recommend that you avoid delaying the invoice. This way, you will not have to pay the APR fee.
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The Foreign Transaction Fee (FTF)
The most important and often overlooked cost for those who use the card outside the country or for online purchases in other currencies is the Foreign Transaction Fee (FTF).
In principle, most no annual fee cards apply a standard FTF of 2.5% on the purchase amount in foreign currency.
Anyone who needs a card for international use should look for models that actively promote zero FTF, even if this means paying a low annual fee or choosing a specific digital option.
Best Credit Card with No Fee Canada Options
To help you decide, we have detailed the benefits and fee structure of each of the main competitors. Let’s go!
1. Tangerine Money-Back Credit Card
The Tangerine card is a standout recommendation for most Canadians due to its flexibility and low income requirements (only $12,000 annually).
This card offers flexible 2% cashback where you choose two high-spending categories (such as groceries, restaurants, or recurring bills) to receive 2% back.
In addition, it is possible to include a Third Bonus Category at 2% if you choose to automatically deposit the cashback into a Tangerine Savings Account.
It is worth noting that rewards are credited every month (Monthly Cashback), with immediate liquidity and control over your funds.
All spending outside the bonus categories yields a Residual Rate of 0.5%.
In addition, you will have an introductory Welcome Bonus of 10% cashback for an initial period.
It is worth noting that its annual fee is free and it will have a purchase APR of 19.85%. In addition, the FTF is 2.50%.
2. CIBC Dividend® Visa Card (Credit Card With No Fee Canada)
The CIBC Dividend Visa Card is for those looking for returns on essential daily expenses. Especially for grocery shopping and transportation.
The card offers Cashback on Groceries with a fixed rate of 2% cashback on eligible grocery purchases.
It also includes a tangible fuel discount, saving up to 10 cents per liter at participating gas stations (such as Pioneer, Fas Gas, Ultramar, and Chevron) when linked to Journie Rewards.
You will also get 1% cashback on transportation for gas, electric vehicle (EV) charging, transportation, and recurring bill payments.
You will also have Extended Warranty, which doubles the original manufacturer’s warranty for up to one year on eligible purchases.
Attention! The Low Income Requirement, with a family minimum of $15,000, makes it easier to acquire.
Regarding fees, as you know, the annual fee is waived, but there is an APR of 21.99% and an FTF of 2.5%.
3. BMO CashBack® Mastercard®
The BMO CashBack Mastercard stands out for having some of the highest cashback rates in specific categories.
As a rule, this card has 3% Cashback on Groceries, one of the highest rates for groceries, gas, and EV charging, but it is limited to $1,500 in spending per quarter.
By the way, this is a valuable benefit for the modern consumer, providing 5% cashback on Streaming for eligible streaming, cable TV, and satellite services.
It also includes Cell Phone Protection, insurance coverage of up to $400 for the cell phone when the monthly service bill is charged in full to the card.
You also get 1% cashback on recurring bills and Flexible Redemption, and you can redeem the money back at any time from a minimum value of just $1. It is worth noting that this card is easy to approve, being one of the instant approval credit card Canada.
4. Neo World Mastercard (Credit Card With No Fee Canada)
Neo Financial is a digital alternative focused on dynamic rewards in a partner network; it offers options for those building or rebuilding their credit history.
The main differential is the High Cashback in the Partner Network, with an average of 5% cashback at over 10,000 retail partners.
Furthermore, even without an annual fee, the World level includes standard Mastercard World Benefits such as purchase protection and extended warranty.
Enhanced Cashback can reach up to 4% in certain categories for customers who use other Neo banking services.
The Most Competitive No Annual Fee Credit Cards
We analyzed the main products in the Canadian market, including large financial institutions (CIBC, BMO) and fintech alternatives (Tangerine, Neo), which consistently offer the best value without an annual fee.
| Card | Best For | Main Cashback Rate | Purchase APR (Interest) | Minimum Income (Individual) | FTF (Foreign Transaction Fee) |
| Tangerine Money-Back Credit Card | Category Flexibility | 2% in 2 Categories (up to 3 with Savings) | 19.95% | $12,000 | 2.50% |
| CIBC Dividend® Visa Card* | Groceries and Fuel | 2% Groceries, 1% Gas/Transportation | 21.99% | $15,000 | 2.5% (Standard) |
| BMO CashBack® Mastercard® | Groceries and Recurring Bills | 3% Groceries (up to $1,500/quarter), 1% Bills | 21.99% | Not explicit (Accessible) | 2.5% (Standard) |
| Neo World Mastercard | Partner Network and Beginners | 1%-4% (in partner network) | 19.99% – 29.99% | $50,000 (World) | 2.5% (Standard) |
Conclusion
Credit cards with no fee Canada are great, especially for young people who need a card without costs. Another public that can benefit are adults who are going through a delicate moment and do not want to worry about cashback.
We sought to detail everything about each of the credit cards with no fee Canada, focusing on their benefits and differentials.
Now, the decision is yours, choose the card that best meets what you have been looking for. Consider the fees charged and the advantages offered. This way, you will be able to have an excellent card.