Top 5 Prepaid Cards in Canada for October 2026
Published Oct 14, 2026 2:57 PM • 4 min read
Whether you like to stick to a controlled budget, are new to Canada or recovering from poor credit, a prepaid card could be the solution for you, at least temporarily. In this post, we've compiled the best prepaid contenders based on accessibility, cash back, and perks.
Data-driven rankings of 120+ credit cards using a proprietary algorithm
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FinlyWealth's credit cards content, including rankings and recommendations, is overseen by a team of engineers and writers who specialize in credit cards, banking, and personal finance. Our work has been featured in The Globe and Mail, GoBankingRates, and AOL. Our proprietary analysis systems evaluate product features, terms, and conditions to deliver comprehensive reviews and comparisons while maintaining strict editorial standards for accuracy and integrity.
Best Prepaid Cards in Canada
Our choice for: Best Overall
on EQ Bank's website
RECOMMENDED CREDIT SCORE
4.4/5
The EQ bank card is not a credit card; it's a prepaid card, so you will not be able to get the same level of rewards as when using a credit card and it will not build credit. But if getting a prepaid card is your goal, then this card is, without a doubt, the best choice. Voted the best "Prepaid Card" in Canada, this card offers rewards and benefits that are mostly not offered by other prepaid cards. Earning interest on balance, rewards on purchases, no foreign transaction fee, and especially the unique no ATM fee that no other card provides, makes this card the best among prepaid cards.
Pros
- Best prepaid card
- No ATM fees
- Interest earned on balance
- No foreign transaction fee
- Some purchase cashback
Cons
- No insurance
Rewards
- 0.5% cash back on every purchase
Benefits
Details
No Foreign Transaction Fees
Pay no extra FX fees when making purchases outside of Canada
Free ATM withdrawal
ATM fee reimbursement for Canada only
Interest on Balance
Base rate of 1.00%*, or 2.75%** bonus rate
Eligibility
Credit Score
N/AAnnual Income
N/A
Our choice for: Best Premium Cash Back
on KOHO's website
Finly Special Offer
Welcome Bonus
New clients can earn 10% cash back* using promo code FW10C26
Annual Fee
$177
Interest Rates
N/A / N/A
RECOMMENDED CREDIT SCORE
4.6/5
The KOHO Everything Mastercard offers a combination of high cash back rewards and a unique 3.5% interest on your balance, along with no foreign transaction fees. While the $177 annual fee is steep for a prepaid card, it could be worth it for those who can maintain a high balance, frequently make purchases in the bonus categories and travel internationally with spend in foreign currencies.
Pros
- High rewards
- No foreign transaction fees
- Interest earned on balance
- No credit check
- Unlimited e-transfers
- Discount on credit building
- Select merchant cashback
Cons
- High annual fee
- Low base earn rate
- No insurance
Rewards
- 2% cash back on groceries, eating & drinking, and transportation
- 0.5% cash back on all other purchases
- Up to 6.5% extra cash back at selected merchants
- 3.5% interest on your entire balance
Benefits
Details
No Foreign Transaction Fees
No more paying 2.5% or more on your foreign purchasesInterest on Balance
3.5% interest on your entire balance
Unlimited e-Transfers
Discount
Discount on Credit Building - only $5/mo
Eligibility
Credit Score
PoorAnnual Income
N/A
Our choice for: Best Mid-Tier Cash Back
on KOHO's website
Finly Special Offer
Welcome Bonus
New clients can earn 10% cash back* using promo code FW10C26
Annual Fee
$144
Interest Rates
N/A / N/A
RECOMMENDED CREDIT SCORE
4.1/5
For those who don't aim to build their credit and are more interested in a prepaid card, this KOHO card is a good option. With benefits like interest on the whole balance, a foreign transaction fee waiver, and unlimited e-transfers, this is a very solid prepaid card. However, if your goal is to build credit, there are better options available to assist with that goal. Additionally, assess whether the monthly fee is worth the benefits you get compared to the basic card.
Pros
- Rewards program
- Select merchant bonus cashback
- No foreign transaction fees
- Interest on balance
- Unlimited e-transfer
- Credit building discount
- Poor credit approval
Cons
- Benefit monthly fees
- Weaker credit building
- High annual fee
- No insurance
Rewards
- 1.5% cash back on groceries, eating & drinking, and transportation
- 0.25% cash back on all other purchases
- Up to 6.5% extra cash back at selected merchants
- 2.5% interest on your entire balance
- No FX fees
Benefits
Details
No Foreign Transaction Fees
No more paying 2.5% or more on your foreign purchasesInterest on Balance
2.5% interest on your entire balanceUnlimited e-Transfers
Discount
Discount on Credit Building - only $7/mo
Eligibility
Credit Score
PoorAnnual Income
N/A
Our choice for: Best Welcome Bonus
on Wealthsimple's website
Welcome Bonus
$25 Exclusive bonus for new clients (min $1 funding required)
Rewards Rate
N/A
Annual Fee
$0
Interest Rates
N/A / N/A
RECOMMENDED CREDIT SCORE
3.7/5
The Wealthsimple Visa Platinum prepaid card offers a no-fee, no-FX-fee spending solution that waives ATM fees on withdrawals across the globe and lets you automatically grow your rewards—in a high-interest savings account, investments, or crypto. Its simplicity and flexibility make it ideal for Canadians, though it forgoes traditional credit-card perks and insurance.
Pros
- No annual fee
- No foreign transaction fees
- Instant approval
- ATM fee reimbursement
- High interest on account balance
Cons
- No insurance
- No revolving credit
- Lacks premium perks
Rewards
- The highest-interest rate for a chequing account in Canada (up to 2.25%)2
- No minimums, monthly fees, or overdraft penalties
- No ATM fees or Foreign Transaction (FX) fees4,5
- Access to 60,000 ATMs across the country
- Third-party ATM fee reimbursements4
- Unlimited free Interac e-Transfers®, bill payments, and debit transaction
- 0.5% interest boost (up to 2.25% total) when you set up eligible direct deposits6
- Up to $1 million in CDIC deposit insurance coverage on eligible CAD deposits7
- Up to eight individual and eight joint accounts to help organize your money for different goals like vacations, emergency fund, etc.
Benefits
Details
No Foreign Transaction Fees
Avoid FX fees when you travel abroadFree ATM withdrawal
ATM fee is reimbursed at all ATMs across the globe, no limits
Eligibility
Credit Score
PoorAnnual Income
N/A
From our Editors: The Full List of Best Prepaid Cards in Canada
Best Overall: EQ Bank Card
The best overall prepaid card in terms of accessibility, rewards, and perks is the EQ Bank Card. This no-fee contender earns a flat-rate of cash back on every purchase, avoids foreign transaction fees, offers free ATM withdrawals, and has the potential to earn one of the most competitive interest rates on balance. To learn more, read our EQ Bank Card Review.
Best Accessible Cash Back: KOHO Essential Mastercard
KOHO has an impressive catalogue of prepaid cards, the most accessible of the bunch being the KOHO Essential Mastercard. For no annual fee, this card earns you some cash back on groceries, dining, and transportation, plus interest on your balance. You can also collect extra cash back from select merchants to boost those lower initial cash back rates. Unfortunately, this KOHO card has relatively fewer benefits, but it's still worth considering if you're a budget-conscious spender. Get the full details in our KOHO Essential Mastercard Review.
Best Premium Cash Back: KOHO Everything Mastercard
Another one of the best KOHO cards in Canada is the premium KOHO Everything Mastercard. Optimizing both saving and spending, this card collects the highest cash back rates on groceries, dining, and transportation, plus additional cash back at select merchants. Cardholders also earn interest on their entire balance. While there is no insurance coverage, members benefit from perks like no foreign transaction fees, unlimited e-transfers, and a discount on credit building services. The catch? This prepaid card has one of the highest annual fees. Read more in our KOHO Everything Mastercard Review.
Best Mid-Tier Cash Back: KOHO Extra Mastercard
The perfect mid-way point between the Everything and the Essential, the KOHO Extra Mastercard earns you solid cash back on groceries, dining, and transportation, plus interest on your balance. Like the others, this card also allows you to collect extra cash back at select merchants. The benefits are similar to the Everything tier, providing cardholders with no foreign transaction fees, unlimited e-transfers, and a discount on credit building services. Compared to the KOHO Everything Mastercard, this alternative card has a lower annual fee, making it more affordable. See more in our KOHO Extra Mastercard Review.
Best Welcome Bonus: Wealthsimple Visa Platinum prepaid card
Want a prepaid card with some sign-up incentive? Consider the Wealthsimple Visa Platinum prepaid card, one of the top Wealthsimple Cards in Canada and best no foreign transaction fee cards in Canada. After signing up, new clients receive a bonus once they fund their chequing account. This same chequing account earns one of the highest interest rates in Canada. On top of no foreign transaction fees, this card also boasts no ATM fees, unlimited free Interac e-Transfers, bill payments, and debit transactions, plus no minimums, monthly fees, or overdraft penalties. Find out more in our Wealthsimple Visa Platinum prepaid card Review.
How Prepaid Cards Work
A prepaid card doesn’t pull funds from a bank account or credit line. Instead, money is preloaded onto the card by the cardholder. You can’t spend more than what you’ve loaded onto the card and any transactions that exceed the preloaded amount will be denied. You can use your prepaid card to purchase items online and in-store. Reloadable prepaid cards allow you to refill the card’s balance each time it runs out, and non-reloadable prepaid cards become void after the preloaded balance has been spent.
Prepaid Cards vs Credit Cards in Canada
As mentioned previously, prepaid cards extract preloaded money deposited by the cardholder to make purchases. Essentially, you can only spend what you've contributed. Credit cards, on the other hand, borrow money from a creditor up to a specified credit limit. The money you borrow must be paid off by the balance due date, otherwise you'll accumulate interest and collect debt.
Credit cards help establish your financial profile by building credit reflective of positive payment behaviour. Prepaid cards don't build credit, however, they offer a simple way to stick to a budget and avoid credit checks, which can be ideal for newcomers or those with poor credit.
Read More: The Difference Between a Prepaid Card and a Credit Card in Canada
Pros and Cons of Prepaid Cards
There are a few benefits and drawbacks to prepaid cards:
Pros | Cons |
|---|---|
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Frequently Asked Questions
Prepaid cards are worth it for the budget-conscious or those who can't qualify for a regular credit card because of poor credit or lack of credit history.
According to our list, the best overall prepaid card in terms of accessibility, rewards, and perks is the EQ Bank Card.
Prepaid cards make payments using loaded funds previously transferred onto the card. Debit cards make payments using the money you have available in your bank account.
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