MBNA Smart Cash Credit Card – Best Credit Card in Canada?
I’ve written about credit cards many times before listing my favorite cash back credit cards to my favorite rewards or points based credit cards. Some people may consider credit cards to be “evil” but really, credit cards don’t have a bias. They are a simply tool and they are only as “useful” as the person holding the card. I try to use a credit card for every purchase possible for the free points, but I make sure to pay off the full balance every month.
To get back to the topic at hand, I’m a big fan of cash back credit cards with my former favorite being the
MBNA 1% PremierRewards Platinum Plus card (discontinued). It offers 1% cash back from the first dollar spent with no maximum rebate along with a comprehensive insurance package. Of course, as I’m frugal, there is no annual fee. However, there is a new cash back star in town, and it’s another card from MBNA.
The credit card is called the MBNA Smart Cash MasterCard (link), and it offers all the perks of the PremierRewards platinum card but offers more cash back! To put the icing on the cake, this card also has no annual fee.
How Smart Cash Works
Updated March 2014
• Up to 5% cash back on all of your eligible gas and grocery purchases for the first 6 months‡;
• Up to 2% cash back on eligible gas and grocery purchases thereafter‡;
• And, up to 1% cash back on all of your other eligible purchases‡;
• 1.99% annual interest rate* (AIR) on balance transfers* and deposits* for the first 10 full months;
• Enjoy free online access to your credit card account; and,
• And, with no annual fee and free additional cards you’ll start to see the benefits right away.
Rewarding yourself is easy
• Once your cash back totals at least $50 at the end of a monthly billing cycle, we’ll automatically mail you a cheque‡ – it’s that simple.
Comprehensive Insurance Package
- Travel Accident Insurance – $1,000,000 common carrier travel accident insurance.
- Car Rental Insurance – Collision damage waiver.
- Purchase Protection – 90 days insurance in case of theft or damage (up to $4,500).
- Extended Warranty – Doubles warranty up to 1 yr.
How to Apply
Update: – They now allow online applications! You can apply here.
For non MBNA card holders:
- Apply for an existing MBNA credit card like the 1% cash back PremierRewards (another favorite of mine).
- After receiving the new MasterCard, activate the credit card.
- After activating, call 1.800.404.1319 and ask to transfer your existing account to the MBNA Smart Cash MasterCard. If they ask for a promotion code, try CGLE.
Existing MBNA card holders:
- Simply call 1.800.404.1319 and ask to transfer your existing account to the MBNA Smart Cash MasterCard. If they ask for a promotion code, try CGLE.
With 2% cash back on groceries and/or gasoline (up to $400 in spending /month), this card can benefit those who are light-medium gas/grocery spenders. If you spend up to the maximum on gasoline/groceries (like we would), it would be $96 cash back per year in addition to 1% cash back on other regular expenses (up to $1,250 in spending).
To avoid the $1,250 monthly spending cap for the 1% cash back, give them a call to upgrade your regular Smart Cash into the free Smart Cash World card. The Smart Cash World will give you unlimited cash back on your 1% along with additional Price Protection insurance. Price protection will pay you back the difference if you find a better price on something you purchased within 60 days. Note that the Smart Cash World is only available as an upgrade to the regular Smart Cash Card.
With the generous cash back along with comprehensive insurance benefits, the Smart Cash MasterCard (World) may still be among the best no fee cash back credit card out there in Canada. What do you think?
Update: The Smart Cash card is now available online and is currently my primary credit card. More details here.