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BMO Cashback Mastercard
6 Jul 2019

A BMO Cashback Credit Card Puts More Money In Your Wallet

Money makes the world go around, and cash back credit cards are one of the easiest ways to get a little more of it coming back to you each month. There are several BMO cashback cards to choose from and all are solid choices for at least some potential applicants. You can learn more about them below to see if you’re one of the many who would enjoy having one of their own.

What Are the BMO Cashback Rates?

BMO’s reward rates for their cash back cards are middling at best, but they are beautifully simple and stay very fair to lower-level consumers. They range from 1% at the very bottom rungs (entry-level cards like the BMO Cashback Mastercard and the student card) to 1.5% on the upgraded World Elite Mastercard version. None of these cards has any special bonus categories that allow you to receive extra cash for spending on certain items or other expenses, so they fit well with any budget and can be used in a relaxed manner without forcing you to plan out your purchases for the maximum reward value. With regards to the two low-level cards, at least, it’s also pure profit right from the start with these rewards, since the cards themselves are free. The $120 you would have to spend to get the better card might be a bit harder to recoup, but as we’ll get into later on, there are plenty of reasons to choose that card without worrying about the expense regardless. Overall, while there are cards that will give you a higher reward yield each month and at the end of the year, what you’ll get from a BMO Cashback card will always be remarkably consistent and easy to predict. For some people, that will be the more attractive way to get rewards, but be warned that you might become frustrated if you go into your time with one of these cards expecting to reap piles of cash with little spending done. That is not a realistic expectation in this case; the strengths of BMO’s cashback cards lies elsewhere.

What Makes the BMO Cashback Program Special

While there are undeniably many cash back credit cards for Canadians to choose from, that doesn’t mean that there are no differences between these many offerings beyond the actual rates they offer. One of the more subtle things you can look at when choosing a cash back card is how exactly that card’s specific cash back system works. Most of them operate in a single, straightforward way – you spend money on your card, you accumulate your rewards, and you redeem them for credit on your next statement. In this way, you can purchase something that you intend to cover with reward dollars and have that purchase be essentially paid for in that way, even if there was no direct cash transfer. This system works well enough and is easy to understand, so it’s the standard for how Canadian card providers do these things.

BMO, on the other hand, goes out of their way to make things a little more special and versatile for their customers. You can still do things the usual way if you want – all you have to do is cash in your current reward credits for a statement credit, which is easily done on their website portal. While you’re there, though, you’ll find that you have two other options for things you can do with your reward money.  The first actually functions much like you would expect a cash back feature to do; it allows you to deposit your reward credit right into a BMO chequing or savings account. This lets you get access to your cash without having to go through the intermediary of a credit card bill to do so. It also lets you actually save up your cash in a more direct manner, especially if you route the rewards right into your savings from the start. If you really want to save aggressively, though, your best option might actually be to take the third option. With it, you can use your reward dollars to make an investment in your BMO InvestorLine account and watch your money grow over time. The payoff will be small since the reward amounts will be also, but it will add up over time and it’s great to have such a forward-thinking option to take advantage of.

Enjoy Great Benefits and Bonus Offers, Too

BMO cashback credit cards aren’t desirable just for their rewards alone; like many credit cards these days, they also include some extra perks to sweeten the deal. The basic cards only come with a discount on car rentals at National or Alamo rental locations, but even that token offer is appreciated. You’ll get the real value by going for the World Elite upgrade, which gets you all kinds of travel insurance bundled with it as well as fancy fringe benefits like concierge service and a free roadside assistance membership. This is where the higher-level card packs the value to justify the fee it charges, so if you’re looking for extras like that, give this card a closer look.

Even if you want to stick with the basics, though, you’ll be pleased to see that BMO cashback cards often come with excellent welcome bonuses that vary very little across the range: the lower cards get the same deals as the high ones and vice-versa. At the moment, getting any of these cards could get you 5% cash back on everything you buy (for 3 months or up to $2,000 in charges, whichever comes first) and the chance to pay just 1.99% interest on balance transfers, and that offers lasts until November 30th of 2019. The only card with an annual fee, the World Elite one, also comes with your first year’s fee waived for a 120 savings. All of these things provide great incentives for anyone with existing debts or a desire to make some extra cash fast to consider trying one of these cards out.

Saying Yes or No to a BMO Cashback Mastercard

Should you apply for a BMO cashback card for yourself? That depends on what you’re looking for when you do so. As we said before, if getting your hands on as much cash as possible is your main goal, that’s not going to work out with this card and you’ll be better off with many of the other cards out there that use bonus rates and other incentives. Instead, these cards excel in the hands of people who want a well-rounded card and are primarily focused on saving their cash back rewards instead of spending them. BMO’s program is one of the few that allows you to do that effectively, and the very egalitarian way that they choose to construct their reward rates and welcome bonuses can also be very appealing to those who know that the high-tier cards are out their reach. These cards are not a universally perfect option, but for the right people, they’ll perform admirably.

Here are some other interesting articles from out website:
About BMO Cashback MasterCard
Getting Money Back With the BMO Cashback Mastercard
The Many Lucrative Faces of the BMO Cashback Mastercard