BMO CashBack Mastercard Review (Feb 2023)

December 18, 2022
Reviews

The BMO CashBack Mastercard is a cash back credit card issued by BMO, one of the largest banks in Canada. The BMO CashBack Mastercard doesn't have an annual fee an comes with an excellent promotional cash back rate of 5% on all purchases for the first three months.

After the promotional period, the BMO CashBack Mastercard offers a very competitive cash back rate, considering it is a no-fee cash back credit card. If you're looking to transfer your balance from another credit card, this might be the card for you: the BMO CashBack Mastercard offers an introductory balance interest rate of just 0.99% for the first nine months.

What Is The BMO CashBack Mastercard? 

The BMO CashBack Mastercard is a cash back credit card, and one of the best options for Canadians with a low income. The BMO CashBack Mastercard comes with a promotional cash back rate of 5% on all purchases, plus a very reasonable non-promotional cash back rate of 3% on groceries and 1% on recurring bills (including phone bills, streaming services, and monthly subscriptions). On all other purchases, you will earn a flat 0.5%.

The BMO CashBack Mastercard has purchase coverage and extended warranty, a staple in most BMO credit cards. With this card you can also subscribe to BMO's add-ons and make your card even more useful; these add-ons include BMO Roadside Assistance and BMO Credit Card Balance Protection Enhanced.

Pros & Cons Of The BMO CashBack Mastercard

Pros

  • Welcome bonus offer of up to 5% cash back rewards in the first three months and a 0.99% introductory balance transfers interest rate within the first nine months.
  • No annual fee 
  • No minimum income requirement

Cons

  • Offers limited additional benefits beyond its cash-back rewards
  • Its base cash back earn rate is relatively low at 0.5%

BMO CashBack Mastercard Features

  • Welcome Bonus: Offers up to a 5% cash back rate within the first three months and a 0.99% introductory balance transfers interest rate within the first nine months. Balance transfer fee with a 2% 
  • Annual fee: $0 annual fee 
  • Interest rate: 20.99% on purchases & 22.99% for cash advances
  • Unlimited cash back on your everyday purchases
    • 3% on grocery purchases (foods and essentials)
    • 1% on recurring bills, including phone bills, streaming services, and monthly subscriptions
    • 0.5% cash back on all other purchases
  • Earn more cash-back rewards by including an additional cardholder
  • Up to 25% discount on rentals at participating National Car Rental and Alamo Rent-a-Car locations
  • 15% off admission to Cirque du Soleil shows touring Canada, and 20% off resident shows in Las Vegas
  • Purchase protection of up to 90 days and extended coverage on the original manufacturer's warranty by up to one additional year
  • Access to add-on options, including BMO roadside assistance, Optional BMO Credit Card Balance Protection Enhanced, and BMO Pay-as-you-go RoadAssist.   

BMO CashBack Mastercard Eligibility Requirements

To be eligible for the card, you:

  • Must be a permanent Canadian resident
  • Must not have declared bankruptcy in the prior seven years
  • Must have attained the majority age in the Canadian province of residence

How Does the BMO CashBack Mastercard Work?

The BMO CashBack Mastercard is a no-fee credit card that earns you cash-back rewards on all your purchases. All purchases are eligible for an unlimited 0.5 % cash back and an additional bonus rate. The bonus rate is subject to a specific spending limit and applicable to certain purchase categories.

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BMO CashBack Mastercard Cash Back Rate

BMO CashBack Mastercard offers three different earning rates to cardholders, depending on what they purchase. 

  • 3% cash back on groceries (foods and essentials)
    • You earn this reward when you purchase at a grocery store that sells a complete line of food products. You can earn 3% cash back on every purchase made, subject to a limit of $500 spent in a given statement period. Note that this offer excludes convenience stores, general merchandise stores, bakeries, butchers, and other specialty shops. Purchases from such shops will earn a base rate of 0.5% cash-back. 
  • 1% cash back on recurring bill payments
    • You earn this reward on recurring bill payments such as monthly internet bills, gym membership, and streaming services, where the merchant automatically bills your card each month. You can earn 1% cash back, subject to a limit of $500 spent within a given statement period.
  • 0.5% unlimited cash back on all other purchases
    • You earn this reward on all purchases beyond the spending limit specified or not covered within the categories above. 

BMO CashBack Mastercard Purchase Coverage

  • Purchase protection: Ensures items purchased with your card against theft and damage for up to 90 days from the purchase date
  • Extended coverage on the original manufacturer's warranty: increases the original manufacturer's warranty period by up to one additional year.
  • Zero Liability Protection for lost or stolen cards

What Are the Additional Benefits Of The BMO CashBack Mastercard?

The BMO CashBack Mastercard offers additional benefits, which are either included (at no extra cost) or a possible add-on option (for a fee). These benefits are:

  • Extended Warranty: This benefit helps you avoid buying optional extended warranty insurance on your purchases when you pay for the purchase with your BMO AirMiles Mastercard. This benefit is subject to limitations and exclusions and is only available for up to one additional year.
  • Purchase Protection: This benefit protects the items purchased with your BMO AirMiles Mastercard against theft or damage for up to 90 days from the date of purchase.
  • Zero Liability Protection for lost or stolen cards
  • Car rental discounts: up to 25% discount on car rentals at participating National Car Rental and Alamo Rent-a-Car locations
    • Live now, Pay Smarter: A BMO PaySmartTM installment plan that allows you to turn your credit card purchases into smaller monthly payments. Visit bmo.com/paysmart to learn more.
    • Digital wallet access: You can add your BMO CashBack Mastercard to Apple Pay or Google Pay and enjoy the security and convenience of paying right from your phone, Apple Watch, or iPad when shopping in stores and apps. 
    • BMO PowerSwitch: BMO PowerSwitch is a BMO service that helps you transfer your pre-authorized payments from a different financial institution and set up new pre-authorized payments from your new BMO credit card. It also notifies your pre-authorized billers of your switch on your behalf.

BMO CashBack Mastercard Add-Ons

  • BMO Roadside Assistance: Access to roadside services and emergencies ranging from towing, and jump-starts to lockout assistance
  • BMO Credit Card Balance Protection Enhanced: This benefit helps you protect the balance on your BMO CashBack Mastercard in life events such as death, total disability, and job loss. The applicable fee is $1.00 for each $100 of your statement balance (plus taxes).

Summary

With a generous welcome bonus of up to 5% cash back earning rate in the first three months and a 0.99% introductory interest rate on balance transfers for nine months, the BMO CashBack Mastercard offers one of the best balance transfer perks available in Canada. The card is ‘also great for cards for accumulating cash-back rewards at no annual fee.

BMO CashBack Mastercard FAQs

What Is a Cash Back Credit Card?

A Cash Back rewards credit card is a credit card that earns you cash back rewards every time you make an eligible purchase. The cash-back rewards can be redeemed as a credit to your existing BMO account.

What is the BMO CashBack Mastercard Best For?

The BMO CashBack Mastercard is great for accumulating cash-back rewards at no annual fee.

Is there a limit to the Miles I can Accumulate with the BMO CashBack Mastercard?

There is no limit to the cash-back rewards you can earn, as the card offers unlimited 0.5% cash-back rewards on all purchases. However, there is a limit to the bonus cash-back rewards you can make on each purchase category.

How do I qualify for the BMO CashBack Mastercard?

To qualify for a BMO CashBack Mastercard, you need to meet the eligibility requirements below:

  • Must be a permanent Canadian resident
  • Must not have declared bankruptcy in the prior seven years
  • Must have attained the majority age in the Canadian province of residence

Is the BMO CashBack Mastercard worth it?

The BMO CashBack Mastercard is worth it because you do not have to pay any annual fees and earn rewards on all your purchases.

Which credit bureau does BMO check?

BMO checks credit reports from either Equifax or TransUnion credit bureaus

Can I have several BMO credit cards at the same time?

Yes, having more than one BMO credit card at a time is possible.

How do I know my BMO CashBack Mastercard cash back balance?

There are three ways to know your cash-back balance:

  • You can check
  • You can check your monthly BMO credit card statement.
  • Lastly, you can check by logging in to your BMO account online or on the BMO Mobile Banking app.

Do my BMO CashBack Mastercard rewards expire?

No, the BMO CashBack Mastercard cash back rewards do not expire if your credit card account remains open with the bank and is in good standing.

How do I redeem my BMO CashBack Mastercard rewards?

You can redeem your cash-back rewards by applying them as a credit to your existing BMO account. The existing BMO account can be any of the following:

  • Credit card statement
  • BMO checking or savings account
  • BMO investor line account

You can also specify a redemption frequency for auto-redemption. The possible redemption frequency options include the following:

  • When a set amount has accumulated. An example is a minimum set amount of $25, with increments of $5)
  • When a lump sum is accumulated. The minimum lump sum that can be redeemed is $1

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