Imagine enjoying all the best credit card perks, without paying an annual fee. Well, Canadians can choose from an impressive selection of cards with no yearly fees that make this dream a reality. These cards not only save you money, but also offer enticing rewards like cash back and travel points. Here are our picks for the best no-fee credit cards in Canada.
Featured credit cards
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Best cash back card with no fee
SimplyCash Card from American Express
Earn 1.25% cash back on all purchases, plus 2% cash back on gas and groceries.
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Interest Rates:
21.99% purchase, 21.99% cash advance, N/A balance transfer
Welcome offer:
$100 value
Earn a bonus 5% cash back on all purchases (up to $2,000 in purchases). That’s on top of your everyday cash back earn rates. That’s up to $100 in bonus cash back.
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Best no forex card with no fee
Home Trust Preferred Visa
Get 1% cash back when shopping in Canada, and benefit from no forex fees on foreign purchases.
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Interest Rates:
21.99% purchase, 21.99% cash advance, N/A balance transfer
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Best travel card with no fee
American Express Green Card
Earn 1 point per dollar on all purchases, with the option of transferring points to airline partner programs.
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Interest Rates:
21.99% purchase, 21.99% cash advance, N/A balance transfer
Welcome offer:
$100 value
Earn 10,000 Membership Rewards points when you charge $1,000 in purchases to your card in the first three months of cardmembership.
Best no-fee credit cards by category
Need a card with no yearly fee? Scroll through the table below to compare card details of our top picks in this category.
Gold: Best no-fee cash back credit card in Canada
At a glance: The SimplyCash Card from American Express keeps things simple—and rewarding. The 1.25% base earn rate is among the most generous available in Canada, and it only gets sweeter from there on gas and grocery purchases, making this the best no-fee cash back card in the country.
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SimplyCash from American Express
Annual fee: $0
Welcome offer: Earn a bonus 5% cash back on your first $2,000 in purchases during your first three months (up to $100 in bonus cash back).
Card details
| Interest rates | 21.99% on purchases, 21.99% on cash advances |
| Income required | None specified |
| Credit score | 725 or higher |
Silver: Best no-fee cash back credit card in Canada
At a glance: As the only card in Canada that lets you pick your bonus rate categories, the Tangerine Money-Back card is a perennial favourite among Canadians looking for a flexible no-fee card that fits their spending habits. Cardholders select two cash back categories from an impressive list of 10 options. Those with a Tangerine Savings Account are treated to earning 2% on an extra category of their choice.
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Tangerine Money-Back Credit Card
Annual fee: $0
Welcome offer: Earn an extra 10% cash back during the first two months (up to $100 in cash back).
Card details
| Interest rates | 20.95% on purchases, 22.95% on cash advances and 22.95% on balance transfers |
| Income required | Personal or household income of $12,000 |
| Credit score | 660 or higher |
Gold: Best no-fee travel credit card in Canada
At a glance: Earn points on everyday purchases and enjoy the flexibility of redeeming them for a variety of rewards with this no-fee rewards credit card. Plus, Amex Membership Rewards are transferable at a 1:1 value to other frequent flyer and rewards programs, creating an opportunity to boost the value of your rewards.
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American Express Green Card
Annual fee: $0
Welcome offer: earn 10,000 Membership Rewards points when you charge $1,000 in purchases to your card in the first three months of cardmembership.
Card details
| Interest rates | 21.99% on purchases, 21.99% on cash advances |
| Income required | None specified |
| Credit score | 725 or higher |
| Point value | 1 Amex Membership Rewards point = $0.01 when redeemed with the Flexible Points Travel Program, $0.015 on average with the Fixed Points Travel Program, and up to $0.02 with airline points transfers. |
Gold: Best no foreign transaction fee card with no annual fee
At a glance: Did you know that every time you use your credit card outside of Canada, most card issuers charge a 2.5% foreign transaction fee for processing purchases made in a non-Canadian currency? The Home Trust Preferred Visa is the only no-fee card in Canada that doesn’t charge a forex fee.
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Home Trust Preferred Visa
Annual fee: $0
Welcome offer: This card does not have a welcome bonus at this time.
Card details
| Interest rates | 21.99% on purchases, 21.99% on cash advances |
| Income required | None specified |
| Credit score | 660 or higher |
Gold: Best low-interest rate credit card with no annual fee
At a glance: If you tend to carry a credit card balance from month to month, the smart financial move may be to prioritize low interest over chasing rewards. That’s where the Desjardins Flexi Visa comes in. It offers a rock-bottom APR, making it the best credit card in Canada with no annual fee and low interest.
Desjardins Flexi Visa
Annual fee: $0
Rewards: Does not offer rewards.
Welcome offer: None at this time.
Card details
| Interest rates | 10.90% on purchases and 12.90% on cash advances |
| Income required | Not specified |
| Credit score | Not specified |
Gold: Best no-credit credit card with no annual fee
At a glance: Canadians with low or no credit may want to consider a secured credit card, like the Home Trust Secured Visa. This card offers more flexibility than most secured credit cards by offering you two options: an interest rate of 19.99% with no annual fee, or a lower interest rate of 14.90% with a $59 annual fee. Home Trust reports payments to the credit bureaus, so using the card responsibly can help build or improve your credit score.
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Home Trust Secured Visa
Annual fee: $0
Rewards: Does not offer rewards.
Welcome offer: None at this time.
Card details
| Interest rates | 19.99% on purchases and 19.99% on cash advances |
| Income required | None specified |
| Credit score | 300 or higher |
Frequently asked questions
Advantages of a no-fee credit card
- Skip the yearly charge: A no-fee credit card is free to have at your disposal. Better yet, if you never carry a balance and you use a no-fee card that offers cash back or rewards, you’ll actually be in a better financial position than you would without the card. In many cases, the earn rate might be lower than with an annual-fee card; however, with a no-fee card, any rewards you earn can be a net positive—you don’t have to spend a certain amount every year to make up for the upfront charge.
- Save on certain expenses: A card that complements your spending habits and hobbies (like travel) can also save you a nice chunk of change on things like foreign transaction fees, insurance and rental cars.
Drawbacks of a no-fee credit card
- Ho-hum rewards and cash back: Your reward earning power can be somewhat lacklustre when compared to the revved-up rewards you’ll usually reap with premium cards that have an annual fee. For example, with the American Express Cobalt card, you’ll earn 5 points per $1 spent on groceries and restaurants, 3 points per $1 spent on streaming services, and 2 points per $1 spent on travel, transit and gas (with everything else getting you 1 point per $1). You can see that at those earn rates, points can pile up pretty quickly.
- Not-so-welcoming welcome offers: Because one of the major selling points of a no-fee card is that there is no fee, the welcome bonuses offered to attract new applicants are not as generous as cards with annual fees.
- Fewer perks: With few exceptions, no-fee cards lack the perks and benefits—particularly insurance—that tend to come with annual-fee cards. Typically (though not always), no-fee cards do include very basic protections, such as zero liability, purchase protection and extended warranty, but you’ll usually miss out on travel insurance, concierge service and perks, such as airport lounge access. Ultimately, you’ll have to weigh these benefits against the fees and decide whether a no-fee credit card works best for you.
What should you do with the money you saved with an annual fee?
With a no-fee card, you could save yourself $59 to $250 dollars a year. But make a conscious decision to do something with that money, like putting it into a high-interest savings account or into your registered retirement savings plan (RRSP) or tax-free savings account. It’s not a lot, but the compound interest you could earn makes it worthwhile. Use our compound interest calculator to find out how much you could grow your money.
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