Compare Credit Cards in Canada

In terms of acceptance in Canada, Visa and Mastercard are nearly identical: both are accepted almost everywhere. Differences lie in insurance and rewards, which vary mainly by card issuer (Desjardins, Scotiabank, TD, CIBC, BMO, RBC). The real difference lies in the issuing bank rather than the network: annual fee, rewards structure, insurance cover and income requirements are all set by the bank, so compare those first.

Interac is Canada's debit payment network. Unlike many countries, Canadians heavily use Interac debit cards for daily purchases and Interac e-Transfer for person-to-person payments. All Canadian banks support Interac. Interac e-Transfer also lets you send money by email or phone number from the banking app, usually free on a chequing account and settled within minutes.

American Express generally charges merchants higher acceptance fees than Visa and Mastercard. Some small shops, restaurants and independent grocers therefore refuse Amex, and Costco does not take it in Canada. However, major chains, hotels and online retailers generally accept it. Acceptance is improving in large chains, airlines and hotels, but small independents often decline it, so an Amex works best as a second card rather than the only one.

Deposits are protected by CDIC (Canada Deposit Insurance Corporation) up to CA$100,000 per eligible deposit category, per member institution; in Quebec, Desjardins caisse deposits fall under the Autorité des marchés financiers. For credit cards, Visa's zero liability policy protects cardholders against fraudulent purchases reported promptly. Credit card balances, by contrast, are not deposits and carry no such protection; what protects the holder there is the chargeback process and the zero-liability rule for fraudulent transactions.

Cashback is simpler and offers guaranteed value: from 0.5% to 4% by category on Desjardins Cash Back cards, 1% uncapped on the Home Trust Preferred Visa. Points (Aeroplan, Scene+, Membership Rewards) can offer more value if redeemed for flights or stays, but their value varies. If you travel frequently, points are often more rewarding. Points can be worth more than cashback when transferred to an airline partner, but they expire and lose value if redeemed through a merchandise catalogue, so match the card to your habits.

Desjardins charges 2.5% on every foreign currency purchase (USD, EUR, etc.), and Amex applies the same rate. The Scotiabank Passport Visa Infinite ($150/yr) and the Home Trust Preferred Visa (no annual fee, not available in Quebec) charge no foreign transaction fee. Paying in the local currency rather than accepting the terminal's conversion avoids a further markup.

Some banks waive the fee in the first year or with a banking package: the Scotiabank Passport Visa Infinite, for example, has no annual fee with the Ultimate Package. No-annual-fee cards like the Desjardins Cash Back Visa or the Home Trust Preferred Visa offer cashback at no cost. Welcome bonuses can also offset annual fees. The waiver usually applies for the first year only, so check the renewal cost and whether the benefits you actually use justify keeping the card beyond that point.

In Canada, credit scores are managed by Equifax and TransUnion (score from 300 to 900). A good score (700+) makes it easier to get premium cards, mortgages and loans. Each card application triggers a credit inquiry that can temporarily lower your score.