If you have been a Simplii Financial Bank client for a while, then you know that they previously operated as PC Financial before re-branding as Simplii Financial, the direct banking arm of CIBC, on November 1, 2017. Since then, a couple of changes have occurred with the bank and they recently introduced their first ever credit card – the Simplii Financial Cash Back Visa Card.
As an ardent user of the PC Financial World Elite Mastercard, one of the best no-fee credit cards in Canada, I was interested in seeing what Simplii’s new credit card had to offer, and if it was comparable or better than the 3% cash back offer I get on the PC Financial MC when I shop at the Real Canadian Superstore (or the Loblaws chain of stores in general).
So, how does the new Simplii Visa Card stack up against other popular no-fee cash back cards in Canada? Read on to find out!
Simplii Financial Cash Back Visa Benefits and Features
1. No Annual Fee: There is no annual fee and this includes your primary card and up to three additional cards for authorized users.
2. Cash Back Rewards: For a no-annual-fee card, it has some compelling cash back offers including:
⇒ 4% on your restaurant spending up to $5,000 per year.
⇒ 1.50% on gas, groceries, drugstore purchases, and pre-authorized payments up to $15,000 per year.
⇒ 0.50% on all other purchases with no limit on how much you can earn.
As a welcome gift, they are also offering up to 10% cash back on your first $500 spend at restaurants and bars. This implies an additional $30 in cash back on top of the regular 4% offer for this spending category.
3. Purchase Security and Extended Warranty: You get free purchase security insurance of up to 90 days from the date of purchase, and extended warranty that doubles the manufacturer’s warranty by up to 1 year.
4. Easy Qualification: The annual household income threshold required to qualify for this card is very low at $15,000.
Related: Tangerine No-Fee Banking: Best Bank Account in Canada?
Downsides
Some cons of this card that should be taken into consideration:
It is only available to current Simplii clients which means you will need to have an active Simplii account e.g. their no-fee chequing account or high-interest savings account. Simplii’s online-only banking is great since they charge no monthly fees. However, this requirement can be a hassle if you don’t need a new bank account.
Cashback accumulates through the year and is reflected in your account as a one-time credit on your December statement. This is a bummer and unlike the cash back you earn on the no-fee Tangerine Money-Back Credit Card, which is paid out on a monthly basis.
The Simplii card is not available to residents of Quebec.
⇒ BONUS: Sign up for the Tangerine Cash Back Credit Card and earn unlimited 2% cash back in 3 categories.
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- Tangerine 2% Money-Back Credit Card Review
- Best Student Credit Cards in Canada
- Best Travel Credit Cards in Canada
- KOHO Visa Prepaid Card: Earn on Your Debit Purchases
Is The Simplii Financial Visa For You?
The cash back offered by the Simplii Financial Visa is not bad for a no-fee card. For example, if every month you spend $400 on restaurants, $700 on groceries, gas, and bill payments; and $100 on your other purchases, your total annual cash back would be $324, or $354 (including the 10% welcome offer). This is not bad at all!
Personally, we rarely eat out, so this card is not for me as I would not be able to take advantage of the 4% cash back on restaurants. For our occasional dining out, the Tangerine Money-Back Credit card is a better option.
However, if you dine out a lot, the Simplii Visa is attractive, as it pays you up to $200 per year on this spending category alone i.e. $5,000 x 4%. For restaurant/bar/coffee and takeout spending exceeding the $5,000 cap, you earn 0.5% in cash back.
While the 1.5% offer on groceries is good, the PC Financial Mastercard does better, paying you up to 4% cash back on your grocery spending at Loblaw stores, including their popular Superstores!
That being said, if you are in the market for a cash back card that has no annual fee, the Simplii Financial Cash Back Visa card is definitely worth checking out.
Simplii Financial Cash Back Visa Review
Summary
The Simplii Financial Cash Back Visa Card is Simplii’s first credit card offering. This review highlights its cash back offers and benefits as well as the downsides associated with the card.
i have fighting to try a simpli finnanacial cash back visa card
on Ontario diability check would that be wrong for me to do
I think it just can’t be over your exempt asset amount. I had a card when I got approved for odsp and they had no issues. They might feel different if you go into high debt on it right away for long term, but I’m always very careful never to spend more than I know I’ll be able to pay off in full. Worth a try. The stereotype is that nobody on disability can possibly avoid long term debt. I guess I enjoy proving the stereotype wrong
FYI: the 10% cashback offer is deceitful in the sense that a potential applicant might understand that the cashback rebate is up to $500, like I understood, however, it is up to $500 in spending at restaurants, which is nothing. Most people spend that in 2-3 weeks and will not go up to the 4 months they offer. If it was an “up to $500 cashback offer”, I can see how it might take $500 to attain, plus, it would’ve been more enticing. Very disappointing and gimmicky marketing.
@Tudor: True! Which is why it’s important to read the fine print thoroughly before applying for a credit card and also to read reviews like this one. 😉
I rarely eat out & need a credit card for balance transfers as well as purchases without being charged 27% (or higher). Any recommendations?
@Liv: There are a few options on this list below:
https://www.savvynewcanadians.com/best-credit-cards-canada/
Look a gift horse in the mouth on this one. The visa card never paid me the money it said I’d accumulated. There was a tiny note on the statement that I had to refer to the “message centre “ although there is no message centre on Simplii‘s site. Then the January statement showed my earned dollars balance as $0. They haven’t answered my email so I guess I’ll have to waste time on the phone with them.