The best cash back credit cards in Canada for 2026

Best cash back credit cards in Canada for 2026 by category

Getting perks like flights and merchandise with your credit card is great, but nothing compares to the flexibility of receiving cash back. We’ve made a list of the best cash back credit cards in Canada for 2026.

^{*Regular earn rates shown. Bonus rates may be subject to spending caps, eligibility requirements and selected rewards plans.}

The Scotia Momentum Visa Infinite + Card is our pick for the best overall cash back credit card in Canada, earning 4% cash back on eligible groceries, recurring bills and subscriptions, 2% on gas, transit and food delivery, and 1% on all other purchases. Its 4% rate on groceries and recurring payments is particularly valuable for households looking to save on expenses they pay for every month.

Along with its cash back rewards, the card includes travel medical insurance, trip cancellation coverage, rental car insurance and mobile device protection. This gives cardholders many of the insurance benefits typically found on travel rewards cards while earning cash back instead of points.

The Neo World Elite Mastercard is one of the best cash back credit cards for groceries and gas thanks to its industry-leading earn rates in both categories. Cardholders can earn up to 5% cash back on groceries and 3% on gas, helping frequent shoppers and commuters earn more on two of their biggest monthly expenses.

The Simplii Financial Cash Back Visa Card is one of the best no annual fee cash back credit cards in Canada thanks to its competitive earn rates on everyday spending. Cardholders earn 4% cash back on eligible restaurant, bar, and coffee shop purchases (up to $5,000 spent per year), also making it one of the best cash back cards for dining and restaurants in Canada, plus 1.5% on eligible gas, grocery, drugstore, and pre-authorized payment purchases, and 0.5% on all other eligible purchases. These competitive everyday earn rates make it a great choice for Canadians looking to maximize cash back without paying for rewards.

The Tangerine Money-Back World Mastercard is a strong no-fee cash back credit card for Canadians who want more flexibility in how they earn rewards. Instead of fixed bonus categories, cardholders can choose up to three 2% cash back categories that match their spending habits, making it a great option for households whose biggest expenses extend beyond groceries and gas.

The Wealthsimple Visa Infinite+ is one of the best flat-rate cash back credit cards in Canada thanks to its simple and competitive rewards structure. Cardholders earn unlimited 2% cash back on every eligible purchase, so you’ll get the same competitive rate whether you’re paying for groceries, dining, bills, travel, or anything in between. That 2% rate also applies to purchases in foreign currencies, and with no foreign transaction fees, you can continue earning cash back while travelling without paying the typical 2.5% FX fee. With no spending caps or bonus categories to keep track of, it’s an easy way to earn consistent cash back across your everyday spending. Keep in mind that you’ll need an eligible Wealthsimple account to apply.

The Home Trust Preferred Visa is the best cash back credit card for Canadians who shop or travel in foreign currencies. Along with unlimited 1% cash back on eligible purchases, it charges no foreign transaction fees, making it easy to save on purchases made outside Canada or in foreign currencies online.

The Neo World Mastercard stands out because it offers 2% cash back on eligible recurring bill payments without charging an annual fee. Since relatively few no-fee cash back credit cards reward recurring bills at an elevated rate, it's an excellent option for Canadians looking to maximize rewards on monthly household expenses.

The PC Mastercard is the best store-branded cash back credit card for frequent shoppers at Loblaw-owned stores. Cardholders earn accelerated PC Optimum points on groceries, fuel at Esso and Mobil, and purchases at Shoppers Drug Mart, allowing them to earn more rewards on the stores they visit most often.

The TD Cash Back Visa Infinite Card is one of the best cash back credit cards for everyday spending thanks to its broad bonus categories. Cardholders earn elevated cash back on groceries, gas, EV charging, recurring bill payments, public transit, and streaming purchases, making it a strong choice for families and households with diverse spending habits.

The Wealthsimple Visa Infinite Privilege is one of the best premium cash back credit cards in Canada thanks to its combination of strong cash back and valuable travel benefits. Cardholders earn unlimited 2% cash back on every eligible purchase and pay no foreign transaction fees, helping them earn more while travelling or spending in foreign currencies. The card also includes six complimentary airport lounge visits every 12 months and extensive travel insurance, including up to $2 million in travel medical coverage. Like the Visa Infinite+, you’ll need an eligible Wealthsimple account to apply.

What is a cash back credit card?

With a cash back credit card, you earn a percentage of your eligible purchases back in cash, usually between 1% and 4%. Some cards offer the same cash back rate on everything you buy, while others give you higher rates on certain purchases, like groceries, gas, dining and recurring bills. The rewards you collect can then be used to help pay off your credit card bill or, depending on the card, deposited into a bank account.

Unlike the calculations sometimes required with a points-based system, earning cash back with a credit card is fairly straightforward. As an example, let’s imagine you have a cash back card that gives you 4% back on restaurants and takeout. If you spend $100 on a dinner out, that's an automatic $4 cash back you'll receive in return.

For example, how much you'd earn with the Scotia Momentum Visa Infinite +* Card:

^{This example assumes all purchases are eligible for the listed rates and that you haven't reached the card's spending caps.}

You can usually track your cash back balance through your credit card provider's website or mobile app. Keep in mind that some cards have annual spending limits on their highest earn rates, so the amount of cash back you collect can change once you reach those limits.

Every bank has a different redemption process for its cash back cards. Scotiabank, Home Trust, and American Express will give you cash back once a year, Tangerine’s cash back is paid out monthly, and TD allows you to redeem your cash back rewards as soon as you earn at least $25.

One thing to watch out for with cash back credit cards is spending caps. While a card might advertise 4% cash back on groceries, for example, that rate won't necessarily apply to every dollar you spend throughout the year. Once you've reached the card's spending limit, any additional purchases in that category will usually earn the lower standard rate.

Take the Scotia Momentum Visa Infinite + Card, which offers 4% cash back on eligible groceries, recurring bills and subscriptions, up to $25,000 in combined purchases per year. If you spend $15,000 on groceries and $10,000 on recurring bills, you'll have reached that limit and earned $1,000 in cash back. Any additional purchases in those categories will earn the card's standard 1% rate until the spending cap resets.

It's also worth noting that not every card handles spending caps the same way. Some have separate limits for each bonus category, while others combine multiple categories under one limit. The reset period can vary too, so make sure to check whether your card uses a calendar year, an account anniversary or a monthly limit. If you're a big spender in certain categories, these details can make a considerable difference to how much cash back you actually earn.

There are three main types of cash back credit cards in Canada, and the biggest difference between them is how you earn your rewards.

How to choose the best cash back credit card

The cash back credit card that offers the most value will depend on where you spend the most, how much cash back you can earn and any fees you'll pay. When comparing cash back credit cards, consider the following factors.

Look at where you spend the most

Choose a cash back credit card that rewards your biggest everyday expenses, whether that's groceries, gas, dining or recurring bills. Compare each card's bonus category rates, base earn rate and spending caps to see how much you could actually earn. A card offering 4% cash back on groceries, for example, may be more valuable than a flat-rate card if groceries make up a large portion of your spending.

Check where the card is accepted

Not every credit card network is accepted everywhere, and this can impact how much you’re able to earn. Some retailers like Costco only accept Mastercard for in-store purchases, while certain smaller restaurants and shops may not take American Express. If you shop frequently at specific stores or rely on certain services, make sure the card you choose will be accepted where you spend the most.

Consider the annual fee

Annual fees aren’t necessarily a drawback. Cards with fees often come with higher earn rates and added benefits that can outweigh the cost if you use the card regularly. However, if your monthly spending is on the lower side or you prefer a more hands-off approach, a no-fee credit card may offer better overall value. The key is to make sure the rewards you earn comfortably exceed any fee you pay.

Review income requirements

Some cash back credit cards, particularly premium Visa Infinite and World Elite Mastercard options, have minimum income requirements. Check the eligibility criteria before applying, as many no-fee and standard cash back cards offer competitive rewards without the same requirements.

Consider welcome offers and first-year value

Many cash back credit cards offer welcome bonuses, such as accelerated earn rates or waived annual fees for new cardholders. These promotions can increase a card's first-year value, but they're often subject to spending requirements and earning limits. Compare the welcome offer alongside the card's regular earn rates to determine whether it will continue to offer good value after the promotion ends.

Look at how and when you can redeem your rewards

Redemption rules differ between card issuers. Some allow you to redeem cash back at any time once you reach a small minimum, while others release rewards monthly or on a once-per-year schedule. If you prefer more frequent access to your rewards, a card with flexible redemption options may be a better fit. It’s also worth noting whether rewards are applied as a statement credit or can be deposited into a bank account.

Consider additional perks and insurance

While earning cash back is the main appeal, extra benefits can add meaningful value depending on your lifestyle. Many cards include built-in protections such as purchase insurance, extended warranty coverage, mobile device insurance, or rental car insurance. Some also offer travel-related perks like roadside assistance or reduced foreign transaction fees. If you regularly travel, shop online, or rely on your card for large purchases, these added protections can help you get more from your card overall.

Cash back credit card annual fees

There are a number of great cash back cards with no annual fee, such as the Home Trust Preferred Visa or the SimplyCash Card from American Express. However, cash back cards with an annual fee can be worth the cost because they offer more lucrative cash back rewards along with more perks.

If you use a credit card to pay for the majority of your everyday purchases, odds are you’ll walk away with far more value with an annual fee card (even after paying the fee). If you don’t use credit all that much or your monthly spending is below $500, a no fee card could be a better fit.

Annual fees on cash back cards are usually around $99 to $120.

Cash back welcome offers

If you pick up a new cash back card, there’s a good chance it comes with some kind of promotional offer. A cash back bonus is a promotional reward that may include an accelerated cash back rate for a limited time, a one-time bonus after meeting a spending requirement, or a waived first-year annual fee.

For example, a card might offer 10% cash back on eligible purchases for the first three months, up to a maximum spending amount. Once the promotional period ends or the spending limit is reached, the card's regular cash back rates apply.

When comparing cash back credit card welcome offers, look beyond the advertised bonus rate. Check the offer's eligibility requirements, spending limits, expiry date and maximum rewards to understand how much you could actually earn. A generous welcome bonus can boost a card's first-year value, but its ongoing earn rates and annual fees are just as important when deciding which card offers the most value over time.

What’s better – cash back or points?

Both cash back credit cards and rewards cards with points have their advantages, and the better choice depends on how you plan to use your rewards.

The biggest advantage of cash back is its simplicity. If your card earns 2% cash back on a $100 purchase, you know you're getting $2 back. There's no need to calculate the value of your rewards or compare different redemption options, and you can typically use your cash back to reduce your credit card balance.

Points – on the other hand – are less straightforward but are potentially more lucrative, particularly if you’re a traveller.

Unlike cash back, the value of points isn’t consistent and vary depending on the loyalty program and what you’re redeeming. For example, 1 Scotia Rewards point is worth $0.01 when redeemed for travel rewards like flights, but that same point will be worth around 25% less when redeemed for a gift card and around 30% less for cash credits. With other points programs, like Air Miles and Aeroplan, the value of your points will even vary when redeeming for travel based on factors like your destination or whether you’re travelling during low or high seasons.

The key benefit of travel cards is they typically come with more bonus categories and perks, as well as larger welcome offers. Plus, depending on the travel card, you can redeem strategically and get well above the standard $0.01 per point, stretching the value of your rewards even further.

In short, travel points can offer great value, specifically when redeemed for travel rewards like flights and hotel stays. But if you want simple rewards, don’t travel frequently, and want the flexibility to use your credit card rewards to save on all your everyday spending, then a cash back card is a better fit for you.

Credit card insurance for cashback credit cards

Most cash back credit cards include a few basic insurance features, such as purchase protection, extended warranty coverage, and sometimes rental car insurance. Some cards also come with extra benefits like mobile device insurance or roadside assistance, which can add value if you regularly rely on your card for everyday purchases.

Travel insurance is where cash back cards tend to offer less coverage. While a few premium cash back cards include emergency medical insurance or baggage protection, the coverage periods are usually shorter than what you’d get with a travel-focused card. These benefits can still be helpful for short trips, but they may not be enough if you travel often or for longer periods of time.

If travel protection is a priority, a travel rewards credit card will generally offer more complete coverage. Cash back cards still provide useful insurance perks, but they’re designed more for day-to-day spending than for frequent travellers.

• Also read: Cash back vs travel cards: Which is right for you?

Cash back bonus earning categories

As we’ve touched on earlier, bonus categories are types of purchases that’ll earn you higher rewards per dollar and play a huge role in deciding which is the best cash back credit card for you. For example, the Scotiabank Momentum Visa Infinite has groceries as a bonus category and earns 4% cash back on groceries versus the standard 1% it offers for most other purchases – making it an ideal match if you spend a lot at your local supermarket.

Whether or not a purchase falls under a specific bonus category has less to do with what you’re buying and more with who you’re buying from. That’s because the three big credit card companies (Visa, Mastercard, and American Express) categorize retailers and not the specific items they sell.

Below are some common bonus categories found on cash back credit cards:

Groceries encompass purchases from most grocery stores and supermarket chains – including food items (both groceries and pre-prepared meals), toiletries, cleaning supplies, and more. Virtually any grocery store that comes to mind falls under this category – like Loblaws, Metro, Sobeys, Wholefoods, and countless more. That said, some corner stores, discount groceries, and warehouse retailers may not count as groceries according to your credit card (and that includes Costco and most Walmart locations).

Gas is arguably the most straightforward bonus category and includes virtually all gas service stations including Shell, Esso, Petro-Canada and more.

Recurring bills covers recurring payments that are set to automatically charge your credit card every month – including cable, smartphone bills, streaming services, and even insurance payments. Certain recurring payments may not fall under this category however – monthly gym memberships and certain insurance payments may not, for example. It all really depends on whether the company or service provider charging your credit card sets the monthly payment as a pre-authorized charge (PAC).

Dining generally covers most dining establishments (including restaurants, fast food chains, cafes, and delivery services). That said, with so many restaurants and cafes (several of which are independently run), not every location will have the correct designation. It’s also worth noting only a tiny handful of cash back credit cards – primarily Tangerine and Simplii Financial – have dining as a bonus category.

Interest rates

Like all rewards credit cards, cash back credit cards have annual interest rates in the double digits – usually 19.99%. These interest charges can be completely avoided as long as you pay off your balance in full every month. But if you don’t, the interest you rack up will outweigh any cash back rewards you earn. If you anticipate you’ll regularly carry a balance month to month, consider a low interest credit card over a cash back rewards card – it could help your bottom line in a big way.

Tips for using a cash back credit card

What are the pros and cons of cash back credit cards?

• Accelerated spending categories offer higher-than-normal rates for purchases like gas, groceries, travel, and more
• Compared to points-based rewards cards, cash back cards offer a more streamlined and easy-to-understand method of reward calculation
• Cash back rewards can be used for statement credits, helping you pay off a credit card bill
• Welcome bonuses can offer big savings if used strategically

• Cash back cards with an annual fee may not be worth it for less-frequent users
• Interest charges from late or partial payments may end up cancelling out any rewards earned
• Many sign up offers contain spending minimums which some users may find challenging to meet

Also read:

• The best credit cards in Canada
• The best travel credit cards in Canada
• Best credit cards for groceries in Canada – by grocery store
• The best no fee credit cards in Canada