Desjardins Cash Back Mastercard Review

4.88

$0

Annual Fee

$306

Annual Rewards

N/A

Intro Offer

$0

Annual fee

$306

Annual rewards

N/A

Intro offer


Pros


  • No annual fee
  • 1% cash back on all purchases
  • 2% cash back on groceries
  • Flexible cash back redemption
  • Purchase protection and extended warranty
  • Mobile device insurance coverage

Cons


  • Limited travel insurance benefits
  • Lower cash back rate compared to premium credit cards
  • 2% cash back on groceries capped at $400 per month
  • No bonus cash back categories or rewards partners

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 Desjardins Cash Back Mastercard has earned a 4.88 DollarWise Rating out of 5. This score is based on a weighted average of the two highest scoring factors (excluding acceptance and approval).

Rewards

Fees

Perks

Interest rates

Insurance

Acceptance

Approval

The highest scoring categories for the Desjardins Cash Back Mastercard are fees and insurance.

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 Desjardins Cash Back Mastercard the most important factors for scoring this card are its fees and insurance.

Rewards

With the Desjardins Cash Back Mastercard, here’s the rates at which you earn rewards for different spending categories per dollar you spend:

Bills2%
Pharmacy1%
Gas1%
Groceries1%
Restaurants2%
Specific Stores1%
Travel1%
All Other Spend1%

Calculating your annual rewards

We estimate that spending $2,000 per month with the Desjardins Cash Back Mastercard would earn $306 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$84
Restaurants$48
All Other Spend$174

Our study investigating the value found that each dollar spent on the Desjardins Cash Back Mastercard is worth up to $0.01, depending on how you redeem.

This $306 in rewards value puts the Desjardins Cash Back Mastercard in the bottom 50% of credit cards in Canada based on rewards earned.

The average credit card in our database earns $337 in rewards for the same spend that the Desjardins Cash Back Mastercard earns $306 in rewards value.

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.

SpendThis CardAverage
Bills2.00%1.25%
Pharmacy1.00%1.17%
Gas1.00%1.48%
Groceries1.00%1.71%
Restaurant2.00%1.53%
Store1.00%1.94%
Travel1.00%1.19%
Other1.00%1.08%
Above, we’ve calculated the earn rate for the Desjardins Cash Back Mastercard for every spend category and compared it to the average for all Canadian credit cards.
Redemption methodAnnual rewards
Apply to statement credit$257

For an annual spend of $24,000, we estimated annual rewards value at up to $306.

That’s equivalent to a 1.28% return on spending.

The Desjardins Cash Back Mastercard has an annual fee of $0. After deducting this, we predicted net annual rewards of $306.

This puts it in the top 50% of credit cards for net rewards after fees.

In comparison, the average card earns net annual rewards of $254.

Fees

The Desjardins Cash Back Mastercard has a $0 annual fee.

The average card charges $85. So, the Desjardins Cash Back Mastercard is in the bottom 50% of cards based on the cost of the annual fee.

Perks

We manually review the perks of each credit card to determine how they compare to other cards.

The Desjardins Cash Back Mastercard scored a 0.9 out of 5 for perks, putting it in the bottom 30% of cards.

The average card scores 1.6 out of 5 for perks.

Interest Rates

Purchase19.9%
Cash Advance19.9%
Balance Transfer19.9%

The average (median) credit card has a purchase interest rate of 19.99% and so the Desjardins Cash Back Mastercard charges 0.09% less than the average.

For cash advances it costs 19.9% compared to the average of 19.96%.

Testing the Desjardins Cash Back Mastercard with a $2,000 starting balance, you can see in the graph how the 0.09% less in interest rates impacts the interest over a year, compared to the average card.

Insurance coverage

InsuranceThis CardAverage
Extended Warranty1 year1 year
Purchase Protection90 days90 days
Travel Accident$10,000$500,000
Emergency Medical Term3 days15 days
Emergency Medical over 653 days4 days
Trip Cancellation$500$1,500
Trip Interruption$1,000$2,000
Baggage Delay$500$500
Lost or Stolen Baggage$500$1,000
Mobile Phone Insurance$1,000$1,000

We scored it 4.6 out of 5 for insurance.

It offers 10 types of insurance, whereas the average card has 5 types of coverage.

Approval and qualifying

Do I qualify?
Estimated Credit Score760 – 900
Personal Income$0
Household Income$0
Fees
Annual Fee$0
Extra Card Fee$0
Card typeMasterCard

We scored it 2.5 out of 5 for approval.

We predict that you will require a credit score of at least 760 to qualify for the Desjardins Cash Back Mastercard, while the average card requires 652 to qualify.

This puts it in the top top 10% of cards by approval difficulty.

The personal income requirements are $0, while the average card requires $23,896.

This puts it in the top 50% of cards by the income required to qualify.

The Desjardins Cash Back Mastercard is a popular options for Canadians seeking a straightforward credit card with a focus on cash back rewards. Here, we’ll dive into the card’s earning potential, benefits, drawbacks, and other relevant information to help you decide if it’s the right choice for you.

Earning potential

The Desjardins Cash Back Mastercard earns cash back on every purchase, with no categories to keep track of – making it a perfect option for those who prefer simplicity.

Cardholders earn 1% cash back per dollar spent on all purchases, regardless of the spending category. This means that whether you’re shopping for groceries, dining out, or booking travel, you’ll accumulate cash back effortlessly.

Benefits:

  1. Cash Back Rate: The first major advantage of this card is its simplicity. With a flat 1% cash back rate for all purchase categories, you won’t have to worry about complicated reward systems or constantly monitoring your spending habits to maximize your rewards.
  2. No Annual Fee: Another advantage of the Desjardins Cash Back Mastercard is the absence of an annual fee. This allows cardholders to enjoy the benefits of cash back rewards without having to spend a certain amount each year to offset the cost of an annual fee.
  3. Purchase Protection and Extended Warranty: This credit card also offers a purchase protection and extended warranty on eligible items purchased with the card. This means you’ll have peace of mind knowing that you’re covered in case of theft, loss, or damage within a specified time period and receive extended warranty coverage on your purchases.
  4. Priceless Cities Program: The Desjardins Cash Back Mastercard provides access to exclusive Mastercard experiences and offers through the Priceless Cities program. This program could provide you with exciting experiences, dining deals, and shopping offers in select cities around the world.

Drawbacks:

  1. Low Cash Back Rate: A significant drawback of the Desjardins Cash Back Mastercard is its relatively low cash back rate. While the 1% cash back is easy to understand and can accumulate over time, there are other credit cards on the market that offer higher cash back rates or bonus points in key spending categories.
  2. Limited Travel Benefits: The second drawback is the card’s limited travel benefits. The card doesn’t provide any travel insurance coverage, airport lounge access, or special travel-related rewards, making it less appealing for frequent travelers. If travel features are a priority, you may want to consider other credit card options.

Additional information:

Overall, the Desjardins Cash Back Mastercard can be a solid choice for those who want a simple cash back rewards card without an annual fee. It offers basic rewards on all purchases and comes with Mastercard-backed benefits, while not being as feature-rich as some competitor’s offerings.

Assess your spending habits and priorities when comparing this card to others on the market to ensure you pick the perfect credit card for your unique financial situation.

Interested in other credit cards? If the Desjardins Cash Back Mastercard credit card isn’t perfect for you, you might want to consider the Desjardins Bonus Visa. Plus, many Canadian’s that like the Desjardins Cash Back Mastercard like the Desjardins Cash Back Visa, and the Desjardins Cash Back World Elite Mastercard.

FAQ

The Desjardins Cash Back Mastercard allows cardholders to redeem their accumulated cash back rewards in several convenient ways. Here are the detailed redemption options:

  • Statement credit: You can choose to apply your cash back directly to your account balance as a statement credit. This will help reduce your overall credit card balance and save on interest charges.
  • Deposit into a Desjardins Financial account: Cardholders can opt to deposit their cash back rewards into a Desjardins chequing account or savings account. This allows you to use the rewards towards everyday expenses or savings goals.
  • Contribution to a Desjardins investment product: Another option is to invest your cash back into a Desjardins investment product, such as a term savings product, RRSP, RESP, or TFSA. This can be an excellent way to grow your wealth or save for a future goal.
  • Donation to a charitable organization: You can choose to donate your cash back rewards directly to a pre-approved charitable organization. This way, you can support a cause that is important to you while enjoying the convenience of a cash back rewards program.

The Desjardins Cash Back Mastercard credit card charges a foreign transaction fee of 2.5%.

This fee applies when you make a purchase in a foreign currency or when the purchase is processed by a foreign merchant, which means you will incur this fee when using the card for international traveling and shopping online from retailers located outside of Canada.

The Desjardins Cash Back Mastercard credit card does not have a specific minimum income requirement. This makes it an accessible option for applicants with various income levels.

Key benefits

  • Interest rate: 19.9%
  • Cash advances: 22.9%
  • Balance transfer: 22.9%
  • Grace period: 21 days
  • Minimum payment: Greater of $10 or 3% of total balance
  • No foreign transaction fees besides exchange rate markup
  • Credit limit: Subject to credit approval and income verification
  • Eligibility requirements: Canadian resident, good credit history
  • Additional benefits: Auto rental collision and loss damage insurance
  • Online account access: Monitor transactions, update information, pay bills, manage cash back rewards

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