Best Canadian Credit Card Part 2

Now that you can see why a Dividend Dollar Credit Card provides the most benefit to a consumer it’s time to decide which Dividend Dollar Credit Card is Best in Canada. I will provide a brief list of the features of some popular cards and then highlight the dominant winner of best cash back credit card in Canada.
The following is a list of cards that I am familiar with and will now analyze: MBNA Premier Rewards, CIBC Dividend Card, Scotia Momentum Visa.

Many other bloggers have discussed these cards in the past. For example, Milliondollarjourney.com  discussed the first 3 on the list plus a few more and provided a brief analysis.

MBNA PremierRewards Platinum Plus (Milliondollarjouney pick)

• 1% cash back on all purchases.

• No maximum rebate.

• Car Rental Insurance.

CIBC 1% Dividend Visa

• 0.25% cash back on annual purchases up to $1,500.

• 0.50% cash back on annual purchases from $1,500.01 to $3,000.

• 1% cash back for net annual purchases over $3,000.

• No maximum rebate.

Scotia Momentum Visa

• 2% Cash Back on all eligible purchases at gas stations, grocery stores, drug stores, recurring bill payments

• 1% Cash Back on all other eligible purchases

• $39 annual fee

Based on my Scenario, I spend around $30k / year on my credit card with 70% of that on everyday purchases and the remainder on everything else. This would equate to a cash back rebate of:

• MBNA PremierRewards: $300 (no maximum)

• CIBC Dividend $281.25

• Scotia Momentum Visa: 2% Cash = $420, 1% Cash =$90, Total $510

This looks like an overwhelming victory for the Scotia Momentum Visa Card even with the $39 annual fee. If you go to a Scotia Bank to sign up they are also likely to waive the 1st year’s fee.