What does your grocery run look like? Do you hop into a car to hunt for bargains at discount grocers, opt for convenience by shopping from the store located closest to home, or actively seek out premium outlets for their better food selection and brighter-lit aisles? Regardless of how (and where) you choose to restock your fridge, you have likely noticed that your grocery bill is more expensive lately. According to Statistics Canada, as of Sept 2023 the price of food increased by 5.8%, compared to the same month in 2022. That’s slightly lower than the 6.9% increase recorded in Aug, but still indicates grocery prices remain elevated for many Canadians.
However, there is good news on the horizon for Canadian shoppers. On July 5th, eligible Canadians (low- and modest-income Canadians) received a one-time grocery rebate payment to help alleviate the rising costs of groceries. Furthermore, on October 5th the federal government and Canada’s biggest grocery chains (Loblaw, Metro, Empire, Walmart, and Costco) committed to implementing a range of measures including price freezes, price matching, and discounts to help stabilize food prices.
You can also amplify your savings on your grocery bill by using a rewards credit card that offers points or cash back. Since not all credit cards are accepted at every grocery, we’ve broken down our list of the best credit cards in Canada for groceries by store – so you can maximize your savings without having to compromise on where you shop.
Best credit cards for groceries in Canada – by grocery store
- Food Basics, Longo’s, McEwan, Metro, Pusateri’s, Rabba, Safeway, Sobeys, Whole Foods: American Express Cobalt and Scotiabank Gold American Express
- Freshco, Loblaws, Superstore: CIBC Dividend Visa Infinite and Scotia Momentum Visa Infinite
- Best Costco credit card: CIBC Costco Mastercard
- No Frills: Tangerine Money-Back Card
- Walmart Supercentres: Tangerine Money-Back Card and Walmart Rewards Mastercard
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Best credit card for groceries at Food Basics, Longo’s, McEwan, Metro, Rabba, Sobeys and Whole Foods
featured
4.5 Ratehub rated
Best for Groceries & dining
First year reward
based on spending $2,200/mo after $156 annual fee
- Earn rewards
1pt – 5pts / dollar earn rate
- Welcome bonus
15,000 bonus points (a $150 value)
- Annual fee
$156
Perks
- Ratehub.ca’s 2023 Award Winner – Best Rewards Credit Card
- In your first year as a new Cobalt Cardmember, you can earn 1,250 Membership Rewards® points for each monthly billing period in which you spend $750 in net purchases on your Card. This could add up to 15,000 points in a year. That’s up to $150 towards a weekend getaway or concert tickets
- Earn 5x the points on eligible eats and drinks in Canada, including groceries and food delivery. Spend cap applies.
- Earn 3X the points on eligible streaming subscriptions in Canada
- Earn 2X the points on eligible ride shares, transit & gas in Canada
- Earn 1 additional point on eligible hotel and car rental bookings via American Express Travel Online
- Earn 1X point for every $1 in Card purchases everywhere else
- Enjoy access to hotel bookings, a room upgrade (when available), 12pm check-in and late check-out (when available), and up to $100 USD hotel credit to use on amenities when charged to the room for a stay of 2 or more consecutive nights through The Hotel Collection from American Express Travel
- Transfer points 1:1 to several frequent flyer and other loyalty programs
- Cobalt Cardmembers receive regular Perks such as bonus reward offers and access to great events
- Access Front Of The Line® Presale & Reserved Tickets to some of your favourite concerts and theatre performances and special offers and events curated for Cardmembers with American Express® Experiences
- American Express is not responsible for maintaining or monitoring the accuracy of information on this website. For full details and current product information, click the Apply Now link. If you apply and get approved for an American Express Card, (I/we) may receive compensation from American Express, which can be in the form of monetary payment
Features
Ratehub’s take
The American Express Cobalt is one of Canada’s best travel credit cards. If you’re looking for a versatile credit card that rewards both everyday spending and travel, the American Express Cobalt is an ideal choice. Cardholders can enjoy strong travel insurance, a generous welcome offer, and flexible point redemption options.
Pros
- Exceptional point earning: 5x the points on eligible restaurant and food delivery, 3x the points on eligible streaming services, 2x the points on travel and daily transit. The earning potential for restaurants and takeout is significantly higher than most other cards
- Flexible point redemption: Travelers can choose from three ways to use their points: points 1:1 to several valuable loyalty programs including Aeroplan, use the Fixed Points Program to simplify redemptions regardless of travel dates, or use points for statement credits at a rate of 1 point = 1 cent. Or, redeem Membership Rewards for travel, gift cards, merchandise, or purchases
- Exclusive access: Enjoy privileges such as Front of the Line Presale and Reserved tickets to concerts, theatre performances, movie screenings, culinary events, and other special offers
- Comprehensive travel insurance: Benefit from a strong travel insurance package, including up to $5,000,000 in travel emergency medical
- No additional fee for authorized users: Add authorized users for no extra cost (an average fee of $30-50 on other comparable cards)
Cons
- Monthly fee: A monthly fee of $12.99 (totalling an annual fee of $156, which is higher than most other rewards cards)
- Limited acceptance: American Express isn’t as widely accepted in Canada compared to Visa and Mastercard
- Travel insurance age limitations: The travel insurance package does not cover trip cancellation or medical coverage for cardholders over the age of 65
- Lack of airport lounge access: Frequent travellers may be disappointed as this card does not offer access to airport lounges
Minimum credit score: 725 Minimum income: N/A Purchase interest: 21.99% Cash advance: 21.99% Balance transfer: 21.99% Eligibility requirements
Interest rates
Ratehub.ca’s Take
For the third year in a row, we have selected the American Express Cobalt as the Best Overall Rewards Credit Card in Canada. The American Express Cobalt is the perfect choice for a rewards card that delivers for both everyday spending and travel. The card offers a flexible point redemption system, a strong travel insurance policy, and a generous welcome bonus. With its top-notch rewards system, cardholders earn 5 times the points on eligible restaurants, groceries, and food delivery purchases (spend cap applies), 3 times the points on eligible streaming services, and 2 times the points on ride shares, transit, and gas.
Also consider
featured
4.0 Ratehub rated
Best for Groceries & dining
First year reward
based on spending $2,200/mo after $120 annual fee
- Earn rewards
1pt – 5pts / dollar earn rate
- Welcome bonus
40,000 bonus points (a $400 value)
- Annual fee
$120
Perks
- Earn up to $650* in value in the first 12 months, including up to 40,000 bonus Scene+ points.
- You will not pay 2.5% foreign transaction fees on any foreign currency purchases, including online shopping and when travelling abroad. Only the exchange rate applies
- Earn 5X Scene+ points for every $1 CAD spent on eligible grocery stores, restaurants, fast food, and drinking establishments. Includes popular food delivery and food subscriptions
- Earn 3X Scene+ points for every $1 CAD spent on eligible gas and daily transit. Includes rideshare, buses, taxis, subway, and more
- Earn 1X Scene+ point for every $1 spent on every other purchase
Features
Ratehub’s take
The Scotiabank Gold American Express Card earns anhonourable mention as one of the best overall travel credit cards for the outstanding benefits it offers to cardholders. This card stands out as a top choice, thanks to its exceptional return on spending and a variety of travel-related perks. This card is particularly useful for those who dine out often, travel, and enjoy entertainment.
Pros
- No foreign exchange fee: Save on foreign currency purchases while travelling abroad or shopping online, as this card doesn’t charge the typical 2.5% foreign transaction fee
- Extensive insurance coverage: Enjoy comprehensive travel insurance, including the $1 million travel medical insurance, which lasts for 25 days and is one of the longer coverage periods available on the market
- High return on spending: Earn five points per $1 spent on groceries, restaurants, food delivery, and entertainment – one of the best in class multipliers in the market. Earn three points per $1 spent on gas and transit expenses
Cons
- Limited acceptance: American Express isn’t as widely accepted in Canada compared to Visa and Mastercard
- Annual Fee: This card carries an annual fee of $120
- Fixed point values: Although earn rates are high, travel points are always worth one cent per point and you can’t transfer your points to other airline rewards programs like you can with other cards
- Airport lounge access is not free:Although you’ll get a discount on a Priority Pass membership for airport lounge access, lounge visits aren’t included with the card
Minimum credit score: 725 Minimum income: $12,000/yr Purchase interest: 20.99% Cash advance: 22.99% Balance transfer: 22.99% Eligibility requirements
Interest rates
Ratehub.ca’s take
The Scotiabank Gold American Express Card has a best in class return on spending due to the 5 times multiplier for every $1 spent on groceries, restaurants, food delivery and entertainment and 3 times multiplier on gas and transit. This adds up to a ton of points on your everyday purchases. On top of that, cardholders will not have to pay a foreign transaction fee on foreign currency purchases and have access to a cohesive travel insurance package.
A caveat of both these above mentioned cards is that – as American Express Cards – they’re not as universally accepted at all grocery chains including most discount grocers and all Loblaw-owned stores. However, if you make your food runs at groceries where American Express is accepted, the Cobalt or Scotiabank Gold should be your top consideration.
Ratehub.ca’s take
The CIBC Costco Mastercard is a great choice if you’re a regular at Costco. You’ll earn 1% back on your in-store purchases, and earn at a higher rate for Costco gas and restaurant spending during the welcome bonus period. Keep in mind, though, that your cash back rewards can only be redeemed at Costco, and are given once per year.
This card also offers some perks like instalment plans on Costco purchases, offering you a lower interest rate over a longer period of time. It also offers mobile device insurance if you use your card to purchase a phone. However, the card doesn’t offer much else in the way of perks.
Best credit card for groceries at Freshco, Loblaws, and Superstore
featured
4.5 Ratehub rated
Best for Groceries & gas
First year reward
based on spending $2,200/mo after the annual fee
- Earn rewards
1% – 4% earn rate
- Welcome bonus
$250
- Annual fee
see Details
Perks
Ratehub.ca’s 2023 Award Winner – Best Cash Back Credit Card
Welcome Offer: Get a first-year annual fee rebate and earn 10% cash back welcome bonus of up to $250 (first 4 statements)!†
- After that, get 4% cash back on eligible gas, EV charging and grocery purchases.†
- 2% cash back on eligible transportation, dining purchases and recurring payments†
- 1% cash back on all other purchases†
- Get cash back on demand – redeem your cash back at any time when you have a minimum of $25 through CIBC Online and Mobile Banking®†
- Save on gas with CIBC and Journie Rewards
- Link and use your CIBC Dividend® Visa Infinite* Card with Journie Rewards to save up to 10 cents per litre† at participating Pioneer, Fas Gas, Ultramar and Chevron gas stations.†
- This is a digital-exclusive offer.To be eligible for this offer: 1) this offer must have been directly communicated to you from CIBC or from a partner/affiliate; and 2) you must apply for the eligible card through the link provided in the CIBC or partner/affiliate communication to you.† This offer is reserved for you. Please do not forward it to anyone else.
- CIBC may approve your application, but you are not eligible to receive this Offer if you have opened, transferred or cancelled another Dividend card within the last 12 months.†
- This offer is not available for the residents of Quebec.
- †Terms and Conditions Apply
Features
Ratehub’s take
The biggest selling point of the CIBC Dividend Visa Infinite is its impressive rewards on everyday essentials. On top of the 1% earn rate for all purchases, this card earns 4% cash back on both groceries and gas purchases – the best on the market, for two of the most common spending categories for Canadian households.
Pros
- High earn rates on specific categories: Significantly higher earn rates on groceries, EV charging, and gas than most other cards (4% cash back)
- Redeem any time: Users can redeem rewards at any time as a statement credit starting in increments of $25
- Convenient payment option for large purchases: Access to CIBC’s Pace It program, allowing you to pay off large purchases in monthly increments
- Exclusive program access: Access to the Visa Infinite Program, entitling you to attend special dining events and hotel perks at participating hotels and restaurants
Cons
- Income requirement: The annual fee ($120) and personal income requirements ($60,000) may be prohibitive
- Limited insurance coverage: Insurance coverage isn’t as comprehensive as other similar rewards cards (if insurance is a priority for you, consider the cards featured on our list of best credit cards for travel insurance)
- Annual cash back is limited: While the points earnings rate is impressive, annual rewards at 4% and 2% are capped at $80,000 total, then you’ll earn at the base rate
Minimum credit score: 725 Minimum income: $60,000/yr Purchase interest: 20.99% Cash advance: 22.99% Balance transfer: 22.99% $120Eligibility requirements
Interest rates
Annual fee
Ratehub.ca’s take
The biggest selling point of the CIBC Dividend® Visa Infinite* is its impressive rewards on everyday essentials. On top of the 1% earn rate for all purchases, this card earns an industry-leading 4% cash back on both groceries and gas purchases – two of the most common spending categories for Canadian households. Thanks to CIBC’s new Cash Back on demand feature, cardholders can choose to redeem rewards at any time as a statement credit starting in increments of $25.
The card offers a significantly higher earn rate on groceries and gas than most other cards at 4% cash back. Plus, redemption options are extremely flexible, allowing users to redeem their cash back at any time in increments of $25. A notable perk is access to the Visa Infinite Program, entitling you to attend special dining events and hotel perks at participating hotels and restaurants. You’ll also get travel insurance and rental car coverage, which is impressive for a cash back card.
Also consider
featured
Best for Groceries & bills
First year reward
based on spending $2,200/mo after $120 annual fee
- Earn rewards
1% – 4% earn rate
- Annual fee
$120 $0 first year waived
Perks
- Earn 10% cash back on all purchases for the first 3 months (up to $2,000 in total purchases). No annual fee in the first year, including on supplementary cards. Offer ends October 31, 2024.
- Earn 4% for every $1 you spend on grocery store purchases, recurring bill payments, and subscription purchases.
- Earn 2% for every $1 you spend on gas purchases and daily transit purchases.
- Earn1%cash back on all other purchases with no cash back limit.
Features
Ratehub’s take
The Scotiabank Momentum Visa Infinite Card offers impressive rewards on everyday purchases. This card earns great cash back on many categories – however, its stand-out feature is 4% cash back on groceries. This card can help offset rising household expenses and is considered to be one of the best cash back credit cards.
Pros:
- High cash back rate on essentials: Enjoy significantly higher earn rates on groceries and gas than most other cards (4% cash back)
- Comprehensive insurance coverage: Benefit from strong insurance coverage typically is reserved for travel credit cards
- Lucrative welcome offer
Cons:
- Spending cap on bonus categories: Annual total spend limit of $25,000 on the 4% and 2% spending categories; thereafter, the earn rate drops to 1%
- Limited redemption flexibility: Cash back reward is only offered as a statement credit once per year in November and cannot be redeemed in smaller amounts or any other time of year
Minimum credit score: 725 Minimum income: $60,000/yr Purchase interest: 20.99% Cash advance: 22.99% Balance transfer: 22.99% Eligibility requirements
Interest rates
Ratehub.ca’s take
Similar to the CIBC Dividend Visa Infinite credit card, the Scotiabank Momentum Visa Infinite card offers impressive rewards on everyday purchases. This card earns 4% back on groceries, recurring bill payments, and subscriptions like Netflix, 2% on gas, local transit and transportation costs and 1% on everything else. This card can help offset rising household expenses and is considered to be one of the best cash back credit cards.
Plus, the card offers strong insurance coverage which typically is reserved for travel credit cards. The annual fee is also waived for the first year, helping you keep a bit more money in your pocket while earning great rewards.
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Best credit card for groceries at No Frills and Walmart Supercentres
Get a $100 Cash Bonus upon approval
featured
4.5 Ratehub rated
Best for Flexible spending
First year reward
based on spending $2,200/mo after $0 annual fee
- Earn rewards
0.5% – 10% earn rate
- Welcome bonus
$100
- Annual fee
$0
Perks
- Ratehub.ca’s 2023 Award Winner – Best No Fee Cash Back Credit Card
- Life’s back in session. Enjoy it with an extra 10% back.*
- Apply for a Tangerine Money-Back Credit Card by October 31, 2024 and earn an extra 10% back (up to $100) when you spend up to $1,000 in everyday purchases within your first 2 months.*
- Earn 2% Money-Back Rewards on purchases in two 2% Money-Back Categories of your choice, and 0.50% Money-Back Rewards on all other purchases.
- Earn extra rewards – have your Money-Back Rewards deposited into a Tangerine Savings Account, and get a 3rd 2% Money-Back Category.
- No limit on the amount of Money-Back Rewards you can earn.
- Change your 2% Money-Back Categories to suit your spending.
Ratehub’s take
While the Tangerine Money-Back Credit Card is a no annual fee card, what really sets it apart is the ability to customize your rewards. With this card, you can choose your own bonus categories (which will earn you a strong cash back rate of 2% per dollar spent). This is rare in the credit card market and means you can avoid being locked into a bonus category that you can’t take full advantage of, or that doesn’t align with your spending habits.
Pros
- Customizable bonus categories: Flexibility to pick up to three bonus categories to earn 2% cash back on (out of a total of 10 options), which is in sharp contrast to most other cards where you have fixed bonus categories that you have no control over. Users are also given the freedom to change the bonus categories at any time (changes will take up to 90 days to come into effect)
- High cash back earning rate: 2% cash back per dollar on bonus categories is one of the richest earn rates for a no-fee card, plus your rewards are unlimited and don’t have monthly or annual maximums
- Wide acceptance: Widely accepted almost everywhere including No Frills and Costco
- Additional cards at no cost: Free supplementary cards for authorized users
- Frequent cash back reimbursem*nt: Cash back is refunded on a monthly basis, instead of the standard annual reimbursem*nt
Cons
- Limited cash back for non-bonus categories: For all purchases that aren’t categorized under one of your chosen bonus categories, you’ll earn just 0.5% cash back
- Limited travel insurance and perks: No travel medical insurance or any substantial side perks
Minimum credit score: 660 Minimum income: $12,000/yr Purchase interest: 19.95% Cash advance: 19.95% Balance transfer: 1.95% for the first 6 months. 19.95% after promo. Eligibility requirements
Interest rates
Ratehub.ca’s take
While the fact that the Tangerine Money-Back Credit Card is a no annual fee card is a big reason behind its popularity, what really sets this card apart is the customizability and flexibility. With this card, you can choose your own bonus categories (which will earn you a strong cash back rate of 2% per dollar spent). This is rare in the credit card market and means you can avoid being locked into a bonus category that you can’t take full advantage of or that doesn’t align with your spending habits. On top of that, your cash back is refunded on a monthly basis (instead of the standard annual reimbursem*nt).
The 2% cash back per dollar on bonus categories is one of the richest earn rates for a no-fee card, and cash back is paid monthly (instead of the standard annual reimbursem*nt), allowing you to enjoy the benefits of your cash back faster. You also have the freedom to change up your bonus categories at any time (changes will take up to 90 days to come into effect). The card is widely accepted almost everywhere including No Frills and Costco as it is a Mastercard credit card, so you can earn where you shop the most.
Also consider: Walmart Rewards Mastercard
Ratehub.ca’s take
If you are a frequent shopper at Walmart, the Walmart Rewards Mastercard lets you earn Walmart Rewards on purchases everywhere and use them to save when shopping at Walmart. With this card you can earn 1.25% back pre-tax in Walmart Rewards for all your Walmart purchases and 1% back in Walmart Rewards on all other purchases. While it is believed that the earn rate at Walmart doesn't stand out to competitors, the 1% cash back for all other purchases is quite competitive for a no fee credit card.
Pros
- No annual fee and low income requirements
Also Read
- Four tax credits and rebates for Fall 2023
- The best cash-back credit cards in Canada
- The best no fee credit cards in Canada
- 16 ways to save money on groceries
Frequently Asked Questions
What is the best Costco credit card?
The CIBC Costco Mastercard is the best choice for a Costco credit card in Canada. Costco exclusively accepts Mastercard credit cards, which dwindles down your choice of plastic. Furthermore, Costco isn’t recognized as a grocery store by Mastercard, so you won’t earn any bonus points on your credit card with some cards (for example, if your card offers 2% back per dollar on groceries and 1% for all other purchases, you’ll earn 1% at Costco). Another Costco credit card option is the Tangerine Money-Back credit card, although since Costco is not considered a grocery store, you won't be able to earn 2% back if you choose groceries as a rewards category. You'll still earn 0.5%, though.
What is the best credit card for Walmart?
Walmart accepts all cards, but in order for your purchases to go through asgroceries(and in turn, earn you bonus points or cash back) you should:
- Use your card specifically at one of the retailer’s larger Walmart Supercentres.
- Use a Mastercard – it’s the only card company that categorizes Walmart Supercentres as a grocery. Visa and American Express view spending at Walmart as generic purchases (usually giving you a flat 1% return or less), even if you have groceries as a bonus category.
With those caveats in mind, we recommend theTangerine Money-Back Credit Card.
What is the best credit card for No Frills?
Similar to Costco, No Frills only accepts Mastercard. Unlike Costco, however, No Frills is categorized as a grocery store by Mastercard and is owned by Loblaws Companies Limited, which opens up more credit card options and opportunities to save. We recommend theTangerine Money-Back Credit Cardfor grocery shopping at No Frills.
