No fee everyday banking
Set up direct deposit and skip the monthly fee. Free to open, and the Easy plan has no monthly fee. Worth doing if you will actually move your pay or your CRA deposits over, not if the card sits unused. Code BREMO2026.
The BMO CashBack Mastercard is a no-annual-fee credit card with a genuinely strong grocery earn rate of 3% and an attractive welcome offer. It sits in BMO's entry-level cash back lineup but delivers a premium grocery earn rate that rivals paid cards. Here's a full review.
Annual fee: $0
Income requirement: None specified
Interest rate: 19.99% purchases / 22.99% cash advances
Welcome bonus: 5% cash back on all purchases for first 3 months (up to $2,500 spend)
Network: Mastercard
The 3% grocery rate is the headline feature — it's among the highest no-fee grocery rates in Canada. However, the 0.5% rate on general purchases is below average. This card is best used specifically for grocery purchases, with a different card for everything else.
The BMO CashBack Mastercard's welcome offer of 5% back on all purchases for the first 3 months (capped at $2,500 in total spending, or up to $125 in cash back) is one of the best welcome bonuses available on a no-fee card. If you have any significant purchases planned — a new appliance, back-to-school shopping, holiday gifts — timing your application to coincide can dramatically increase first-year value.
Cash back accumulates throughout the year and is automatically applied as a statement credit once per year in January. The minimum redeemable amount is $1, which is more accessible than many competitors. Unlike some cards where you have to actively request redemption, the annual credit happens automatically, which is a convenience benefit.
Being a no-fee card, insurance is limited:
No travel insurance is included. For travel purposes, you'd need to supplement with a paid card or standalone insurance policy.
The BMO CashBack Mastercard earns more on groceries than the Tangerine card (3% vs. 2%), but the Tangerine card allows you to earn 2% in multiple categories, which may be worth more overall depending on your spending profile. The PC World Elite Mastercard earns 4.5% at Loblaw stores but only applies to Loblaw-banner grocery chains. The BMO card is the best choice for non-Loblaw grocery shoppers who want a no-fee option.
The BMO CashBack Mastercard is one of Canada's best no-fee grocery cards, with a 3% earn rate that outperforms many paid competitors on that one category. The low earn rate on general purchases means it works best as a dedicated grocery card rather than an all-purpose wallet. The welcome bonus makes the first few months of ownership particularly rewarding.
KOHO is a prepaid Mastercard that earns up to 5% cashback with no annual fee and no interest charges. If you're drawn to the BMO CashBack because of its no-fee positioning, KOHO offers a compelling comparison — especially for Canadians who want cashback without any risk of carrying a balance.
Earn $100 bonus cash with code BREMO2026
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