The 6 best student credit cards in Canada for 2021

The 6 best student credit cards in Canada for 2021

• Best card for cash back: BMO CashBack Mastercard
• Best card for Air Miles: BMO Air Miles Mastercard
• Best for store rewards: PC Financial Mastercard and Triangle Mastercard
• Best card for travel rewards: TD Rewards Visa
• Best secured card for bad / building credit: Home Trust Secured Visa

The BMO CashBack Mastercard is a no annual fee rewards credit card that offers particularly strong returns on everyday essentials from grocery stores and supermarkets. It earns 3% cash back on the first $500 you spend on groceries every month and 1% on recurring bills up to $500 every month (0.5% cash back after that). For all your other everyday purchases, you’ll net 0.5% cash back without limits.

While there are rewards caps on the card’s two bonus categories, they do reset with the start of every new 30-day billing cycle. And at $500 per month in each category, they’ll be hard to max out, especially on a student’s budget.

Why we like it:

This credit card has the trio of features that most appeals to students: 1. no annual fees 2. the ability to earn straightforward rewards, and 3. no income requirement.

Since this is a cash back credit card, students won’t have to think about the complexities or limitations of loyalty points programs, and can instead get an injection of cash. This can be particularly valuable for students who want to focus on saving on their everyday purchases rather than racking up points for discounted flights. Accessing your cash back is also extremely easy, as you can redeem for as little as $1 at any time instead of having to wait a month or even a year to access your rewards. The card’s three-month welcome offer of 5% is also strong, particularly for a no fee card geared towards students.

Additional perks:

This card offers purchase and extended warranty protection and discounts on rental cars from eligible National and Alamo agency locations.

If the aforementioned BMO CashBack Mastercard piqued your interest but you’re looking to invest in a points program and regularly shop at Air Miles partner stores (think Sobeys, Metro, Shell, Staples, among many others), the BMO Air Miles Mastercard may be more up your alley.

This card offers triple the miles at Air Miles partner stores, 0.04 miles per dollar on all other purchases, charges no annual fee, and there’s no income requirement to qualify. The card also features a welcome offer of 800 miles when you spend $1,000 on the card in the first three months.

The miles earned on this card can be redeemed for either Dream Miles (which can be put towards free or discounted flights on select airlines) or Air Miles Cash (can be redeemed for e-gift cards or discounts at Air Miles partner stores in increments of 95 miles for $10).

Why we like it:

The BMO Air Miles Mastercard offers multiple opportunities to double dip your rewards, especially if Air Miles stores are located near your home, dorm, or campus. Not only will it earn three times the miles at partner stores (roughly the equivalent of 1.26% – 1.5% in rewards per dollar spent, depending on what you redeem for), you can also earn miles twice when you show your Miles Collector Card in addition to your credit card.

We also appreciate the Air Miles online shopping portal, airmilesshop.ca. This website is filled with deals that either help you rack up bonus miles or discounts when shopping online from a huge range of retailers including Apple, Walmart, Amazon, Nike, H&M, and more.

Additional perks:

This card offers the same side perks as the BMO CashBack Mastercard: purchase and extended warranty protection as well as discounts on rental cars from eligible National and Alamo agency locations.

With the PC Financial Mastercard, students will earn 25 PC Optimum points per dollar at all Shoppers Drug Mart locations, at least 30 points per dollar when filling up their tank at Esso and Mobil gas stations, and 10 points per dollar on all other purchases.

Cardholders can also regularly snag points bonuses when shopping at PC stores including Loblaws, No Frills, Real Canadian Superstore, Joe Fresh, and more.

PC Optimum points can be redeemed at affiliate retailers (Shoppers Drug Mart and Loblaws banner grocery stores) in increments of 10,000 points for $10. So, 10 points is like the equivalent of 1% in cash back store credit, 20 points is the equivalent of 2%, and so on.

This card has no income requirement, no annual fee, and as a retail credit card, the application requirements are considerably more lenient even for students with no prior credit history. That said, it’s not a full-fledged student card and therefore may require you to earn some form of income.

Why we like it:

With a minimum earn rate of 10 points per dollar (the equivalent of 1% in rewards), the PC Financial Mastercard manages to out-earn most entry-level cash back or points cards (which start offering rewards from 0.5%) on general everyday purchases.

PC Optimum points are also redeemable at over 2,500 stores associated with the PC Optimum program – from Shoppers Drug Mart and JoeFresh to popular grocery stores such as Loblaws and No Frills – so it won’t be difficult to put your card’s points to good use.

Additional perks:

Cardholders receive basic coverage in the form of free purchase assurance and free extended warranties (up to one year). PC Optimum does regularly run personalized offers and in-store promotions to help you rack up additional points when shopping at affiliated retailers like Joe Fresh and Loblaws banner grocery stores like No Frills and Real Canadian Superstore.

Like the PC Financial Mastercard mentioned above, the Triangle Mastercard from Canadian Tire is a retail credit card that has minimal eligibility requirements and is quite easy to get (even for students).

The Triangle Mastercard earns a whopping 4% in Canadian Tire Money (CTM) at Canadian Tire stores and affiliates of the retail giant including Mark’s clothing store and Sport Chek. You’ll even get a boost of 1.5% in CTM when shopping at virtually any grocery store. CTM can be redeemed for discounts or free purchases from Canadian Tire.

As an added plus, the Triangle Mastercard offers no fee-financing on eligible purchases of at least $150 from Canadian Tire. So, you can make a big-ticket purchase, like an AC unit or television, and pay it off in smaller monthly installments without interest (provided you make each monthly payment, of course).

Why we like it:

The Triangle Mastercard earns quadruple the rewards on everything Canadian Tire stocks on its shelves as well as Sports Chek and Mark’s. The card’s no-fee financing option is also a great feature for students on a budget who need to space out payments over a longer period of time.

Additional perks:

As covered above, the Triangle Mastercard offers no-fee financing on eligible purchases from Canadian Tire. Cardholders can also take advantage of personalized offers to earn extra CTM on select purchases. Finally, through Canadian Tire Bank, cardholders can use their Triangle Mastercard to pay for major bills like hydro and tuition, earning more rewards in the process (though, we’d strongly caution against this as it can lead to larger balances and potentially hefty interest charges if the credit card statement isn’t paid off in full every month).

If you’re a student who travels regularly – whether it’s to fly back home during the holidays or satisfy your lust for exploring new places – the TD Rewards Visa Card could be your ideal match.

The no-fee, entry-level credit card earns TD Points which you can redeem for flights, hotel stays, car rentals, or virtually anything available on Expedia – one of the world’s largest travel search engines. Points are redeemable online from the ExpediaforTD website in flat increments of 100 points for $1 (or 1 point for 0.5 cents).

The card earns a solid 3 points (1.5% in travel rewards) per dollar on travel you book online from the ExpediaforTD website, 2 points (1%) per dollar on groceries, restaurants and fast food, and 1 point (0.5 cents) on everything else.

Why we like it:

As far as travel rewards programs go, TD Rewards is one of the easiest and most straightforward, making it the perfect fit for credit card beginners. 1 TD point is always worth 0.5 cents when used online at ExpediaforTD and can be used to book flights on virtually any airline of your choice. There are no complicated rewards charts, fluctuating points values, or high and low seasons.

The fact it earns triple the points on travel booked from ExpediaforTD also means students who do travel once or twice a year can earn a significant boost in rewards.

Additional perks:

This card offers purchase and extended warranty protection and discounts on rental cars from eligible Avis and Budget agency locations.

If you’re a student who’s racked up some debt or solely want to focus on building a credit history (rather than earning rewards) then the Home Trust Secured Visa could be an option worth considering. As a secured credit card, the Home Trust Secured Visa operates a little differently than the others on this list. You’ll put forward a deposit (minimum of $500) and use that as your card’s credit limit. By making purchases against your deposit and paying back what you owe on time every month, you’ll develop a good track record of paying off debt, in turn, developing a good credit history. There’s no income requirement and no annual fees.

Why we like it:

Since this card’s credit limit is tied to a deposit of the cardholder’s own money and can start as low as $500, it can help curtail bad habits related to overspending while also helping students develop a more conscious approach to using credit cards. The Home Trust Secured Visa also accept applicants with bad credit histories, including those who have been bankrupt in the past, which can be a saving grace for students who have run into trouble and racked up debts on a previous credit card or other loans (not associated with OSAP) such as car loans or payday loans.