Best grocery credit card for 2020 award seal

Whether you live alone or have several mouths to feed in your house, you know that food costs can add up quickly. One of the single biggest expenses of any household is groceries.

In fact, according to Statistics Canada, the average household spends almost $6,000 per year on groceries.

Luckily, there are plenty of credit cards that can help you capitalize on this spending, helping you save money AND earn more rewards on the purchases you’re making every day. And, in some cases, they don’t even have an annual fee.

Canada’s best grocery store credit cards for 2020

For all your food necessities, these are the best credit cards in Canada:

Category Credit Card Current Welcome Bonus Offer
Best Amex grocery store credit card American Express Cobalt™ Card Up to 30,000 points (terms)
Best cash back grocery store credit card Scotiabank Momentum Visa Infinite First year free (terms)
Best no fee grocery card Tangerine Money-Back Credit Card None
Best credit card for groceries at Costco BMO® AIR MILES®† World Elite®* Mastercard®* 2,000 miles, first year free (terms)

See all 10 top grocery credit cards here.

* Note: All rewards calculations in this article are based strictly on a monthly grocery spend of $700. You can fine-tune the calculations to your own budget on the Compare Cards page.

Best grocery store credit card in Canada

Without a doubt, the is the best American Express card for grocery earnings.

You'll earn 5 points per $1 spent on all grocery purchases, restaurant, and bar purchases.

If you use the fixed points travel chart, you'll have the ability to get a 1.75 CPM (cents per point) value ‒ an amazing 8.75% return on any purchases related to eating.

Plus, for a welcome bonus, every month you spend $500 in the first year, you'll get 2,500 points. That's up to 30,000 bonus points in the first year. All for an annual fee of $120 that gets charged out as $10 per month.

And the great earn rates don't stop there. You'll also earn:

  • 2 points per $1 spent on gas, transit, and travel, and
  • 1 point per $1 spent everywhere else.

And as one last bonus, this card has no income requirements, making it accessible to almost everyone.

Canada’s best cash back grocery store credit card

The is our top pick for taking to the grocery store because of its unmatched cash back earn rate on that category of spending.

You’ll earn:

  • 4% cash back on recurring bills and grocery purchases – the highest spending bonus on any cash back card in Canada,
  • 2% cash back on gas and daily transit, and
  • 1% cash back on all other purchases.

Each of the 4% and 2% categories also have high $25,000 annual spending caps, so you won’t have to worry about losing your bonus earn rate for a long time.

And the $120 fee? That’s even waived for the first year, saving you even more.

The card even gives you 11 types of complimentary insurance coverage, giving you added peace of mind on purchases or while you’re traveling.

We like this card so much it’s also our top pick for Canada’s best cash back credit card this year.

Canada’s best no fee grocery store credit card

If you prefer not to pay an annual fee, or if Walmart is your grocery store of choice, then the is the best credit card for you.

With this card, you'll earn 2% on your choice of 2 categories from a list of 10, including groceries. And if you deposit your rewards into a Tangerine Bank account (get one here), you'll get to choose a 3rd spending category.

The best part? If you buy groceries at Walmart Supercentres, you'll still earn 2% cash back, something you won’t get with Visa and American Express cards, since they consider Walmart to be a general merchant, not a grocery store.

In fact, if you get the majority of your groceries at Walmart, this card becomes your best choice for grocery purchases.

And with the ability to earn 2% cash back on other popular categories such as gas, restaurants, and bill payments, Tangerine has a clear winner in this credit card.

Oh, and you get all of this for no annual fee, so you’re saving even more money.

If you want even more perks for no annual fee, the offers the same cash back earn rate, along with additional complimentary insurance coverage, and some added travel perks. Just note the minimum income requirements are either $60,000 personal or $100,000 household to qualify.

Best credit card for groceries at Costco

The other cards on our list are great, but if Costco is your favourite grocery store, they fall a bit short. 2 of them aren't even accepted at Costco, and the other isn’t great for shopping there since Mastercard doesn't recognize Costco as a grocery store.

To maximize your earnings when buying groceries at Costco, you need our top pick for Canada’s best credit card for Costco, the .

With this credit card, you’ll earn 1 AIR MILE for every $10 you spend, and if you use your miles for flights within North America, you'll need 15% fewer miles for any flight. More great rewards savings.

There’s also a valuable welcome bonus where you’ll earn 2,000 miles after spending $3,000 in the first 3 months. And the first year is also free.

And with 14 types of insurance coverage, know that you'll be covered wherever your travels take you.

Compare Canada’s Best Grocery Credit Cards

How we get our rankings

How do we decide what the best grocery credit cards are? We take into account over 126 features of each card, broken down into 7 main categories:

Grocery page genius rating scoring

We then take those features and put them through our algorithm, which calculates a score out of 5. And since we're talking about grocery credit cards, we give extra weight to the rewards category, as it's the primary feature we're after for cards on this page.

Learn more about our Genius Rating methodology.

Canada’s best grocery store credit cards FAQ

What’s Canada’s best cash back credit card to use at the grocery store?

Our top pick for Canada’s best cash back grocery store credit card is the Scotiabank Momentum Visa Infinite. You’ll earn an unmatched 4% cash back on all of your grocery purchases with this card, plus get 1% - 2% on all your other purchases.

If you’d rather not pay an annual fee, the Tangerine Money-Back Credit Card is a great cash back card to use at the grocery store.

Which is the best AIR MILES credit card to use at the grocery store?

If you’re an AIR MILES collector, you should really take a look at the BMO® AIR MILES®† World Elite®* Mastercard®*. You earn 1 AIR MILE for every $10 you spend, doubling the normal earn rate. And you can double dip at AIR MILES partners, earning miles when you present your AIR MILES collector card, then earning even more miles by paying with your AIR MILES credit card.

I buy most of my groceries at Walmart or Costco. Which is the best credit card for me?

If you primarily buy groceries at Walmart, we suggest using the Tangerine Money-Back Credit Card. With this card you’ll be able to earn 2% cash back on your grocery purchases at Walmart Supercentres.

If Costco is your grocery store of choice, we recommend the BMO® AIR MILES®† World Elite®* Mastercard®, which also happens to be our favourite AIR MILES card. With this credit card you’ll be able to earn 1 AIR MILE for every $10 you spend, which is double the regular earn rate. It also comes with some great complimentary insurance coverage.

Featured In:

The Globe and Mail
thestar.com
Financial Post
Yahoo Finance