The 7 best credit cards for bad credit in Canada: 2025 guide

If you’re struggling with a low credit score and looking for credit cards for bad credit, you’re not alone — and you’re not without options, either.

Getting approved for credit cards for bad credit in Canada might seem impossible, but there are actually several banks and fintech companies that offer reliable and affordable cards specifically designed to rebuild credit.

In this guide, we’ll show you the top credit cards options for bad credit available in 2025, how each card works, and what makes them suitable depending on your financial goals. Let’s dive in!

What makes a credit card good for bad credit?

Not all credit cards are created equal — especially when you’re trying to improve a bad credit score.

The best credit card for bad credit should not only be easy to qualify for but also help you build credit responsibly.

In this section, we’ll cover the key features to look for, including whether the card reports to credit bureaus, whether it’s secured or not, what fees to expect, and whether there’s potential to upgrade later.

These factors can help you make a smart choice that fits your financial journey.

7 best credit cards for bad credit in Canada

Even with bad credit, it’s still possible to get a good card in Canada. Some options are specifically designed to help you rebuild your score safely, with added benefits.

1. Secured Neo Mastercard

The Secured Neo Mastercard is one of the best options available today for Canadians with poor or no credit history.

Unlike traditional cards, it requires a security deposit that acts as your credit limit. No credit score is needed, making it accessible even for those who were recently denied elsewhere.

It offers up to 5% cashback at select partners, has no annual fee, and reports monthly to major credit bureaus — helping you build credit with responsible use.

The mobile app is intuitive and modern, ideal for younger users or those new to credit.

2. KOHO Prepaid Mastercard

KOHO is technically a prepaid card, but it deserves a spot on this list due to its unique approach to personal finance.

While it doesn’t directly impact your credit score, it helps develop healthy financial habits through budgeting tools and automatic savings features.

The card has no annual fee, earns cashback on everyday purchases, and doesn’t require a credit check — making it a safe choice while you work on your credit elsewhere.

There’s also a credit building add-on available through KOHO Extra.

3. BMO Cashback Mastercard (for low credit)

The BMO Cashback Mastercard is a rare find for those with fair to low credit looking for a credit card for bad credit in Canada.

This no-annual-fee card offers 0.5% to 3% cashback in key spending categories like groceries and recurring bills.

While it typically requires a score around 600, approval is possible for those recovering with stable income.

It’s an unsecured card, so no deposit is required, but the interest rate is high if balances aren’t paid off in full monthly.

4. PC Financial Mastercard

The PC Mastercard is a solid rewards option that works best for loyal shoppers within the PC Optimum ecosystem.

While it’s not designed for very low scores, people with credit scores around 600 and consistent income can be approved.

There’s no annual fee, and the card earns PC Optimum points that can be redeemed for groceries, pharmacy items, and more.

The main downside is the limited benefit outside the PC network — but if you already shop there regularly, the value is undeniable.

5. Scotiabank Value Visa

The Scotiabank Value Visa was created for people who may occasionally carry a balance. It offers one of the lowest interest rates among major Canadian cards, currently at 12.99%.

While it usually requires fair credit, applicants with stable finances and low debt ratios may qualify.

There’s a $29 annual fee, but for those rebuilding credit, the lower interest charges can quickly offset the cost. It’s a reliable stepping stone to a stronger credit profile.

6. TD Aeroplan Visa Platinum

If you’re planning to rebuild your credit and travel at the same time, the TD Aeroplan Visa Platinum offers a balance between accessible requirements and great travel perks.

With an annual fee of $89 (often waived in the first year), the card offers Aeroplan points on every dollar spent and sign-up bonuses for new users.

While not suitable for very low scores, it’s a great option once your score improves into the 600 range.

7. Scotiabank Passport Visa Infinite

While this card isn’t for beginners, the Scotiabank Passport Visa Infinite is a fantastic long-term target.

With a score requirement around 700+, it offers no foreign transaction fees, six free airport lounge visits per year, and strong Scene+ points rewards.

The annual fee is $150, but frequent travelers will appreciate the savings and perks.

It represents the kind of high-value card you can qualify for after successfully using a credit card for bad credit to rebuild your profile.

How to use these cards to rebuild credit

Getting approved for credit cards for bad credit in Canada is just the first step — how you use it determines how fast you improve your score.

Always pay your full balance on time, keep your credit utilization low (below 30%), and avoid applying for multiple cards at once.

Use the card consistently for small, manageable purchases and monitor your credit report every few months to track your progress.

With time and discipline, you’ll be able to qualify for better cards and financial products.

No matter how low your credit score is right now, there’s a way forward — and the right credit card for bad credit can help you get there.

From no-fee secured cards to prepaid options with helpful features, there’s something for every situation. Take time to compare the benefits, understand the terms, and apply wisely.

And don’t forget to visit our site regularly for updated financial tips, card reviews, and the best tools to support your journey.

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