[wpcode id=\"6346\"]
{{card.name}} Review
![\"\"](\"https://www.dollarwise.ca/wp-content/uploads/2023/06/BMO-Preferred-Rate-MasterCard.png\")
{{card.annualFee}}
Annual Fee
{{card.rewards}}
Annual Rewards
{{card.introOffer}}
Intro Offer
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Annual fee
{{card.rewards}}
Annual rewards
{{card.introOffer}}
Intro offer
Pros
{{Pros}}
Cons
{{Cons}}
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Performance test results
At DollarWise, for each credit card we test 7 different factors including the rewards, value for money, perks, insurance, strengths and weaknesses of the card.
You can see our full testing methodology here to learn why we're the most trusted source for credit card reviews.
The {{card.name}} has earned a {{ranking}} DollarWise Rating out of 5. This score is based on a weighted average of the two highest scoring factors (excluding acceptance and approval).
{{factor_score_rewards}}
Rewards
{{factor_score_fee}}
Fees
{{factor_score_perks}}
Perks
{{factor_score_interest}}
Interest rates
{{factor_score_insurance}}
Insurance
{{factor_score_acceptance}}
Acceptance
{{factor_score_approval}}
Approval
The highest scoring categories for the {{card.name}} are {{score_1}} and {{score_2}}.
These factors are weighted 70% to the highest scoring factor and 30% to the second highest score to get an overall review score.
This weighting allows us to judge cards on their merits and the customers they are designed for.
For the {{card.name}} the most important factors for scoring this card are its {{score_1}} and {{score_2}}.
Rewards
With the {{card.name}}, here's the rates at which you earn rewards for different spending categories per dollar you spend:
| Bills | {{reward_bills}} |
| Pharmacy | {{reward_drug}} |
| Gas | {{reward_gas}} |
| Groceries | {{reward_grocery}} |
| Restaurants | {{reward_restaurant}} |
| Specific Stores | {{reward_store}} |
| Travel | {{reward_travel}} |
| All Other Spend | {{reward_other}} |
Calculating your annual rewards
We estimate that spending {{monthlyspend}} per month with the {{card.name}} would earn {{card.rewards}} in rewards over the year.
Our performance testing research uses an accurate estimation of the average Canadian households spending patterns to predict the rewards a card will earn.
We found that you'd earn this per category:
| Bills | {{bills_dollarrewards}} |
| Pharmacy | {{drug_dollarrewards}} |
| Gas | {{gas_dollarrewards}} |
| Groceries | {{grocery_dollarrewards}} |
| Restaurants | {{restaurant_dollarrewards}} |
| Specific Stores | {{store_dollarrewards}} |
| Travel | {{travel_dollarrewards}} |
| All Other Spend | {{other_dollarrewards}} |
Our study investigating the value found that each dollar spent on the {{card.name}} is worth up to {{card.max_reward}}, depending on how you redeem.
This {{card.rewards}} in rewards value puts the {{card.name}} in the {{decile.annual_rewards}} of credit cards in Canada based on rewards earned.
The average credit card in our database earns {{averages.mean_annual_rewards}} in rewards for the same spend that the {{card.name}} earns {{card.rewards}} in rewards value.
![\"\"](\"http://www.dollarwise.ca/wp-content/uploads/2024/01/BMO-Preferred-Rate-MasterCard_rewards_comparison.svg\")
We can compare this card to other options by looking at the earn rate by category.
This earn rate is the percentage return that you would get when you spend on this card, assuming you redeem at the predicted maximum value.
For example, if a card earned 5 points per dollar on gas and each point is worth up to $0.02, then the earn rate is 5 points multiplied by $0.02 each, divided by the dollar you spent.
In this example, that's a 10% earn rate on gas.
| Spend | This Card | Average |
|---|---|---|
| Bills | {{bills_earnrate}} | {{averages.mean_bills_earnrate}} |
| Pharmacy | {{drug_earnrate}} | {{averages.mean_drug_earnrate}} |
| Gas | {{gas_earnrate}} | {{averages.mean_gas_earnrate}} |
| Groceries | {{grocery_earnrate}} | {{averages.mean_grocery_earnrate}} |
| Restaurant | {{restaurant_earnrate}} | {{averages.mean_restaurant_earnrate}} |
| Store | {{store_earnrate}} | {{averages.mean_store_earnrate}} |
| Travel | {{travel_earnrate}} | {{averages.mean_travel_earnrate}} |
| Other | {{other_earnrate}} | {{averages.mean_other_earnrate}} |
| Redemption method | Annual rewards |
|---|---|
| Transfer to partner airlines | {{transfer_airlines}} |
| Fixed points travel | {{fixed_points_travel}} |
| Transfer to partner hotels | {{transfer_hotel}} |
| Redeem for travel | {{redeem_travel}} |
| Apply to statement credit | {{statement_credit}} |
| Ticketmaster | {{ticketmaster}} |
| Charity | {{charity}} |
| Gift cards | {{gift_cards}} |
| Amazon.ca | {{amazon}} |
| Merchandise | {{merchandise}} |
| Make investments | {{investments}} |
| Enjoy experiences | {{experiences}} |
| Car rentals | {{car_rental}} |
| Vacations | {{vacation}} |
| Attractions | {{attractions}} |
| Cash rewards | {{cash_rewards}} |
| Grocery rewards | {{grocery_rewards}} |
| Restaurant rewards | {{restaurant_rewards}} |
| Movie rewards | {{movie_rewards}} |
| Apple / BestBuy | {{apple_bestbuy}} |
| Flight rewards | {{flight_rewards}} |
| Airlines Rewards (Charts) | {{airlines_rewards_chart}} |
| CIBC financial products | {{cibc_financial_products}} |
| Air travel - redemptions (scheduled) | {{air_travel_redemptions_schedule}} |
| RBC travel | {{rbc_travel}} |
| Transfer to WestJet | {{transfer_westjet}} |
| Transfer to Hudson Bay | {{transfer_bay}} |
| RBC financial products | {{rbc_financial_products_rewards}} |
| Air Canada gift cards | {{aircanada_gift_card}} |
| Air Canada vactions | {{air_canada_vacations}} |
| Electronics gift cards | {{electronics_gift_cards}} |
| Cash - World Elite | {{cash_worldelite}} |
| Cash - Platinum Plus | {{cash_platinumplus}} |
| Banking plans | {{banking_plans}} |
| Desjardins financial products | {{desjardins_financial_products}} |
| Expedia travel | {{expedia_td}} |
| Educational rewards | {{education_rewards}} |
| HSBC financial products | {{hsbc_financial_products}} |
| Walmart | {{walmart_rewards}} |
| Triangle (Canadian Tire) | {{triangle_rewards}} |
| Meridian travel | {{meridian_travel}} |
| Direct deposit | {{direct_deposit_rewards}} |
| Costco gift cards | {{costco_gift_cards}} |
| Wireless Rogers rewards | {{wireless_rogers_rewards}} |
| 1 Rogers rewards | {{1_roger_rewards}} |
| Other Rogers rewards | {{other_roger_rewards}} |
| Other 1 Rogers rewards | {{other_1_roger_rewards}} |
For an annual spend of {{annualspend}}, we estimated annual rewards value at up to {{total_net_rewards}}.
That's equivalent to a {{total_earn_rate}} return on spending.
The {{card.name}} has an annual fee of {{card.annualFee}}. After deducting this, we predicted net annual rewards of {{net_after_fee}}.
This puts it in the {{decile.net_annual_rewards}} of credit cards for net rewards after fees.
In comparison, the average card earns net annual rewards of {{averages.mean_net_annual_rewards}}.
Fees
The {{card.name}} has a {{card.annualFee}} annual fee.
The average card charges {{averages.mean_annual_fee}}. So, the {{card.name}} is in the {{decile.annual_fee}} of cards based on the cost of the annual fee.
Perks
![\"\"](\"http://www.dollarwise.ca/wp-content/uploads/2024/01/BMO-Preferred-Rate-MasterCard_perk_score.png\")
We manually review the perks of each credit card to determine how they compare to other cards.
The {{card.name}} scored a {{factor_score_perks}} out of 5 for perks, putting it in the {{decile.factor_score_perks}} of cards.
The average card scores {{averages.mean_factor_score_perks}} out of 5 for perks.
Interest Rates
| Purchase | {{purchase_interest_rate}}% |
| Cash Advance | {{cash_advance_interest_rate}}% |
| Balance Transfer | {{balance_transfer_interest_rate}}% |
The average (median) credit card has a purchase interest rate of {{averages.median_purchase_interest_rate}} and so the {{card.name}} charges {{purchase_interest_diff}} than the average.
For cash advances it costs {{cash_advance_interest_rate}}% compared to the average of {{averages.mean_cash_advance_interest_rate}}.
![\"\"](\"http://www.dollarwise.ca/wp-content/uploads/2024/01/BMO-Preferred-Rate-MasterCard_interest_accumulated_difference.jpg\")
Testing the {{card.name}} with a $2,000 starting balance, you can see in the graph how the {{purchase_interest_diff}} in interest rates impacts the interest over a year, compared to the average card.
Insurance coverage
| Insurance | This Card | Average |
|---|---|---|
| Extended Warranty | {{warranty}} | {{averages.median_warranty}} |
| Purchase Protection | {{purchase_protection}} | {{averages.median_purchase_protection}} |
| Travel Accident | {{travel_accident}} | {{averages.median_travel_accident}} |
| Emergency Medical Term | {{emergency_medical_term}} | {{averages.median_emergency_medical_term}} |
| Emergency Medical over 65 | {{emergency_medical_65}} | {{averages.median_emergency_medical_65}} |
| Trip Cancellation | {{trip_cancellation}} | {{averages.median_trip_cancellation}} |
| Trip Interruption | {{trip_interruption}} | {{averages.median_trip_interruption}} |
| Flight Delay | {{flight_delay}} | {{averages.median_flight_delay}} |
| Baggage Delay | {{baggage_delay_insurance}} | {{averages.median_baggage_delay_insurance}} |
| Lost or Stolen Baggage | {{stolen_baggage}} | {{averages.median_stolen_baggage}} |
| Event Cancellation | {{event_cancel}} | {{averages.median_event_cancel}} |
| Rental Car Theft & Damage | {{rental_theft_damage}} | No |
| Rental Car Personal Effects | {{rental_personal}} | {{averages.median_rental_personal}} |
| Rental Car Accident | {{rental_accident}} | {{averages.median_rental_accident}} |
| Hotel Burglary | {{hotel_burglary}} | {{averages.median_hotel_burglary}} |
| Mobile Phone Insurance | {{mobile_insurance}} | {{averages.median_mobile_insurance}} |
| Personal Effects Insurance | {{personal_effects}} | {{averages.median_personal_effects}} |
| Price Protection Insurance | {{price_protection}} | {{averages.median_price_protection}} |
We scored it {{factor_score_insurance}} out of 5 for insurance.
It offers {{insurance_count}} types of insurance, whereas the average card has {{averages.insurance_count}} types of coverage.
Approval and qualifying
| Do I qualify? | |
|---|---|
| Estimated Credit Score | {{credit_score_low}} - {{credit_score_high}} |
| Personal Income | {{personal_income}} |
| Household Income | {{household_income}} |
| Fees | |
|---|---|
| Annual Fee | {{card.annualFee}} |
| Extra Card Fee | $0 |
| Card type | {{card_type}} |
We scored it {{factor_score_approval}} out of 5 for approval.
We predict that you will require a credit score of at least {{credit_score_low}} to qualify for the {{card.name}}, while the average card requires {{averages.mean_credit_score_low}} to qualify.
This puts it in the top {{decile.credit_score_low}} of cards by approval difficulty.
The personal income requirements are {{personal_income}}, while the average card requires {{averages.mean_personal_income}}.
This puts it in the {{decile.personal_income}} of cards by the income required to qualify.
The BMO Preferred Rate MasterCard credit card is a straightforward, low-interest card with a simple rewards system. In this review, we will discuss its earning potential, four primary benefits, two drawbacks, and some additional interesting features for potential users.
Earning potential with the card
This credit card does not focus on rewards in terms of points or cashback. Rather, it highlights a low, competitive interest rate and a few perks. The BMO Preferred Rate MasterCard credit card is not designed to optimize rewards in specific categories such as dining, travel, or grocery spending.
Benifits
- Low Annual Fee: One of the top advantages of this card is its low annual fee of $20. This makes it an attractive option for those looking for a credit card with a minimal yearly cost.
- Low-Interest Rate: This card offers a low-interest rate of 12.99% on purchases and balance transfers. With this competitive rate, the BMO Preferred Rate MasterCard is an excellent option for individuals seeking to keep interest costs down, especially when compared to other cards with higher interest rates.
- Purchase Protection and Extended Warranty: Along with the low annual fee and interest rate, cardholders can enjoy peace of mind with purchase protection and double the manufacturer’s original warranty up to one additional year on purchases made with the card—providing extra value and security on eligible items.
- Global Accessibility through MasterCard Network: As part of the MasterCard network, this card allows international spending at most retailers and ATMs, making it convenient for individuals who travel or make online purchases from international merchants.
Drawbacks
- Limited Rewards Program: While the low-interest rate is a perk of this card, it lacks the robust rewards programs of other credit cards. Individuals seeking extensive cashback or rewards points for specific spending categories may find this card less appealing.
- No Signup Bonus: The BMO Preferred Rate MasterCard does not currently offer any sign-up promotions or bonuses, unlike many other credit cards in the market. This may impact its attractiveness to some potential applicants.
Additional information
Having a BMO Preferred Rate MasterCard credit card allows users to add authorized users at no additional charge, which can be a helpful budgeting and convenience feature for families or shared living situations.
In conclusion, the BMO Preferred Rate MasterCard is best suited for individuals looking for a simple, low-cost, low-interest credit card without a focus on extensive rewards programs.
While it may not be the ideal choice for those seeking high rewards earnings or unique perks, it does offer a solid option with a competitive interest rate and essential credit card benefits.
Interested in other credit cards? If the BMO Preferred Rate MasterCard credit card isn’t perfect for you, you might want to consider the BMO Air Miles World Elite MasterCard. Plus, many Canadian’s that like the BMO Preferred Rate MasterCard like the BMO Cashback MasterCard, and the BMO Cashback World Elite MasterCard.
FAQ
The BMO Preferred Rate MasterCard does not offer a rewards points system. Instead, this credit card focuses on providing cardholders with a lower interest rate on purchases and balance transfers. Therefore, there is no points redemption system associated with this particular credit card.
The BMO Preferred Rate MasterCard credit card does charge foreign transaction fees. Cardholders can expect to pay a fee of 2.5% on purchases made in a foreign currency.
This fee is applied on top of the converted amount when the transaction is posted to the account. It is important for potential cardholders who frequently make international transactions to consider this fee when choosing the BMO Preferred Rate MasterCard credit card.
The BMO Preferred Rate MasterCard credit card does not have a minimum income requirement. This makes it accessible to a wider range of applicants who may not meet income requirements of other credit cards.
Key benefits
- APR: 12.99% on purchases, cash advances, and balance transfers
- Annual fee: $0
- Balance transfer promotion: 3.99% rate for first 9 months
- Purchase protection: 90-day insurance for theft or damage
- Extended warranty: Up to an additional year on eligible items
- Max credit limit: $25,000
- Grace period: 21 days or more on new purchases
- Foreign transaction fee: 2.5%
- Supplementary cards: Allowed, with no extra charges
- Contactless payment: Supported, with MasterCard PayPass
- Online account management: Present, for reviewing statements and tracking transactions
- Eligibility: Canadian residents, 18 years old or above
- Paperless statement: Provided as desired
- Travel insurance: Not available
- Reward program: Absent on this card
- Authentication: Enhanced security with MasterCard SecureCode for online transactions
- Mobile application: Supported for easy access and control of card activities
- Customer service: Available 24/7 for assistance and inquiries