The holiday shopping season (November–December) is the highest-spending period for most Canadian households. Using the right credit card during this time maximizes rewards on gifts, groceries, travel, and dining.
Holiday Shopping by Category
Gifts and General Shopping
| Card | Annual Fee | Rate on General Shopping |
|---|---|---|
| Amex SimplyCash Preferred | $119.88/yr | 2% everywhere |
| Tangerine Money-Back | $0 | 2% in chosen categories |
| Most bank cash back cards | $0–$120 | 1% base |
For gifts that don’t fall into a bonus category (clothing, electronics, toys), a flat 2% card like the Amex SimplyCash Preferred is hard to beat.
Holiday Grocery Shopping
December grocery spending spikes significantly — Christmas dinner, entertaining, baking supplies. Cards with high grocery earn rates shine here:
| Card | Annual Fee | Grocery Rate |
|---|---|---|
| BMO CashBack World Elite | $120 | 5% |
| PC Financial World Elite | $0 | 4.5% at Loblaws/Shoppers |
| Scotiabank Momentum Visa Infinite | $120 | 4% |
| CIBC Dividend Visa Infinite | $120 | 4% |
Holiday Dining and Entertaining
Restaurants, catering, and hosting costs rise in December. The best dining cards:
| Card | Annual Fee | Dining Rate |
|---|---|---|
| Amex Cobalt | $155.88/yr | 5x MR on food and drink |
| Simplii Financial Cash Back Visa | $0 | 4% dining |
| National Bank World Elite | $150 | 5x on restaurant |
| Scotiabank Gold Amex | $120 | 3x on dining |
Online Shopping (Amazon.ca, Indigo, etc.)
For Canadian online retailers, any rewards card works — all major cards are accepted online. Use your highest flat-rate card (Amex SimplyCash Preferred at 2%) for items that don’t qualify for bonus categories.
Holiday Travel
If you’re flying home for the holidays or booking New Year’s travel, Aeroplan-earning cards are particularly valuable during this season when Aeroplan flash bonuses are common:
- TD Aeroplan Visa Infinite — 1.5x on Air Canada; insurance covers holiday travel
- Amex Cobalt — 2x MR on travel; MR transfers to Aeroplan 1:1
Purchase Protection: Essential for Holiday Gifts
Most premium credit cards include purchase protection covering gifts against theft and accidental damage for 90–120 days after purchase. This is particularly valuable for:
- Electronics (phones, laptops, tablets, cameras)
- Jewellery
- Appliances
Gifts purchased in December are covered through March or April — well past when someone might accidentally break a new gift.
Gift Cards Strategy
If you want to give gift cards, buying them with a high-earn grocery or general card can earn rewards on top. Note:
- PC Optimum: Buying gift cards at Shoppers Drug Mart typically earns PC Optimum points (verify with store)
- Most cards: Gift card purchases at third-party retailers (Shoppers, grocery stores) typically earn rewards at the store’s earn rate, not the gift card brand’s
Holiday Season Credit Card Tips
- Check your credit limit before holiday spending season — request an increase in October if needed
- Turn on purchase notifications — easier to catch fraudulent charges during high-volume spending periods
- Keep receipts — needed for purchase protection and extended warranty claims
- Don’t carry a balance — holiday spending at 19.99% interest quickly erodes any rewards earned
Related Articles
- Best Credit Cards for Black Friday
- Best Credit Cards for Boxing Day
- Best Cash Back Credit Cards in Canada
- Best Grocery Credit Cards in Canada
Details current as of June 2026. See our Advertiser Disclosure.