hey guys it's Adrian here the Canadian in a t-shirt and today I'll be breaking
down the top five best no fee cash back credit cards in Canada for 2020 all the
cards on this list are free meaning that they do not charge an annual fee but
they still offer great cashback bonuses so there's no reason not to sign up for
them since there's no annual fee most of these cards are targeted towards people
with modest incomes lower credit scores and even students so almost anybody can
qualify for these cards if you have a high income and you spend tens of
thousands of dollars a year on gas groceries and other expenses and check
out my last video where I broke down the top five premium cash back credit
cards in Canada all of which have an annual fee but if you spend enough with
them the cashback more than makes up for this fee click the link at the top right
to check out those premium credit cards and to learn how to maximize your signup
bonuses with those cards also if you're interested in applying for any of the
cards I'll be talking about today I'll include a link in the description box
below I also want to give a quick warning that all of these cards are a
great way to earn extra money in cash back but only spend what you can afford
you must pay your full statement balance each and every month otherwise you'll be
charged upwards of 20% interest the cards on this list can save you
between 2% and 4% in cash back but if you can't pay your credit card bills
in time that 2 to 4% means nothing compared to the 20% of interest
charged against you so be smart control your spending and pay your bills on time
so with that let's jump into the top 5 No Fee cash back credit cards in Canada
starting at the top we have one of the best cash back credit cards out there
the Rogers world elite MasterCard this card has no annual fee but even so it's
as good or even better than a lot of cards that charge $100 or more in annual
fees the biggest downside with this card is that it's hard to qualify for you
really need to have a high income unlike the rest of the cars on this list but
let's start with the good stuff this card has no annual fee but it still
offers 1.75% cash back on every purchase you make
that's the highest all-around cash back rate available for no fee credit cards
and it's almost as good as a 2% cashback grade you get with the American Express
simply cash preferred card which is my favorite all-time credit card but the
American comes with a $99 annual fee and the
rogers mastercard has no annual fee so if you use this rogers mastercard for
every purchase you make and you spend let's say $10,000 a year
you'll earn yourself $175 in free money as
cash back with no fees at all even better if you purchase any rogers
products like your internet cable or phone bill this card will earn you 2%
2% cashback on those bills finally if you make a purchase in a foreign
currency this card will earn you 4% in cashback all credit cards including this
one charge you a 2.5% conversion fee whenever you make a purchase in
anything other than canadian dollars but using this rogers mastercard you'll earn
yourself 4% in cashback giving you a net gain of 1.5% so this card is incredibly
useful whenever you travel outside of canada or whenever you buy something
online in US dollars such as shopping on amazon.com
instead of amazon.ca in my last video i recommended the home trust preferred
visa for foreign purchases the home trust visa gives you a 1% cash back on
everything and it never charges you that 2.5% conversion fee giving you a
net cashback of 1% on foreign purchases both the rogers mastercard and
the home trust visa are both excellent and you should definitely have at least
one of them whenever you travel outside of canada the home trust visa is easier
to qualify for and since it never charges you the currency conversion fees
you pay less upfront the rogers world elite mastercard requires a high income
to qualify for and it does charge you that 2.5% conversion fee when you're
traveling outside of canada but it will also pay you more money in cashback
month down the road when you finally redeem overall i'd say choose the rogers
worldly mastercard if you qualify for it if not take the home trust preferred
visa the rogers World Elite mastercard also comes with some pretty nice benefits
usually reserved for premium cards with the annual fee these benefits include
free rental car damage insurance and emergency travel medical insurance also
it offers $25 of free cash back when you sign up for this card honestly this card
is pretty amazing it has no annual fee and it offers some great cashback rates
but the biggest problem with this card is that it's very tough for most
Canadians to qualify for you'll need to have a really strong credit score and
you'll need to have an income of at least $80,000 a year to
qualify for this card I know that sucks and it's probably a deal-breaker for a lot of you
guys I know for a fact that the big banks like TD BMO and CIBC
won't check your income when you apply for a new credit card unless there are
some glaring red flags the banks just want your business and so if you fudge
your numbers and inflate your income a little bit during the application
they'll probably approve you but Rogers requires a much steeper income of 80k
and I don't know how strictly they enforce this rule when I got approved I
didn't have to provide any evidence of my income but just to be safe I wouldn't
risk lying about my income just to get this card it's a great card but if
you're making less than 70 K a I wouldn't risk applying for it but don't
worry all the other cars on this list are available for Canadians with low
incomes even for students in fact if you make at least $15,000 a year you will
qualify for all of these next four cards moving on to number two is the American
Express simply cash card after the Rogers world elite MasterCard this
American Express offers the second best all-around cashback rate for no-fee
credit card so if your income isn't high enough to qualify for the Rogers
MasterCard definitely apply for the American Express simply cash this card
has no annual fee and it offers 1.25% cash back on
every purchase you make this card is like the little brother of the American
Express simply cash preferred card which offers 2% cash back on every
purchase but it comes with a $99 annual fee let's do some quick
math to compare these two American Express cards if you spend at least
$13,000 a year then it's better to go with the big brother the American
Express simply cash preferred card to get that higher 2% cash back
rate if you spend less than $13,000 a year
stick to the little guy the American Express simply cash card to get that 1.25%
1.25% cash back rate the $99 annual fee for
the big brother just isn't worth it to make this card even better if you click
my referral link in the description box below you'll be eligible for promotional
signup bonus doubling your cash backed by giving you 2.5% cash back on
every purchase you make for the first three months or the first $6000
you spend whichever one comes first click my referral link and submit
your application online to take advantage of this great promotional
bonus plus I'll get a nice referral bonus too. The American Express simply
cash card also includes some of its Big Brother's benefits including the front
of the line early access to concerts and sporting events using your American
Express you can buy tickets to a concert or a basketball game
three to five days before the tickets go on sale to the general public I
personally love this you're paying the same price for your ticket but you get
to secure your seat days before everybody else so you almost never have
to worry about the show selling out just a heads up not all vendors in Canada
accept American Express all the big stores like the Walmart's best buys and
Sobeys they all accept American Express but a lot of the smaller shops don't so
just to be safe always carry a Visa or MasterCard with you also you need to
have an income of at least $15,000 a year to qualify for this card but even
if you're a student you'll probably still get approved and number three we
have the tangerine money-back MasterCard this card offers flexibility and allows
you to customize your cash back rewards based on your spending habits this
tangerine card offers you 2% cash back on purchases you make in three
out of the following categories groceries monthly bills gasoline
furniture drug stores restaurants home-improvement hotels entertainment
and public transit and parking you get to choose three out of these ten
categories and you'll earn 2% cash back on every purchase you make in these
three categories everything else will only earn you the 0.5% cashback
this card is really cool since you can customize your cashback to fit your
spending habits if you don't have a car then skip the gasoline category and
choose entertainment instead although I would recommend scratching off groceries
and restaurants because the next two credit cards on my list are better
suited for those two categories to make this card even better they offer a
generous promotional signup bonus if you apply for this card by January 31st 2020
you'll be able to double your cash back to 4% cashback in your three
categories for the first three months after that it will return to the 2% cash
back this is one of the best promotional offers I've seen for a No Fee credit
card so definitely take advantage of it also to qualify for this card you only
need an income of $12,000 at number four we have the
Simplii financial cashback Visa Card this is a new card and it's the only credit
card I've ever seen tailor-made for restaurants and eating out this card has
no annual fee and it offers a whopping 4% cashback on restaurants
bars and coffee shops however this amazing cashback is limited
to a total annual spend of $5,000 if you spend more than
$5000 a year on restaurants the cashback will drop to 0.5%
0.5% however this $5,000 limit is $416 a month
month and hopefully you're not eating out that much you should save and invest
that money instead this card also offers 1.5% cash back on gasoline groceries
monthly bills and drugstores everything else only gets you 0.5% cash back but
you should be using your American Express or your Tangerine MasterCard
for everything else to make this card even better they're offering a signup
bonus of 10% cashback on restaurants bars or coffee shops for the
first four months or the first $500 you spend after the promotional
period it returns to the 4% cashback rate and to qualify for this
card you'll need an income of $15,000 and at number five we have the CIBC
dividend Visa card this card is great specifically for groceries and it offers
a really generous signup bonus this card has no annual fee and offers 2% cashback
on groceries everything else will only get you 0.5% cash back for the first
$6,000 after you spend $6,000 every purchase you make will get you 1%
1% cashback I would only really use this card for
groceries to get that 2% cash back and then for everything else use the
American Express or the tangerine MasterCard also if you spend more than
$5000 a year on groceries I would go with this cards Big
Brother the CIBC dividend Visa Infinite card this card has a $99
annual fee but it offers a whopping 4% cashback on gasoline and
groceries so it more than makes up for this annual fee any less than $5,000 and
that annual fee just isn't worth it and you should stick to the little guy the
CIBC dividend visa and get that 2% cashback on groceries with no
annual fee one of the best things this card has going for it is it's amazing
sign up bonus this card offers a promotional signup bonus of 5%
cash back on every purchase you make for the first four months or $2,000 you
spend even a lot of premium credit cards don't offer promotional bonus this good
so definitely take advantage of it this card requires an income of $15,000 but
if you're a student you can apply for a student version of this credit card even
if you have zero income this is one of the best student credit cards out there
so those are the top five best no fee cash back credit cards in Canada let's
take a look at this table to summarize each of these cards and to figure out
which card works best in different situations a number one we have the raw
world elite MasterCard this card offers 1.75% cash back on everything 2%
cash back on Rogers products and 4% cash back on foreign purchases
this card comes to the promotion of $25 of free cash back but this card is very
hard to qualify for and requires a high income of at least $80,000 a year
another great card for foreign purchases is the home trust preferred visa this
card offers 3.5% cashback on foreign purchases and 1% cash
back on everything else if you can't qualify for the Rogers
MasterCard the American Express simply cash card offers the best flat rate at
1.25% cash back on every purchase you make as a signup
bonus you can double your cash back at 2.5% for the first three months the
tangerine MasterCard gives you flexibility by offering you 2%
cashback on three categories as a sign up bonus you can double your cash back
to 4% for the first three months the simply financial visa is the
best for restaurants giving you 4% cash back on restaurants bars
and coffee shops and 1.5% cash back on groceries bills gasoline and drugstores
as a signup bonus you can get 10% cashback on restaurants for the first 4
months and the CIBC dividend visa is great for groceries giving you 2%
cashback at all grocery stores and as a signup bonus it gives you 5% cash
back on every purchase you make for the first 4 months so now let's look at when
we should use these credit cards to maximize our total cash back whenever
you're making a foreign purchase in any currency other than Canadian dollars use
the Rogers world Elite MasterCard if you can qualify for it if not use the home
trust visa for groceries stick to the CIBC dividend visa for restaurants
definitely use the Simplii financial visa to get that 4% cash back and now
for everything else find the 3 categories that you spend the
most amount of money on and use the tangerine MasterCard on these 3
categories to get 2% cash back and finally for everything else use the
American Express simply cash card to get 1.25% cash back or if you
qualify for the Rogers world elite MasterCard stick to that card to get 1.75%
1.75% cash back on everything follow these rules and you'll be able to
maximize your cash back and earn yourself free money all with no annual
fee so there you have it those are the top 5 best no-fee cash back credit cards
in canada for 2020. Four out of these 5 cards are designed for lower income customers
so almost everybody should be able to qualify for them none of these cards
have annual fee so you really have nothing to lose with
these cards you only have free money and cash back to gain these are cards that
you can keep and hold on to for life there's no annual fee so there's no
reason to ever cancel these cards use them and day by day you'll be earning
yourself free money and cash back and you'll be building your credit score
along the way thanks for watching guys and be sure to LIKE comment and
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the comments down below what are some of your favorite Canadian credit cards? if
there are any credit cards that I've missed I would love to hear about them
be sure to tune into my next video where I'll be returning to my millennial
investing series and I'll be talking about ETFs and mutual funds and how to
diversify your portfolio thanks everyone and I'll see you guys on the next
episode of the Canadian in a T-shirt bye guys