The BMO CashBack® Mastercard® has emerged as one of the top contenders in Canada for those looking to make the most of their daily spending, particularly on groceries. With no annual fee and a solid cash back structure, it’s easy to see why this card has been recognized for its value.

In this post, we’ll explore everything you need to know about the BMO CashBack® Mastercard®, including its benefits, eligibility criteria, and whether it’s the right card for you.

Main information about the card

The BMO CashBack® Mastercard® is designed to turn your everyday purchases into valuable rewards, specifically cash back. The card offers tiered rewards on various spending categories, making it highly attractive for those with significant grocery and recurring bill expenses. Here’s how the cash back structure works:

• 3% cash back on grocery purchases, up to $500 per statement period.
• 1% cash back on recurring bill payments, which includes things like streaming services and utility bills.
• 0.5% cash back on all other purchases, ensuring that you earn on every transaction you make.

One of the standout features of this card is its lack of an annual fee, making it a no-cost option for people looking to get more from their spending. Moreover, cash back rewards don’t expire as long as your account remains in good standing, and you can redeem your rewards at any time, even for amounts as small as $1. You can also set up automatic deposits of your cash back rewards into your BMO chequing or savings account, or use them as a credit on your statement.

The interest rates for the BMO CashBack® Mastercard® are standard:

• 20.99% for purchases.
• 22.99% for cash advances.

The card also comes with digital security features, like the ability to lock or unlock your card from the BMO mobile app and free access to your credit score through CreditView.

Qualification requirements

One of the biggest advantages of the BMO CashBack® Mastercard® is its accessibility. There’s no minimum income requirement, making it an ideal card for students, young professionals, or anyone looking for a reliable cash back card without stringent eligibility criteria. Applicants typically need a fair to good credit score to be approved, though having a better credit score may increase your chances of approval and higher initial credit limits.

To apply for the card, you’ll need to provide basic financial and personal information, such as proof of identity and income (even though there’s no set minimum), and meet Canadian residency requirements. Approval times are generally quick, often under 60 seconds when applying online.

Benefits

The BMO CashBack® Mastercard® is packed with benefits that make it a strong choice for everyday spending. Not only do you earn substantial cash back on your grocery shopping and recurring bill payments, but the flexibility of redemption is also a major perk.

You can redeem your cash back at any time, with no minimums, allowing you to get your rewards when you need them most. Plus, there’s the added convenience of setting up automatic redemption into your BMO account or towards your credit card balance.

In addition to earning rewards, the card also provides purchase protection and extended warranty coverage, ensuring your purchases are secure. This is especially useful when buying higher-value items, as you’ll be covered if something goes wrong.

Finally, BMO CashBack® Mastercard® holders can enjoy travel benefits like discounts on car rentals through National Car Rental®, Alamo Rent A Car®, and Enterprise Rent-A-Car®. You can also get exclusive savings on Cirque du Soleil shows, making this card more than just a way to earn cash back.

Pros

The BMO CashBack® Mastercard® offers plenty of advantages, especially for those who spend heavily on groceries and recurring bills. Here are the key pros of this card:

• No annual fee: Ideal for budget-conscious users.
• High grocery rewards: Earn 3% cash back on groceries.
• Flexible redemption: Cash back can be redeemed at any time.
• Fuel savings: Get discounts at Shell stations.
• Travel perks: Car rental discounts and Cirque du Soleil savings.
• Digital features: Easy to manage with the BMO mobile app.

Cons

While the BMO CashBack® Mastercard® has numerous advantages, there are a few drawbacks to consider:

• Lower cash back on other purchases: The 0.5% cash back rate on non-grocery and non-recurring bill purchases is lower than other cards.
• Grocery spending cap: The 3% cash back rate applies only to the first $500 of grocery purchases per statement period.
• No travel insurance: Unlike some other cards, this one lacks comprehensive travel insurance benefits.

How to apply

Applying for the BMO CashBack® Mastercard® is straightforward and can be done online. The process typically takes less than 60 seconds for a response. Here’s a quick step-by-step guide on how to apply:

• 1. Visit the BMO website and navigate to the BMO CashBack® Mastercard® page.
• 2. Click on “Apply Now.”
• 3. Fill out the application form with your personal and financial details.
• 4. Submit the application and wait for approval, which usually happens within minutes.

Alternatively, you can apply in person at a BMO branch if you prefer face-to-face interaction.

Is the card worth it after all?

The BMO CashBack® Mastercard® is an excellent choice for individuals looking to maximize their grocery and recurring bill spending while avoiding an annual fee. The 3% cash back rate on groceries is one of the highest available for a no-fee card in Canada, making it a great fit for families or individuals with significant grocery expenses.

However, if your spending tends to fall outside the categories of groceries and recurring bills, or if you regularly spend more than $500 on groceries each month, the card’s lower 0.5% cash back rate on other purchases might not be as appealing. That said, the flexible redemption options and fuel savings can help tip the balance in favor of this card for many.

Conclusion

In summary, the BMO CashBack® Mastercard® is a no-fee card with a strong focus on rewarding everyday spending, particularly for groceries and recurring bills. The card’s benefits extend beyond cash back, offering travel perks, fuel discounts, and security features that enhance the overall value.

While it may not offer the highest rewards on non-grocery purchases, the BMO CashBack® Mastercard® is still a highly competitive option for Canadians seeking a low-maintenance rewards card. Whether you’re a student, a young professional, or someone looking to cut down on fees, this card is worth considering.