Saturday, August 20, 2022

What’s The Best Cash Back Rewards Credit Card

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Scotia Momentum Visa Infinite*

2020 BEST Credit Cards for Groceries (Highest Cash Back or Rewards on Grocery Purchases!)

The Scotia Momentum Visa Infinite is a strong cash back card that offers competitive perks and rewards and comes with an excellent welcome offer. Cardholders can earn an impressive 4% cash back on groceries, recurring bills and subscription servicesa structure that may well suit large families or households. Transportation expensesgas and public transitearn at 2%, and everything else comes in at 1%. Note that there is a $25,000 cap on qualifying spends in each category any purchases exceeding that amount will earn the base 1%. Theres also $1,000 in mobile device insurance and $1,500 per person in trip cancellation protection.

Since this is a Visa Infinite card, there is a minimum annual income of $60,000 or a minimum household income of $100,000 requirement to be approved for the card. The annual feenow $120will be waived for new applicants for the first year.

  • Annual fee: $120
  • Interest rates: purchases 20.99%, cash advances 22.99%, balance transfers 22.99%
  • Welcome bonus: You can earn 10% cash back on all purchases for the first 3 months
  • Earn rate: 4% cash back on groceries, recurring bills and subscription services 2% on public transit and gas and 1% on everything else
  • Income requirement: $60,000 or $100,000
  • Additional benefits: Mobile device insurance travel insurance concierge service Visa Infinite Dining and Wine Country Series

How You Get Cash Back With A Credit Card

Earning process

Lets say you have a card that offers 2% cash back on groceries. If tomorrows weekly run to the supermarket winds up costing you $100 and you pay with your card, youll earn $2 in cash-back rewards. The running total of how much cash youve earned should be easy to find on your monthly statement or via your online account.

Its important to look closely at your cash-back credit cards details to find out just how much you can earn on your purchases. Earn rates can vary based on time, like when an introductory offer provides a higher rate of rewards, and on what kinds of products you purchase. Tangerines World Mastercard, for example, pays 2% cash back on up to three categories of items, but only 0.5% on all other purchases.

Redemption process

Although its called cash-back, these rewards can come in several forms

In many cases, you can use cash-back rewards to pay down your credit card balance, but rules may apply. Some cards require you meet a minimum threshold of cash-back rewards before redemption. If you dont have enough points available, youll have to sit on them until you do.

Some bank-issued credit cards may be able to deposit cash back rewards directly into your linked savings account a convenient way to turn rewards into actual cash.

Best World Elite Card With Cash Back On Restaurants And Entertainment

Desjardins Cash Back World Elite® Mastercard®

  • 19.99% for purchases and cash advances.
  • Rewards Rate1%-4%4% on groceries, 3% on restaurants, entertainment and public transportation, and 1% on everything else with no cap on spending.
  • Intro Offer
  • Our TakeWhy we like itYou can earn cash back at impressive rates in four spending categories with no limit to how much you can collect.Pros
  • The bonus category rates have unlimited earning potential, so theres no need to worry about annual spending caps.
  • Collect cash back when you travel outside of Canada with the Mastercard Travel Rewards program.

Cons

  • You have to earn $100 before redeeming cash back. Even then, it only appears as an account credit.
  • Limited insurance coverage, with trip insurance only covering three days.
  • Product Details
  • 4% on groceries, 3% on restaurants, entertainment and public transportation.
  • 1% on everything else.
  • Redeem cash back as a statement credit after earning $100.
  • $100 annual fee.
  • Mastercard World Elite Benefits include Mastercard Travel Rewards, Mastercard Airport Experiences provided by LoungeKey, Mastercards Priceless Cities program and Boingo Public Wi-Fi.
  • Cash back when you travel outside of Canada with the Mastercard Travel Rewards program.
  • Up to 25% off Hertz car rentals and up to 10% off Thrifty or Dollar rentals.
  • Access to Accord D Financing and cash advances up to $5,000 a day at a rate of 19.9%.
  • Preferred rates: 19.99% for purchases and cash advances.
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    Best For No Annual Fee

    Who’s this for? The Citi® Double Cash Card is a solid choice if you’re looking to maximize your money without having to worry about rotating rewards categories or joining a credit union. Earn 1% cash back on all purchases and 1% when you pay off your bill.

    There’s no annual fee and an easy-to-use cash-back program with no activation required and no limit to how many points you can earn. Cardholders can redeem cash back for checks or statement credits once they’ve earned $25 worth of points. Plus, if you forget to pay your card, Citi will waive your first late fee.

    Although this card doesn’t have a welcome bonus, the Citi® Double Cash Card offers cardholders a 0% APR for the first 18 months on balance transfers initiated within four months of opening an account. After the intro period ends, there’s a 15.49% – 25.49% variable APR.

    In addition to the cash-back rewards, there are a number of special cardmember programs, including Citi Entertainment, which gives cardholders first access to purchase tickets for thousands of concerts and events. The card also provides access to Citi® Identity Theft Solutions, a service that will help you if you’re a victim of identity theft.

    Citi Custom Cash Card: Best For Flexibility

    Whats The Best Credit Card To Start With / 10 Best Credit Union Credit ...

    As the name suggests, this card is meant to be customized to fit your lifestyle. It earns 5% cash back on up to $500 in purchases each billing cycle on your top spending category . The 10 eligible categories include things like grocery stores, restaurants, gas stations, gym memberships and home improvement stores.

    If you maximize the cash-back earnings each billing cycle, you could earn up to $300 in cash-back rewards each year. This is a pretty great offering for those who want to maximize their everyday purchases but have a hard time fitting their budget into other cards bonus categories.

    Official application link: Citi Custom Cash.

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    Managing Multiple Cash Back Credit Cards

    If you are planning to open several different cash back credit cards in an effort to extract the maximum value based on your spending, be sure to do so with caution. So long as your credit history is strong, you have the option to apply for and use many different cash back credit cards with varied programs.

    Some cardholders have a flat-rate card used for everyday purchases, a tiered card used only for the higher-level categories, and a bonus card to maximize rotating categories. This strategy can work well in earning the most cash back over time, but it requires some work.

    Always have a plan in place for making on-time payment if you have multiple credit cards, and have a set spending limit for each credit card, each month. Taking these simple steps can make all the difference in managing your cash back credit cards responsibly or getting in over your head with credit card debt.

    Multiple cash back credit cards and credit score

    Having multiple cash back credit cards also impacts your credit score, both at the time you apply and as you manage spending and repayment over time. Taking out multiple credit cards in a short period of time has the potential to drop your credit score by several points. Creditors view an influx of new credit as a negative because it gives the appearance that you are in need of cash you do not have on hand. Make sure to wait between applying for credit cards.

    Why Did We Choose These Products

    These cards represent some of the best cards you can use. In each case, they deliver generous incentives, simple terms, year-end cash back rewards, bonuses for spending a specified amount when you open an account, and low introductory rates.

    Moreover, some of these options also include higher cash back incentives for specific categories So, if your company uses these services often, it is a convenient way to maximize cash back rewards.

    Also Check: How To Apply For Credit Card Merchant Account

    Blue Cash Preferred Card From American Express: Best For Gas And Supermarkets

    Another rewards credit card with some intriguing bonus categories is the Blue Cash Preferred Card from American Express. This is a great all-around cash-back card because it earns solid cash back on categories that dont always get a lot of attention from other cards. When Amex added streaming services and transit to this cards bonus categories, it got a major bump in value. Just remember that it charges a 2.7% foreign transaction fee , so while its a great option for use in the U.S., you shouldnt use it when youre traveling abroad.

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    What Are The Types Of Rewards Cards

    Canada’s Top Travel Rewards & Cash Back Credit Cards 2022

    Rewards cards are typically broken into four big categories: general points cards, cash-back cards, travel-rewards cards, and store cards.

    The quick-and-dirty info on these different types is:

    • Flexible-points cards will typically give you the best earning opportunities, but also require the most work to optimize your spend and redeem your points.
    • Cash-back cards are the easiest type of rewards card because you dont have to mess around with redemption and conversion. You just get cash. But they also tend to be less lucrative.
    • Travel-rewards cards can be fairly lucrative, but also generally more restrictive on earning and redemption versus flexible-points systems. Though this isnt as true as it used to be.
    • Store- or brand-specific cards are the most restrictive in terms of where you can earn points typically far higher earn rates at affiliated stores and brands and redemption often you can only redeem for affiliated store credits. However, within those bounds, they can sometimes be even more lucrative than other points cards. So if you are a regular shopper at a store or brand group with a points card, its worth checking out.

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    Who Should Apply For A Rewards Card

    If you pay for purchases with cash or debit, you’re leaving extra money on the table. Using one of the rewards credit cards mentioned above can earn you more than $2,000 in rewards over five years. This is a large amount of money that can help offset the cost of past purchases or fund upcoming expenses.

    Rewards credit cards often require good or excellent credit , so check your credit score before applying for one of these cards.

    Great For Gas And Groceries

    MBNA Smart Cash Platinum Plus® Mastercard®

    • 19.99% on purchases, 22.99% on balance transfers & access cheques, and 24.99% on cash advances.
    • Rewards Rate5% intro offer. 2% on gas and groceries, and 0.5% on everything else.
    • Intro OfferUp to $150Earn 5% Cash Back on gas and groceries for the first 6 months until the total gas and grocery purchases in the applicable month reaches $500.
    • Our TakeWhy we like itThe MBNA Smart Cash Platinum Plus Mastercard is a no-frills cash back card that can help cardholders earn a useful amount of rewards on gas and grocery purchases.Pros
    • The welcome offer, 5% cash back on gas and groceries, can help cardholders save more during the first six months of activity. The 2% cash back earn rate after that isnt bad, either.
    • No annual fee, which applies to a maximum of nine additional cards.

    Cons

    • The 2% cash back earn rate on gas and groceries only applies to the first $500 spent every month.
    • The interest rate on cash advances is higher than what many other cards charge.
  • Product Details
  • Welcome offer: Earn 5% cash back on gas and groceries for the first six months, up to $500 in applicable purchases per month.
  • Earn 2% on gas and groceries once the welcome offer expires, up to a $500 monthly spending cap.
  • Earn 0.5% cash back on all other eligible purchases.
  • No annual fee.
  • Add up to 9 authorized users with no additional annual fee for each user added.
  • Access to emergency services, including emergency card replacement, trip assistance and legal assistance.
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    Best Secured Card For Cash Back

    Neo Card with Credit Builder

    • Interest Rates19.99%-24.99%Interest rates range from 19.99%-24.99%. The standard rate on purchases and cash advances is dependent on Neo Financials assessment of your credit application, credit profile, and your province.
    • Minimum Deposit
    • Our TakeWhy we like itThe Neo Card with Credit Builder is a no-fee secured credit card that earns cash back rewards, builds credit, and offers access to high-interest savings. Pros
    • A small $50 minimum deposit makes this card accessible to consumers of all budgets.
    • Earn up to 15% cash back on purchases with select Neo partners.

    Cons

    • Interest rates could be as high as 24.99% for some users.
    • Neo Financial only reports to TransUnion, so you wont build credit history with both credit bureaus.
  • Product Details
  • Earn a 1% minimum, and a 4% cash back average, on purchases with Neo partners through the Standard rewards plan. Upgrade to Plus or Ultra rewards plans to increase your earn rate.
  • No annual fee for the Standard rewards plan.
  • $50 minimum security fund deposit required.
  • $10,000 maximum security fund deposit.
  • To apply, visit member.neofinancial.com and create an account. Select Credit, pick either the Neo Card or the Hudsons Bay Mastercard, and then choose Credit Builder as the type of credit you are looking for.
  • Hard credit checks are/are not made on Neo Credit Builder applications.
  • Guaranteed approval, as long as you meet eligibility requirements.
  • Ability to upgrade to an unsecured rewards credit card.
  • Best Cash Back Card For Choosing Your Own Categories

    Whats The Best Cash Back Credit Card

    Our Rating:

    • Get a 3rd 2% rewards category if transferring rewards into a Tangerine savings account
    • Valuable insurances including rental car and mobile device insurance
    • Access to Boingo Wi-Fi at over 1 million hotspots worldwide
    • 2% Money-Back Rewards in two categories of choice
    • 0.5% Money-Back Rewards on everything else
    Welcome bonus

    Earn an extra 15% back when you apply for a Tangerine World Mastercard by January 31, 2022 and spend up to $1,000 in everyday purchases within your first two months.*

    Annual fee:

    Minimum income: $60,000 or $100,000

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    There Are Terms & Conditions To Qualify

    Yes, you need to understand whether you qualify for the welcome bonus, or you may not get it at all, no matter how much you spend in your first months as a cardholder. Typically its pretty simple: if you had the same card, or a very similar card from the same issuer, within the past couple of years, theres a chance you wont qualify for the welcome bonus. This is the card companies trying to avoid people gaming the system too much.

    With that in mind, if youre salivating over an Amex card and youve never held an Amex card of any sort, theres little chance you wont qualify for the welcome bonus . If youre concerned you may not qualify, just make sure to read the terms and conditions of the bonus on the issuers site.

    Does It Have Any Redemption Limitations

    Look carefully at your rewards program. Do you need to accumulate a minimum before you can cash in your rewards? Some credit card companies will set a minimum, such as $20 or $25, that you have to earn before you can cash in.

    Likewise, make sure you understand how you can get your rewards. Most rewards programs are generous with redemptions, but quite a few may offer only one or two methods of cashing in.

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    Best Cash Back Cards For Businesses

    Business owners love to turn a profit, so it makes sense theyd appreciate cash back from their credit cards, too. Weve selected three top business credit cards that have a lot to admire, including generous cash rewards and valuable benefits.

    $0Good/Excellent

    The Ink Business Cash® Credit Card from Chase offers three reward tiers. The top tier provides 5% cash back on the first $25,000 spent annually on cable, internet and phone service, and purchases from office supply stores. The 2% cash back tier rewards you on the first $25,000 you spend yearly at restaurants and gas stations. All remaining purchases earn an unlimited 1% cash back.

    Business-friendly perks include employee cards at no additional cost, gift card options, and extended warranty protection. You also get protection against theft or damage to purchased items, up to the claim and account limits.

    $95Good/Excellent

    The rewards you earn from the Ink Business Preferred® Credit Card take the form of points redeemable for cash at the rate of 100 points to the dollar. You can earn a large number of bonus rewards by spending the required amount on purchases during the first three months.

    Mbna Rewards World Elite Mastercard*

    Best Cash Back Credit Cards

    If you want to use your rewards toward different types of merchandise, gift cards, travel and other redemption items, youre looking for a flexible rewards card. These kinds of rewards programs dont limit you to one kind of redemption or a single retailer or family of retailers. Just like with other rewards cards, earn rates will help determine the best of the best, along with valuable perks and benefits. Our pick in for the category of flexible rewards is the MBNA Rewards World Elite Mastercard.The MBNA reward program is the very definition of flexible. You can redeem MBNA points for merchandise, gift cards, travel, cash and even charitable donations. Cash is the most flexible reward of all, right. When you use your MBNA Rewards World Elite Mastercard to make purchases youll have a base rate of 1 point per $1 spent, and an accelerated rate of 5 points per $1 spent on groceries, restaurants, digital media, memberships, and household utilities up to $50,000 per category annually. When you redeem for travel, thats a 5% rate of return. Cash redemptions come in at 4.15%, a rate that rivals most cash back credit cards. Valuable extras include 10% of the total annual point earned in the form of Birthday Bonus points. An impressive promotion for new members is earning up to 30,000 MBNA points.

    Our methodology

    What does the * mean?

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