Get money-saving tips in your inbox.

Stay on top of personal finance tips from our money experts!

News & Resources

Starter Credit Cards Are Not One-Size-Fits-All

Aug. 3, 2021
18 mins
Woman lays on bed casually browsing on her laptop and drinking a coffee
credit card mascot.png

Compare the best credit cards on RATESDOTCA

Find the best credit card for your lifestyle today!

Depending on the circumstance, those with thin credit profiles may have one of the following options:

  • Secured credit card: This type of card is more widely available and has high approval rates. Cardholders can set their credit limit, usually ranging from $200 to upwards of $10,000, since a deposit determines it.
  • Prepaid credit card: Applicants can usually get instantly approved for this type of card. However, since cardholders use their own money to pay for purchases, not a lender’s, no payment history is reported to the credit bureaus. Therefore, prepaid cards will not help build or increase your credit score — unless the issuer provides an additional credit building program.
  • Student credit card: This type of card is generally available to those attending post-secondary education, and proof of enrollment may be required. In terms of income requirements, scholarships and grants often count toward eligibility.

Click on the profile that you identify with the most to compare starter credit cards:

Or click here for helpful credit card tips for beginners.

Best credit cards for students

A student credit card can help young scholars build their credit score as they pay for everyday purchases like textbooks and lunch with friends. With each payment made by the due date, the issuer relays positive information to the two main credit bureaus in Canada, Equifax and TransUnion.

To qualify for this type of card, applicants not only have to be the age of majority in their province or territory but must also be within an age range, typically 18-24. Additionally, they must be enrolled in a post-secondary program at a recognized school.

Once a student ages out of this requirement, the issuer will automatically upgrade the card or offer the cardholder a new selection.

While many students choose to have part-time jobs, attending classes and studying is time-consuming. For those without employment, scholarships and grants or student loans may also count toward eligibility.

Our top picks for students

Credit card

Top features

Annual fee

First-year value*

1. BMO CashBack® Mastercard®*

  • Redeem cash back whenever you want.

$0

$364

2. BMO AIR MILES Mastercard* for Students

  • Earn AIR MILES on all purchases.

$0

$302

3. SCENE®* Visa* Card-Student

  • Earn free movies.

$0

$337

4. Tangerine Money-Back Credit Card

  • Earn 2% cash back on up to three Money-Back Categories of your choice.

$0

$409

*The RATESDOTCA Best of Finance methodology assumes the cardholder spends an average of $2,000 a month on their card to determine the first-year value. The calculation includes all welcome bonuses and promotional offers at the time of publishing.

1. BMO CashBack® Mastercard®*

The estimated dollar amount of benefits you’ll accumulate based on your monthly spending and rewards preference
+ Welcome bonus
$76
+ Annual rewards
$288
- Annual fee
$0
Total first year value
$364
BMO CashBack® Mastercard®* for students

card image
Welcome bonus
$76
BMO Cash Back Rewards
Annual rewards
$288
BMO Cash Back Rewards
Annual fees:
$0
Interest rates:
20.99% on purchases • 22.99% on cash advances
No annual fee card that offering an attractive sign-up bonus
Students can enjoy rental car discounts and shopping insurance
Details at a glance Collapse details
Welcome bonus
$76
Annual rewards
$288
The estimated dollar amount of benefits you’ll accumulate based on your monthly spending and rewards preference
+ Welcome bonus
$76
+ Annual rewards
$288
- Annual fee
$0
Total first year value
$364
Annual fees:
$0
Interest rates:
20.99% on purchases
22.99 on cash advances
No annual fee card that offering an attractive sign-up bonus
Students can enjoy rental car discounts and shopping insurance
Details at a glance Collapse details

Best of Finance Winner: Best Student Credit Card

Apply for the BMO CashBack® Mastercard®* for students to get up to 5% cash back in the first three months on qualified purchases up to $2,500 ($500 in groceries, $500 in recurring bill payments, and $1,500 on all other purchases). You could earn up to $125 cash back.

Regular features and benefits of this card include:

  • Annual fee: $0
  • Annual fee for additional cards: $0
  • Earn 3% cash back on your first $500 in grocery purchases monthly.
  • Earn 1% cash back on your first $500 in recurring bill payments monthly.
  • Earn 0.5% unlimited cash back on all other purchases.

This card also features basic shopping coverage and digital financial insights to help you stay on top of your spending and check your credit score. Redeem cash back whenever you want for statement credits or cash deposits into your BMO chequing, savings or InvestorLine account.

Offer expiry date: October 31, 2021

2. BMO AIR MILES† Mastercard* for Students

The estimated dollar amount of benefits you’ll accumulate based on your monthly spending and rewards preference
+ Welcome bonus
$101
+ Annual rewards
$152
- Annual fee
$0
Total first year value
$253
BMO AIR MILES Mastercard* for Students

card image
Welcome bonus
$101
AIR MILES Rewards
Annual rewards
$152
AIR MILES Rewards
Annual fees:
$0
Interest rates:
20.99% on purchases • 22.99% on cash advances
Great starter card to build up credit score in hopes of future travel
Basic purchase insurance included
Details at a glance Collapse details
Welcome bonus
$101
Annual rewards
$152
The estimated dollar amount of benefits you’ll accumulate based on your monthly spending and rewards preference
+ Welcome bonus
$101
+ Annual rewards
$152
- Annual fee
$0
Total first year value
$253
Annual fees:
$0
Interest rates:
20.99% on purchases
22.99 on cash advances
Great starter card to build up credit score in hopes of future travel
Basic purchase insurance included
Details at a glance Collapse details

New cardholders of the BMO AIR MILES Mastercard* for Students can earn 800 AIR MILES Bonus Miles when they spend at least $1,000 on the card in the first three months.

Regular features and benefits of this card include:

  • Annual fee: $0
  • Annual fee for additional cards: $0
  • Earn one Mile for every $25 spent on purchases.
  • Earn 3X the Miles for every $25 spent at participating AIR MILES Partners.

Get financial insights to monitor your spending and credit score and access basic shopping coverage.

Offer expiry date: October 31, 2021

3. SCENE®* Visa* Card-Student

The estimated dollar amount of benefits you’ll accumulate based on your monthly spending and rewards preference
+ Welcome bonus
$75
+ Annual rewards
$318
- Annual fee
$0
Total first year value
$393
Scotiabank®* Scene+™ Visa* Card

card image
Welcome bonus
$75
Scotia Scene+ Points
Annual rewards
$318
Scotia Scene+ Points
Annual fees:
$0
Interest rates:
20.99% on purchases • 22.99% on cash advances
Attractive entry level card for students and young adults
Details at a glance Collapse details
Welcome bonus
$75
Annual rewards
$318
The estimated dollar amount of benefits you’ll accumulate based on your monthly spending and rewards preference
+ Welcome bonus
$75
+ Annual rewards
$318
- Annual fee
$0
Total first year value
$393
Annual fees:
$0
Interest rates:
20.99% on purchases
22.99 on cash advances
Attractive entry level card for students and young adults
Details at a glance Collapse details

Earn 1,250 bonus SCENE points upon your first purchase using the SCENE®* VISA* Card.

Regular features and benefits of this card include:

  • Annual fee: $0
  • Annual fee for additional cards: $0
  • Earn five SCENE points for every $1 spent at Cineplex and cineplex.com.
  • Earn one SCENE point for every $1 spent on all other purchases.

Redeem rewards for free movies at Cineplex and money off meals at participating restaurants.

Offer expiry date: October 31, 2021

4. Tangerine Money-Back Credit Card

The estimated dollar amount of benefits you’ll accumulate based on your monthly spending and rewards preference
+ Welcome bonus
$100
+ Annual rewards
$309
- Annual fee
$0
Total first year value
$409
Tangerine Money-Back Credit Card

card image
Welcome bonus
$100
Money-Back Rewards
Annual rewards
$309
Money-Back Rewards
Annual fees:
$0
Interest rates:
20.95% on purchases • 22.95% on cash advances
2024 Winner – Best Student Credit Card
Flexible no-fee card with ability to choose what categories earns you the most cash back
Details at a glance Collapse details
Welcome bonus
$100
Annual rewards
$309
The estimated dollar amount of benefits you’ll accumulate based on your monthly spending and rewards preference
+ Welcome bonus
$100
+ Annual rewards
$309
- Annual fee
$0
Total first year value
$409
Annual fees:
$0
Interest rates:
20.95% on purchases
22.95 on cash advances
2024 Winner – Best Student Credit Card
Flexible no-fee card with ability to choose what categories earns you the most cash back
Details at a glance Collapse details

While this card is not technically a student credit card, it only requires a minimum personal income of $12,000 to be eligible. Therefore, it is worth mentioning.

Apply for the Tangerine Money-Back Credit Card by August 16, 2021, to earn 10% cash back when you spend at least $1,000 on the card within the first two months. That is up to $100 cash back.

Regular features and benefits of this card include:

  • Annual fee: $0
  • Annual fee for additional cards: $0
  • Earn 2% in Money-Back Rewards in up to three categories of your choice. Start with two categories and earn the third when depositing your rewards into a Tangerine Savings Account. Money-Back Rewards Categories include grocery, furniture, restaurant, hotel-motel, gas, recurring bill payments, drugstore, home improvement, entertainment, and public transportation and parking. Switch your categories to match your spending habits and maximize your rewards.
  • Earn 0.50% cash back on all other purchases.

This card has a “left to spend” feature that offers insights into your spending habits. Plus, get basic shopping coverage and free additional cards for authorized users.

Offer expiry date: August 16, 2021

Jump back to the top.

Best credit cards for newcomers to Canada

Most of the major banks offer programs for newcomers to Canada. Many of these banking packages provide simple, no-fee financial solutions for saving and spending within a specific period, usually up to one year. Some even help international students get their study permits.

While these packages offer excellent value and access to professional advice, it is always beneficial to compare products to ensure you find the best match for your lifestyle.

You may find that a secured credit card offers a more significant credit limit as the deposit determines it.

Here are several credit cards that these programs may offer or that have less stringent application requirements.

Our top picks for newcomers to Canada

Credit card

Top features

Annual fee

First-year value*

1. BMO CashBack Mastercard®*

  • Redeem cash back whenever you want.

$0

$383

2. Scotia Momentum® No-Fee VISA* Card

  • Earn cash back on everyday purchases.

$0

$256

3. RBC® Cash Back Mastercard

  • There is no limit to how much cash back you can earn.
  • Plus, get instant fuel savings at Petro-Canada.

$0

$300

4. Scotiabank®*American Express®Card

  • Earn Scotia Rewards points.
  • Get basic travel insurance coverage.

$0

$290

5. No Fee Home Trust Secured Visa* Card

  • Set your credit limit with a deposit.

$0

$0

*The RATESDOTCA Best of Finance methodology assumes the cardholder spends an average of $2,000 a month on their card to determine the first-year value. The calculation includes all welcome bonuses and promotional offers at the time of publishing.

1. BMO CashBack Mastercard®*

The estimated dollar amount of benefits you’ll accumulate based on your monthly spending and rewards preference
+ Cash bonus
$50
+ Welcome bonus
$100
+ Annual rewards
$288
- Annual fee
$0
Total first year value
$438
BMO CashBack Mastercard®*

card image
Welcome bonus
$100
BMO Cash Back Rewards
Annual rewards
$288
BMO Cash Back Rewards
Annual fees:
$0
Interest rates:
20.99% on purchases • 22.99% on cash advances
Get a $50 CashSurge from RATESDOTCA
2024 Winner– Best Credit Card For Newcomers To Canada