For many Canadians, credit cards have become an essential, convenient part of our daily lives and, with the rise of online shopping, we depend on our credit cards more than ever before. However, it’s important to choose and use your credit card wisely. Part of being truly credit card savvy starts with knowing how to pick the credit card that is best for you. While it’s important to do thorough research before signing up for any card, to help you narrow down the choices and compare credit cards for your unique situation, we’ve rounded up some of the best credit cards in Canada for 2022.
American Express Cobalt Card
Annual interest rate: 20.99% on purchases; 21.99% on funds advances
Monthly fee: $12.99
Rewards: 5x points on restaurants and food delivery; 3x on streaming subscriptions; 2x on travel and transit; 1x on everything else
Year after year, the American Express Cobalt Card is among the best credit cards in Canada. That’s because it’s so versatile: it’s great for travel, but also for everyday spending — and it’s easy to earn points. When you sign up, you can earn 2,500 points for each monthly billing period in which you spend more than $500 on your card. If you spend $3,000 on your card in the first three months, you can get another 20,000 points. You have many options for redeeming all those points too.
Scotia Momentum Visa Infinite Card
Annual interest rate: 20.99% on purchases; 22.99% on cash advances
Annual fee: $120
Rewards: 4% cash back on groceries and recurring payments; 2% on gas and daily transit, including Uber; 1% on everything else
Scotiabank’s Scotia Momentum Visa Infinite Card is another consistent winner, especially if you’re looking for a cash-back card. Get your card before the end of February 2022 and you can earn 10 per cent cash back on all purchases up to a total of $2,000 worth, in the first three months. They’ll waive your annual fee for the first year – including on supplementary cards – to boot. And, for the first six months, they’ll only charge you 2.99 per cent interest.
Related: This grocery app helps save the planet while saving you money.
American Express SimplyCash Preferred Card
Annual interest rate: 19.99% on purchases; 21.99% on funds advances
Annual fee: $99
Rewards: 2% flat-rate cash back (after your Welcome Offer ends)
Another good cash-back credit card is the SimplyCash Preferred Card from American Express. With this card, you can earn 10 per cent cash back in the first four months, up to $400 in cash back. After that, there are no limits to how much you can earn at the flat cash-back rate. Refer a friend and you can get an additional $1,500 cash back per year. While this card is straightforward, it still gives you access to all those perks American Express is renowned for, from comprehensive travel coverage to presale options on concerts and event tickets.
BMO CashBack World Elite Mastercard
Annual interest rate: 20.99% on purchases; 23.99% on cash advances (21.99% for Quebec residents)
Annual fee: $120
Rewards: 5% cash back on groceries; 4% on transit; 3% on gas and electric vehicle charging; 2% on recurring bill payments; 1% on everything else
With surging food prices adding to grocery bills, a credit card that gives you a decent amount of cash back on grocery purchases is one of the best choices you can make. Enter the BMO CashBack World Elite Mastercard, with its 5 per cent cash back on groceries. In the first three months, they’ll give you up to 10 per cent cash back. There’s one caveat, though: you need to have a minimum individual income of $80,000 per year. At least for the first year, the annual fee is waived.
Related: How to curb your online shopping addiction.
CIBC Dividend Visa Infinite Card
Annual interest rate: 20.99% for purchases; 22.99% for cash advances (21.99% for Quebec residents)
Annual fee: $120
Rewards: 4% cash back on gas and groceries; 2% on transportation, dining and recurring payments; 1% on everything else
One of the best things about the CIBC Dividend Visa Infinite Card is that you don’t have to wait to redeem your cash-back earnings: you can redeem whenever you want. For the first year, you can get a rebate on your annual fee of up to the entire $120. There’s also the savings on gas: you can save up to 10 cents per litre at participating gas stations. However, note that you need to have a minimum individual annual income of $60,000 to qualify for this card.
See also: 20 ways to cut your car costs.
Tangerine Money-Back Credit Card
Annual interest rate: 19.95%
Annual fee: $0
Rewards: 2% cash back on everyday purchases in two categories of your choice; 0.5% on all other everyday purchases
With the Tangerine Money-Back Credit Card, you can decide where you want to earn the most cash back: you choose two categories in which to earn more rewards. These categories to choose from include groceries, furniture, restaurants, hotels and motels, gas, recurring bill payments, drug store, home improvement, entertainment and public transportation and parking. If you transfer balances in the first 30 days, you’ll pay only 1.95 per cent interest on those balances for the first six months.
BMO CashBack Mastercard – Student
Annual interest rate: 19.99% on purchases; 22.99% on cash advances (21.99% for Quebec residents)
Annual fee: $0
Rewards: 3% cash back on groceries; 1% on recurring bill payments; 0.5% on everything else
If you’re new to this credit-card thing and figuring out how to adult, the BMO CashBack Mastercard for students is the perfect way to learn the ropes. Besides, getting into the habit of using your credit card responsibly and not getting into additional debt is a step towards paying off your student loans fast. When you sign up for this card, you get up to 5 per cent cash back on all purchases in your first three months. To qualify for this card, you need to be a student at an accredited post-secondary institution and between 18 and 24 years old.
Scotiabank Gold American Express Card
Annual interest rate: 19.99% on purchases; 22.99% on cash advances
Annual fee: $120
Rewards: 5x Scene+ points for every $1 spent on food and eligible entertainment; 3x on gas, daily transit and streaming services; 1x on everything else
Want to save up for one of those must-take trips in your 20s? The Scotiabank Gold American Express Card can help you get there faster. The Scene points program is now Scene+, which means more partners and more rewards. Get your card before the end of February 2022 and in the first year, you can get up to 40,000 additional Scene+ points: translated into travel money, that’s $400. They’ll waive your annual fee for the first year too. For the first six months, they won’t charge interest on balance transfers, either. Once you’ve saved up for that trip, you get comprehensive travel insurance and perks like airport lounge access. Best of all? There are no foreign transaction fees.
MBNA Rewards World Elite Mastercard
Annual interest rate: 19.99% on purchases; 22.99% on balance transfers and access cheques; 24.99% on cash advances
Annual fee: $120
Rewards: 5 points for every $1 spent on eligible restaurant, grocery, digital media, membership and household utility purchases, up to $50,000 per year; 1 point for every dollar spent on other eligible purchases
What makes the MBNA Rewards World Elite Mastercard one of our top choices for 2022 is that it’s flexible in terms of rewards: your points don’t expire as long as your account is open and in good standing, and you can redeem them for a wide range of things, including cash and charitable donations. If you make $2,000 in eligible purchases within the first 90 days, you can get 20,000 bonus points, to the value of approximately $165. Enroll for e-statements in the first 90 days, and you can get an additional 10,000 points. In your birthday month, they’ll give you bonus points equal to 10 per cent of the number of points you earned in the past year, up to 15,000 points. However, note that you need to earn at least $80,000 per year to qualify for this card.
BMO eclipse Visa Infinite Card
Annual interest rate: 20.99% on purchases; 23.99% on cash advances (21.99% for Quebec residents)
Annual fee: $120
Rewards: 5x points on takeout and food delivery, dining out, groceries, gas and transit; 1x for every $1 spent on everything else
The average Canadian spends a little over $50 a week on eating out. If you love your food – whether it’s dining in or dining out and whether it’s food someone else prepared or food you made yourself – the BMO eclipse Visa Infinite Card may be the one for you. Why? Because you earn five points for each dollar you spend on food, as well as on gas and transit. Add an authorized user and you can earn 10 per cent more points. When you sign up, they’ll give you up to 60,000 points and waive the annual fee for the first year. Every year they’ll also give you a $50 lifestyle credit to use as you wish. You need a minimum individual annual income of $60,000 to qualify for this card.
You might also like: 10 bad money management habits you need to break in 2022.
American Express Green Card
Annual interest rate: 20.99% on purchases; 21.99% on funds advances
Annual fee: None
Rewards: 1x points on everyday purchases; 1 additional point on Amex Travel Online
The points you earn with the American Express Green Card may not look huge, but the savings you get when you don’t have to pay an annual fee more than makes up for it. Besides, you can redeem your points in many different ways or transfer them to one of a number of frequent flyer or other travel loyalty programs. And when you charge $1,000 in purchases in the first three months, you get 10,000 points: that’s worth $100.
BMO Air Miles World Elite Mastercard
Annual interest rate: 20.99% on purchases; 23.99% on cash advances (21.99% for Quebec residents)
Annual fee: $120
Rewards: 1 Mile on every $12 spent; double the Miles on select car rentals; 3x Miles on everyday purchases at participating Air Miles partners
The BMO Air Miles World Elite Mastercard is one of the best for earning Air Miles. To earn triple the amount of Miles, you need to spend at participating partners, but luckily some of these are places where you’d be making everyday purchases anyway: in Ontario, for instance, they include Sobeys, Foodland, Urban Fresh and Safeway. Once you’re ready to buy a plane ticket, you can get a 15 per cent discount on Air Miles flights in North America, and your card comes with comprehensive travel protection and other travel perks. You can redeem your Air Miles for all kinds of sports merch but let’s be real: you’d rather use them for flights, car rentals, hotels or the whole vacation package, right? You can also redeem Air Miles towards purchases. To qualify for this card, you need an annual individual income of at least $80,000.
Related: The perfect travel destination according to your zodiac sign.
TD Aeroplan Visa Infinite Card
Annual interest rate: 19.99% on purchases; 22.99% on cash advances
Annual fee: $139
Rewards: 1.5 points for every $1 spent on eligible gas and groceries, as well as purchases directly through Air Canada; 1 point for every $1 spent on everything else
The TD Aeroplan Visa Infinite Card is a great choice if you tend to fly Air Canada. Why? Because if you pay with your card and provide your Aeroplan number, you can earn points twice, and you get all kinds of Air Canada travel perks. For example, up to eight people traveling with you on the same reservation can get their first checked bag on Air Canada flights for free. You can get benefits at participating wineries in British Columbia, Ontario and California wine country, and exclusive offers for the Toronto International Film Festival. Then there’s the comprehensive travel insurance available. Sign up before March 6, 2022, and you can earn up to 25,000 Aeroplan points and a Buddy Pass, which allows you to score a second ticket when you book an economy ticket. You also get an annual fee rebate for the first year.
See also: 15 easy ways to gain airport lounge access.
Brim World Elite Mastercard
Annual interest rate: 19.99% on purchases; 21.5% on cash advances
Annual fee: $199
Rewards: 2 points for every $1 spent, up to $25,000 annual spend
Most credit cards come with some form of insurance. Some type of travel insurance is often standard, for instance. Brim Financial’s Brim World Elite Mastercard gives you one of the most comprehensive insurance packages of all credit cards: you even get event ticket protector insurance, up to $1,000. Since they don’t charge foreign transaction fees either, this card is a great choice if you’re a frequent traveller.
MBNA Rewards Platinum Plus Mastercard
Annual interest rate: 19.99% on purchases; 24.99% on cash advances; 22.99% on balance transfers and access cheques
Annual fee: $0
Rewards: 2 points for every $1 spent on eligible restaurant, grocery, digital media, membership and household utility purchases (up to $10,000 per year in each category); 1 point for every $1 spent on other purchases that are eligible
The MBNA Rewards Platinum Plus Mastercard makes our list because of the very generous welcome bonus, considering it’s a no-annual-fee card. In addition to the 5,000 bonus points you get after making $500 worth of eligible purchases within the first 90 days, and another 5,000 bonus points you can earn when you enroll for paperless e-statements in the first 90 days, you can earn 4 points on eligible restaurant, grocery, digital media, membership and household utility purchases in those first three months. Then, during your birthday month, you get bonus points equal to 10 per cent of the total number of points you earned in the past year, up to 10,000 points.
You might also like: The free money you’re missing out on in Canada.
MBNA True Line Mastercard
Annual interest rate: 12.99% on purchases, balance transfers and access cheques; 24.99% on cash advances
Annual fee: $0
Overspent on your credit card, and now the interest is killing you? One way to reduce your credit card debt is to transfer the balance to a card with a lower interest rate – and the MBNA True Line Mastercard is designed just for that. You don’t earn rewards points or cash back, but you also don’t pay an annual fee — and the interest is just a little over half of what you’d pay on most other cards. In fact, for balance transfers in the first 90 days, you won’t pay interest for a whole year, which gives you a chance to breathe and evaluate your debt payback strategy. And, you can add up to nine authorized users.
MBNA True Line Gold Mastercard
Annual interest rate: 8.99% on purchases, balance transfers and access cheques; 24.99% on cash advances
Annual fee: $39
The MBNA True Line Gold Mastercard charges an even lower interest rate on purchases, balance transfers and access cheques, but unlike the regular MBNA True Line Mastercard, this one comes with an annual fee. Not that $39 a year is going to break the bank, though. Like the MBNA True line Mastercard, this card allows you to add up to nine authorized users – for no additional annual fee.
President’s Choice Financial World Elite Mastercard
Annual interest rate: 20.97% on purchases; 22.97% on cash advances (21.97% for Quebec residents)
Annual fee: None
Rewards: 30 points per $1 spent in affiliated grocery stores; 45 points per $1 spent in Shoppers Drug Mart; 30 points per $1 spent at PC Travel; at least 30 points per litre at Esso and Mobil; 10 points per $1 spent everywhere else
The President’s Choice Financial World Elite Mastercard is especially great for grocery shopping. You get generous rewards when you shop at affiliated stores like Real Canadian Superstore. When you redeem 10,000 points, this translates to a value of $10, which you can spend at participating stores. To qualify, you need to earn at least $80,000 per year.
Related: Here’s how Canadians will change food spending habits in 2022.
RBC Avion Visa Business Infinite
Annual interest rate: 19.99% on purchases; 22.99% on cash advances
Annual fee: $175
Rewards: 1.25 rewards points per $1 spent on net purchases, up to $75,000 per year
Many of us took up remote side hustles during lockdown, whether it was to keep the home finances healthy or to keep us from losing our minds. If your side hustle has become a full-fledged business, having a separate business credit card will make tax season less of a headache. The RBC Avion Visa Business Infinite card is a great choice because of its rewards program: not only because it’s so easy to rack up the points, but also because you can redeem them for all those air travel and hotels you’ll need for business trips, vacation packages if you want a workcation, tech products and more. You can also redeem your points to help pay down your balance. Sign up, and you can get 25,000 bonus points. You can also add up to nine additional cards.
KOHO Premium Visa Card
Annual fee: $84 (or $9 per month)
Rewards: 2% cash back on groceries, restaurants, gas and transit; 0.5% on everything else
The best way to avoid credit card debt is to remove the temptation to spend money you don’t have yet. In the past, people would simply forego the card and opt for cash only, but that’s not possible for online shopping. The solution is a prepaid card and here, the KOHO Premium Visa Card is our choice for 2022. You don’t have to worry about high credit interest rates and the annual fee is perfectly doable. You earn cash back and when you shop, and the price-matching feature will help you get the best price. And access to an in-house financial coach will help you become money-savvy in no time.
See also: How to live life without a credit card in Canada.
