5 Things to Know About the BMO CashBack World Elite Mastercard
Nerdy Verdict
Best for:
People who already have a BMO Premium Chequing Account and want a premium credit card to go with it.
Not ideal for:
People who regularly spend beyond boosted category caps or want a quick-to-earn welcome bonus without substantial spending.
Why we like it:
The card has undeniably high earn rates before the spending caps, and the flexible get-it-whenever-you-want cash-back can be redeemed for as little as $1.
The BMO CashBack World Elite Mastercard has flashy cash-back earn rates, an alluring welcome bonus and flexible redemption options.
But as we’ll discover frequently about this card, what the large print giveth, the fine print taketh away.
Behind every high earn rate (up to 5%) are low category caps, while the welcome bonus (up to $480 in cash back) requires consistent spending throughout the year. An unfortunate surprise for those who don’t read the terms and conditions.
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Cash back on groceries.*
Cash back on transit including ride sharing, taxis and public transportation.*
Cash back on gas and electric vehicle charging.*
Cash back on recurring bill payments.
Cash back on all other purchases*.
A category-strong cash-back card that shines on essential spending categories, including a whopping 5% back on groceries, 4% on transit and 3% on gas. Lofty annual income criteria could be a dealbreaker, though. Best for: Canadians who spend big on groceries or commutes seeking simple cash-back returns.
Pros
- Redeem cash back at any time.
- Discounted airport lounge access for $32 USD per visit.
Cons
- $80,000 individual or $150,000 household annual income requirement.
- Get up to $650 in value and the annual fees waived in the first year. Plus, get a 0% introductory interest rate on Balance transfers for 12 months with a 2% transfer fee.*
- Earn more cash back on the categories that mean the most: 5% on groceries.* 4% on transit including ride sharing, taxis and public transportation.* 3% on gas and electric vehicle charging.* 2% on recurring bill payments like your monthly phone bill or favourite streaming service.* 1% unlimited cashback on all other purchases.*
- Extended warranty and purchase protection*
- Complimentary membership in Mastercard Travel Pass provided by DragonPass.*
- Complimentary Roadside Assistance Program*; Including battery boosts, flat-tire change, lockout service and towing – a $75/year value.
- BMO CashBack World Elite Travel and Medical Protection.*
- Unlock Mastercard Travel Rewards cashback offers when you travel and shop outside of Canada.
- Enjoy six months of Instacart+ and a $10 monthly Instacart credit when you enroll your eligible BMO Credit Card.*
- *Terms and conditions apply.
- BMO is not responsible for maintaining the content on this site. Please click on the Apply now link for the most up to date information.
We’ve stripped everything down into five main points that you’ll want to know about before deciding whether or not it’s worthwhile to peg in your wallet as your number one.
1. Earn boosted earn rates across multiple categories, but watch out for spending limits
At first glance, the earn rates look pretty solid, but on the first stop of our fine-print journey, we hit the spending-cap section.
Advertised earn rate | Spending cap per statement period |
|---|---|
5% on groceries | $500 |
4% on transit, including rideshares and taxis | $300 |
3% on gas and EV charging | $300 |
2% on recurring bulls | $500 |
1% on everything else | None |
If you exceed the category’s spending cap, purchases above the cap earn only 1%. Your total cash back will still increase, but your effective earn rate will fall as more of your spending earns the base rate.
So, for large families or for people who commute to work often, you may be earning less the more you spend.
Groceries may not count towards the bonus either! Walmart and Costco do not count towards this bonus as their merchant codes do not classify them as grocery stores, so you’ll only be earning the base 1%.
2. It may be out of reach for some
With a $139 annual fee and a minimum income requirement of $80,000 personal or $150,000 household, this card may be out of reach for those who don’t meet these requirements.
One group this card could be especially useful for is existing BMO customers. The annual fee is high, but can be fully rebated by those who have an existing BMO Premium Chequing Account.
Again, reading the fine print will unearth that customers with a BMO Premium Chequing Account will need to spend $15,000 in qualifying purchases to waive the fee.
This points to a trend we’ll see agan with this card’s welcome bonus: attractive value tied to substantial minimum-spend requirement.
3. Don’t get fooled by the enticing welcome bonus
BMO boasts of $650 in first-year value, but putting it under the microscope reveals that earning the full cash-back bonus requires sustained spending.
First, the advertised welcome bonus includes up to $480 in bonus cash back. The rest is split up between the $139 annual-fee waiver and roadside assistance valued by BMO at $75.
For each of the first 12 billing cycles, you’ll earn $40 in bonus cash back if you spend at least $2,000 in net purchases. To earn the full $480, you must meet that threshold in every cycle, for a total of at least $24,000 over the year.
At the minimum required spending, the bonus works out to an additional 2% cash back, on top of the card’s regular earnings. But the cycle-by-cycle structure leaves little room for an off month: fall short during one billing cycle and you’ll miss that cycle’s $40 bonus.
» EXPLORE: The best credit card welcome bonuses in Canada right now
4. Redeem whenever you want
One of the biggest perks to having this card is that you can redeem your cash back whenever you want, for as little as $1. This makes it one of the most flexible options in Canada.
Other cards require you to have a minimum amount in rewards. The TD Cash Back Visa Infinite, for example, requires at least $25 to make an on-demand redemption.
Others, like the SimplyCash Card from American Express, apply your rewards as a statement credit only once per year, in September.
» MORE: Best cash-back credit cards in Canada
5. Roadside assistance and other perks could be a lifesaver
This card comes with roadside assistance, which is an uncommon perk that you’ll be glad to have in your back pocket when you need it most. Some services include:
Battery boosting.
Delivering gas if you run out.
Flat tire changes.
Lockout services.
Winching of a vehicle stuck in mud, a ditch, or snow.
Towing up to 10km.
You can get a maximum of four service calls per year, per member.
The card also offers discounts at several popular rental-car companies in Canada and the U.S., including:
Rental-car company | Discount |
|---|---|
Avis | Up to 30% off prepaid base rates, or at least 10% off when you book with the card. |
Budget | Up to 35% off prepaid base rates, or at least 10% off when you book with the card. |
National | Up to 20% off when you use BMO’s rental-car booking tool. |
Your roadside assistance applies while you’re driving almost any eligible passenger vehicle you own, borrow or rent.
Which cards can be a better fit?
If you can’t justify the spending caps or annual fee, here are a few other cards worth considering.
Choose the TD Cash Back Visa Infinite if you want an easier-to-earn welcome bonus. You can earn up to $350 after spending $3,500 in eligible categories during the first three months. It also has higher category caps — $15,000 annually in each of four category groups — and unlimited roadside-assistance dispatch calls.
Choose the Scotiabank Momentum Visa Infinite +* Card if you spend a lot on groceries and recurring bills. With 4% back in both categories under a combined $25,000 annual spending cap, you can earn more. Its annual fee is also lower: $120 vs. $139.
Choose the BMO CashBack Mastercard if you want to earn cash back but don’t want to pay the annual fee. Note that it also caps boosted grocery and recurring-bill earnings at $500 per statement period.
Conclusion
Because of all the fine print and caveats that come with this card, it’s got a bit of competition when it comes to being the top cash-back card in Canada.
A lot of the bonuses and benefits are locked behind a minimum spending requirement, making the card less palatable for most users.
It can still work well for existing BMO Premium Chequing Account customers who expect to put at least $15,000 on the card annually and can keep their boosted-category spending within the caps.
Otherwise, one of the alternatives above may offer more predictable value.
Nerdy Verdict
Best for:
People who already have a BMO Premium Chequing Account and want a premium credit card to go with it.
Not ideal for:
People who regularly spend beyond boosted category caps or want a quick-to-earn welcome bonus without substantial spending.
Why we like it:
The card has undeniably high earn rates before the spending caps, and the flexible get-it-whenever-you-want cash-back can be redeemed for as little as $1.
DIVE EVEN DEEPER
Athena Cocoves
