Rankings
Best Credit Cards for Bad Credit in Canada
We record one guaranteed card in the catalogue: the Capital One Guaranteed Mastercard, with no annual fee, a 29.9% purchase rate and no rewards. It is approved against a deposit you provide and reports to the credit bureaus like any other card.
What credit card can I get with bad credit in Canada?
The Capital One Guaranteed Mastercard is the one guaranteed card we record: $0 a year, a 29.9% purchase rate, and no reward program recorded.
| Card | Annual fee | First-year value | Net annual rewards |
|---|---|---|---|
| TopCapital One Guaranteed Mastercard | $0 | $0 | $0 |
A guaranteed card is approved against a security deposit you provide. The deposit sets the credit limit and normally stays on hold while the account is open; the card’s own terms state the deposit and any minimum.
We record exactly one guaranteed card, and we show no rewards on it. Where a card has no recorded reward program, that is what the page shows rather than an invented rate.
Put it into practiceFind My CardHow does a secured card build credit?
It reports to the credit bureaus like any other card, so on-time payments and a low balance build a history in your own name that a later unsecured application can rely on.
Payment history and how much of your limit you use carry the most weight in a credit score. A card you use lightly and pay in full each month does more for a file than one you use heavily.
A pre-authorized payment from your bank account removes the risk of a missed due date, which is the most damaging single event for the file you are trying to build.
Which cards charge no annual fee and ask for no income?
8 cards we track record no personal or household income requirement and no annual fee, starting with the Scotiabank American Express and the SimplyCash Card from American Express.
| Card | Annual fee | First-year value | Net annual rewards |
|---|---|---|---|
| TopScotiabank American Express | $0 | $364 | $364 |
| SimplyCash Card from American Express | $0 | $329 | $329 |
| BMO CashBack Mastercard | $0 | $380 | $282 |
| ATB Gold Cash Rewards Mastercard | $0 | $331 | $252 |
| ATB Gold My Rewards Mastercard | $0 | $298 | $248 |
These are ordinary unsecured cards. No income requirement recorded does not mean no credit check, and the issuer still decides on your file.
Where an unsecured application would be refused, the guaranteed card is the route rather than a series of declined applications, each of which leaves an inquiry on your report.
Do student cards build credit too?
The Scotiabank Scene+ Visa Card for Students and the Scotia Momentum No-Fee Visa Card for Students are student cards with no annual fee, recording $240 and $178 in net annual rewards on our example profile.
| Card | Annual fee | First-year value | Net annual rewards |
|---|---|---|---|
| TopScotiabank Scene+ Visa Card for Students | $0 | $240 | $240 |
| Scotia Momentum No-Fee Visa Card for Students | $0 | $178 | $178 |
Student cards are unsecured cards offered on relaxed criteria to enrolled students, and they report to the bureaus in exactly the same way.
A student card is a starting point rather than a destination: once the history supports it, a card with a better rate and better rewards is available.
What does a bad-credit card cost if you carry a balance?
The guaranteed card records a 29.9% purchase rate: $1,000 carried for a year costs about $299 in interest before any payment.
| Card | Purchase rate | Annual fee | Interest on $1,000, one year |
|---|---|---|---|
| TopScotiabank Platinum American Express | 9.99% | $399 | $100 |
| Desjardins Flexi Visa | 10.9% | $0 | $109 |
| MBNA True Line Gold Mastercard | 10.99% | $39 | $110 |
| Desjardins Odyssey Visa Infinite Privilege | 11.9% | $395 | $119 |
Interest at that rate dwarfs anything a starter card can pay back, which is why paying in full is the whole strategy on a card like this.
The lower-rate cards in the table below are aimed at applicants with an established history, so they are the destination rather than an option today — when your file supports it, a lower rate changes the arithmetic more than a higher reward does.
How do I compare these with the rest of the catalogue?
Find My Card re-ranks every card we track on your own monthly spending, and shows where no personalized estimate is available.
WalletReturn example spending of $2,000/month: groceries $500, dining $200, gas $150, transit $80, travel $100, recurring bills $200, entertainment $100, drugstore $40, online $300, other $330.
A recorded fact is never turned into an assumed one, and an unrecorded cap or fee stays unrecorded rather than being filled in for or against a card.
Keep reading
Choosing a cardSecured Credit Card vs Prepaid Card in CanadaThe difference between a secured credit card and a prepaid card in Canada: which one builds credit, what each costs, your protections, and which to choose if you’re new to credit or rebuilding.
Credit scoresBest Credit Cards to Build or Rebuild Credit in CanadaThe easiest Canadian credit cards to get approved for, secured and guaranteed cards, and the habits that raise your score fastest.
Credit scoresWhat Is a Good Credit Score in Canada?Canadian credit score ranges explained (300 to 900), what lenders consider good, and how long information stays on your Equifax and TransUnion reports.- Credit scoresHow to Improve Your Credit Score in CanadaNine steps that raise a Canadian credit score, in order of impact, with how long each takes to show up.
Official sources and further reading
Terms vary by product. Confirm the provider’s current terms before acting. This guide does not predict approval, realized value or credit-score changes. How WalletReturn calculates value