CIBC Dividend Visa Card Review (Feb 2023)

January 9, 2023
Reviews
CIBC

The CIBC Dividend Visa Card is a cash back credit card that offers up to 2% cash back on groceries, gas, transportation, dining, and recurring bill payments. This credit card is best for retirees, minimum wage earners, and first credit cardholders since it only requires a $15,000 minimum annual income.

With no annual fees, the CIBC Dividend Visa Card is one of the best entry-level and beginner-friendly cash back credit cards. This card includes insurance coverage for most of your purchases, and you can get special offers at eligible gas stations and discount at Avis and Budget car rentals across North America.

What Is The CIBC Dividend Visa Card?

The CIBC Dividend Visa Card is a cash back credit card offered by CIBC, one of the largest banks in Canada. This card has been awarded the Best Cash Back Credit Card With No Annual Fee for 2022 by Milesopedia. The CIBC Dividend Visa Card is a perfect entry-level option for beginners as it doesn't charge an annual fee.

What makes this credit card different from its competitors is that you can earn up to 2% cash back on most spending categories – unlike most other no-fee credit cards, which offer a flat 1%. It also offers 0.5% cash back when you send money abroad to your spouse or friends.

With no extra cost, this card includes 3 types of insurance coverage for your purchases and trips – which is agreeable for a no-cost cash back credit card.

CIBC Dividend Visa Card Features

#1 No Annual Fees

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The CIBC Dividend Visa Card doesn't charge annual fees, and you can request additional cards for your spouse and children at no cost.

If this credit card is what you would like to apply for, make sure that your minimum annual income is at least $15,000, and your credit score is at least 670.

The CIBC Dividend Visa Card interest rates are in line with the industry and start at 20.99% for purchases and 22.99% for cash advances (21.99% if you are a Quebec resident).  

#2 Get Up To 2% Cash Back On Eligible Purchases

You can earn up to 2% cash back on your everyday purchases using the CIBC Dividend Visa Card. The eligible categories are:

  • 2% cash back – groceries
  • 1% cash back – transportation, gas, dining, and recurring bill payments
  • 0.5% cash back – on all other purchases

You can redeem them anytime through the CIBC Online Banking or CIBC Mobile Banking App – only when you have a minimum cash back balance of $25.

 #3 Save Up To 10 Cents Per Litre At Participating Gas Stations

It’s been our habit of saving as much money as possible now that gas prices are rising across the country. By linking your CIBC Dividend Visa Card to your Journie Rewards card, you can save up to 10 cents per litre at eligible gas stations.

Joining the Journie Rewards is free. All you have to do is to pump gas at participating gas stations such as Fas Gas, Pioneer, Ultramar, and Chevron – saving you 3 cents per litre on every pump. Then you get additional 7 cents per litre every time you earn 300 Journie Points.

If you haven’t linked your CIBC Card with Journie Rewards, you can follow the steps below

  1. Sign on to CIBC Online Banking or CIBC Mobile Banking App 
  2. Press to link your card to Journie Rewards
  3. Present your Journie Rewards card upon checkout
  4. Pay your purchases with your linked CIBC card

#4 Get 0.5% Cash Back When You Send Money Abroad

The CIBC Dividend Visa Card has a special offer for cardholders when they send money abroad. Whenever you send money through CIBC Global Money Transfer you'll get 0.5% cash back. You won’t be charged transaction fees. However, standard foreign transaction rates may apply, usually 2.5%.

#5 CIBC Cash Back Calculator

With the Cash Back Calculator you can visualize how much cash back you have and how much you need to reach yours goals. The CIBC Dividend Visa Card Cash Back Calculator is fully customizable and it's very easy to use. You can calculate the cash back you've earned:

  • Gas – up to 5,000 maximum
  • Groceries – up to 5,000 maximum
  • Transportation, dining, and recurring bill payments – up to 10,000 maximum
  • All other purchases – up to 10,000 maximum 

You can redeem your cash back balance for in-store and online purchases, gift cards, donations, credit statements, and even bank deposits.

#6 Essential Insurance Coverage

The CIBC Dividend Visa Card offers 4 insured categories:

  • Common Carrier Accident Insurance – up to $100,000
  • Purchase Security Insurance – protection against loss, theft, and damaged purchases for 90 days
  • Extended Protection Insurance – extends the item’s manufacturer’s warranty for one additional year
  • CIBC Payment Protector Insurance for Credit Cards (optional) – up to $50,000 towards your credit card balance in case of unforeseen events such as unemployment, disability, accidental death, or critical illness

The CIBC Payment Protector Insurance costs $0.99 (monthly) per $100 of the owed amount from CIBC. This offer is eligible only for the primary cardholder. At the same time, the $1.99 (monthly) per $100 of the owed amount from CIBC is suitable for the primary cardholder plus spouse coverage.

If you are a frequent traveler, applying for other credit cards – especially a travel rewards credit card would be best. Not only will you be ensured from delayed flights to stolen purchases, but you will also earn points every time you shop.

CIBC Dividend Visa Card Pros And Cons

Pros

  • No annual or additional card fees
  • Get up to 2% cash back on groceries, gas, transportation, recurring bill payments, and more.
  • Save 10 cents per litre at eligible gas stations with Journie Rewards.
  • Save 25% off car rentals worldwide at eligible Avis and Budget locations.
  • Get 0.5% cash back with no transaction fees for every $1 spent on CIBC Global Money Transfer.
  • Get protected with broad insurance coverage, including Purchase Security, Extended Protection, and Common Carrier Accident Insurance.
  • Pay your purchases at a later date with CIBC Pace It Installment Plans.

Cons

  • It requires a $15,000 minimum annual household income.
  • It has a 20.99% purchase rate and a 22.99% (or 21.99% for Quebec residents) cash interest rate.
  • It is not best for people who prefer to earn Aeroplan or Aventura points.

Pricing

Here's a comparison between the CIBC Dividend Visa Card and the Tangerine Money-Back Credit Card.

CIBC Dividend Visa CardTangerine Money-Back Credit Card
Annual Fee$0$0
Additional Credit Card Fee$0$0
Minimum Household Income$15,000$12,000
Purchase Rate20.99%19.95%
Cash Advance Rate22.99% or 21.99%19.95%
Foreign Currency Conversion Rate2.5%2.5%
Interest-Free Grace Period21 daysNo interest-free grace period on balance transfers and cash advances
Overlimit Fee$29$25
Cash Advance Fee$3.50 $3.50 within Canada$5 outside Canada
Unique FeaturesUp to 2% cash back on purchases
Save 10 cents per litre at participating gas stationsGet up to 25% off on car rentals at participating Avis and Budget locations
Up to 2% cash back on purchases
Pay only 1.95% interest on transfer balances for the first 6 monthsHelps the card for almost everyone using the Braille card identifier 

The CIBC Dividend Visa Card and Tangerine Money-Back Credit Card offer insurance coverage for purchases, such as Purchase Security and Extended Warranty. 

Theese credit cards protect your fully-paid purchases against loss, theft, or damage for 90 days and extend their original manufacturer’s warranty for one additional year. Hence, it would be best to compare their feature and perks to tell which credit card suits you best for your financial lifestyle.

In Summary

The CIBC Dividend Visa Card is a cash back credit card that offers up to 2% cash back on groceries, gas, transportation, dining, and recurring bill payments. This credit card is best for retirees, minimum wage earners, and first credit cardholders since it only requires a $15,000 minimum annual income.

With no annual fees, the CIBC Dividend Visa Card is one of the best entry-level and beginner-friendly cash back credit cards. This card includes insurance coverage for most of your purchases, and you can get special offers at eligible gas stations and discount at Avis and Budget car rentals across North America.

CIBC Dividend Visa Card FAQs

How much does the CIBC Dividend Visa Card cost?

CIBC Dividend Visa Card does not cost any annual or additional credit card fees.

Is the CIBC Dividend Visa Card worth it?

Yes, CIBC Dividend Visa Card is worth it. For starters, it has no annual or additional credit card fees, which is a perfect choice for people who love to own a credit card without a dollar to pay. You can earn up to 2% cash back on purchases such as groceries, gas, transportation, dining, and recurring bill payments.

Likewise, you can save up to 10 cents every time you fill your gas at participating gas stations and get 0.5% cash back on global money transfers.

Is the CIBC Dividend Visa Card safe?

Yes, CIBC Dividend Visa Card is safe. It has credit card security features such as Spend, Fraud, and Credit Report Alerts that notify you through phone, email, or online message if any fraudulent activity is happening with your account. As mentioned by Visa’s Zero Liability Policy, you are also not responsible for unauthorized purchases.

What credit score is needed for the CIBC Dividend Visa Card?

The credit score you need for the CIBC Dividend Visa Card is at least 670 to qualify. A good credit score rating above 670 makes getting approved on the credit card application easier.

Does the CIBC Dividend Visa Card cover car rental insurance?

No, the CIBC Dividend Visa Card does not cover car rental insurance. If you want car rental insurance against collision and loss damage, you should apply for the CIBC Dividend Visa Infinite Card.

What are the benefits of the CIBC Dividend Visa Card?

The benefits of the CIBC Dividend Visa Card are no annual fees, up to 2% cash back on daily purchases, a 25% discount on car rentals at Avis and Budget locations, and 0.5% cash back on CIBC Global Money Transfers.

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