Annual Fee: $0
Interest rates: purchases 19.99%, cash advances 22.99% Welcome Bonus: $25 in cash back rewards when you use the card to make a purchase within 3 months of receipt Handling of Foreign Transactions: 2.5% standard, but 3% refunded on charges incurred in US currency Rewards Earning Percentage: 3% cash back on purchases in US currency; 1.5% on all other purchases charged to your card Additional rewards: Emergency medical insurance outside the province/abroad; lounge access at over 400 airports Income requirement: a minimum of $80,000 per person or $150,000 as a household
Rogers Platinum Mastercard
This Mastercard from Rogers is an excellent option with no annual fees for those looking to earn cash back while traveling south of the border. It gives users 3% cash back on purchases made in US currency, which amounts to 0.5% when you take into account the standard foreign transaction fee of 2.5%. You will earn 1% back on all other card purchases, both in Canadian dollars and in foreign currencies. The card has no minimum income requirement, so those not eligible for the Rogers World Elite Mastercard mentioned above may want to consider it.
Annual contribution: $0
Interest rates: purchases 19.99%, cash advances 22.99%
Welcome Bonus: $25 in cash back rewards when you use the card to make a purchase within the first 3 months
Handling foreign transactions: 2.5% default for foreign transaction fees, but 3% will be returned for fees incurred in US currency
Rewards Earning Rate: 3% cash back on purchases in US currency; 1% on all other purchases charged to your card
Income requirement: No
Koho Premium Visa†
This unique, high-quality, prepaid, reloadable Visa allows you to spend your own money, as well as the convenience and benefits of a credit card. This card also has no exchange rate fees, making it ideal for travelers. You get 0.5% money back on all purchases and up to 2% money back when you spend on transportation, groceries and dining, plus extra cash back at select sellers. The card does cost a little — an annual fee of $84 — but charges no interest. You also get access to free financial coaching if you choose it.
More information about the Koho Premium Visa*
Amazon Rewards Mastercard
Pay attention to Amazon shoppers, which means you should listen to pretty much everyone. The Amazon.ca Rewards Mastercard is a free credit card for retailers. So if you’re a Prime member and order from amazon.ca, you can earn 2.5% for Amazon rewards points with the card, even if you don’t pay in Canadian currency. The Amazon Prime membership costs $7.99 per month, plus tax. As for those foreign transaction purchases, as mentioned you earn points, and it’s just enough to offset any foreign transaction fees. But it essentially means you don’t earn rewards for foreign purchases. What if you are not a Prime member? You earn less on foreign currency transactions, making it a typical rewards credit card with a 1% earning rate. The rewards points are redeemable for Amazon gift cards (with 2,000 points worth $20, or 1 point worth $0.01, which is 1% in Amazon savings).
With Prime Membership
Without Prime membership
Forex Purchases 2.5% 1% Amazon.ca 2.5% 1.5% Whole Foods 2.5% 1.5% Everything Else 1% 1%
What are foreign transaction costs and what do they mean for you?
The fee (usually 2.5%) charged by many credit cards for purchases you make in a foreign currency may not seem like much, but it can add up quickly. To be clear, the fee will be applied to any purchase made in a currency other than Canadian dollars, even if you shop online. For perspective, that’s $25 in transaction fees for every $1,000 you spend on your card, and you also have to pay the exchange rate.
This post Canada’s best credit cards with no foreign transaction fees 2022
was original published at “https://www.moneysense.ca/spend/credit-cards/best-no-foreign-transaction-fee-credit-cards-in-canada/”