BMO Preferred Rate Mastercard review: fees and how to apply
Low interest rates and security features
The BMO Preferred Rate Mastercard is a credit card offered by the Bank of Montreal (BMO) in Canada. It’s designed for people who want a credit card with a lower interest rate.
The card suits people who sometimes carry a balance and want to reduce their interest charges. BMO says it’s the card with its lowest interest rate.
With a 13.99% interest rate on purchases and a $29 annual fee, it can be a practical choice for people who want to manage credit card debt and keep borrowing costs down.
BMO Preferred Rate Mastercard credit card benefits
Low interest rate
The card’s main advantage is its interest rate: 13.99% on purchases and 15.99% on cash advances and balance transfers.
This can help cardholders who carry a balance reduce the cost of borrowing compared with many standard credit cards.
Interest-free grace period
Purchases have an interest-free grace period of at least 21 days. If you pay your balance in full by the due date, you won’t pay interest on those purchases. There’s no grace period on cash advances or balance transfers.
Annual fee rebate
The $29 annual fee is rebated every year if you also have a BMO Performance chequing account.
Additional cardholder at no cost
You can add another cardholder to your account free of charge.
Purchase protection and extended warranty
Purchase Security Insurance covers eligible items bought in full with the card against theft or damage for the first 90 days. Extended Warranty Insurance doubles the manufacturer’s warranty for up to one additional year.
Security features
The card includes Zero Liability protection against fraudulent use, Mastercard Identity Check for online shopping and BMO Alerts for transactions, large purchases and international use. You can also lock or unlock your card, or report it lost or stolen, at any time through BMO Digital Banking.
Online account management
Through BMO’s online and mobile banking, you can manage your account, view detailed transactions, set up automatic payments and check your credit score for free with Credit Coach.
Other benefits
The Mastercard Assistance Centre provides 24/7 emergency support virtually anywhere in the world. You can also get up to 30% off Avis and up to 35% off Budget base rates when you prepay with the card, or at least 10% off when you book with it.
Optional balance protection
You can choose to enrol in BMO’s Credit Card Balance Protection plan, which provides up to $20,000 in credit card balance coverage in case of unexpected events. This plan has an additional cost.
Insurance coverage is subject to the terms, limits and exclusions in the Certificate of Insurance provided with the card.
Credit card limit
BMO doesn’t publish a fixed credit limit for the BMO Preferred Rate Mastercard. Your limit is set by BMO when you’re approved, based on factors like your credit history, income and overall financial profile.
Your credit limit can change over time based on how you use your account and BMO’s policies.
To apply, you must:
- Be a Canadian citizen or permanent resident;
- Have reached the age of majority in your province (18 in Alberta, Manitoba, Ontario, Prince Edward Island, Quebec and Saskatchewan, and 19 in all other provinces);
- Not have declared bankruptcy in the past seven years;
- Meet BMO’s minimum income requirements.
Key details of the BMO Preferred Rate Mastercard
- Annual fee: $29, rebated every year if you have a BMO Performance chequing account;
- Interest rate on purchases: 13.99%;
- Interest rate on cash advances and balance transfers: 15.99%;
- Additional cardholder: $0;
- Foreign transaction fee: 2.5% on purchases in foreign currencies;
- Over-limit fee: $29.
Other fees, such as returned payment fees, may apply. See BMO’s information on credit card rates and fees for the full list.
Rates and fees checked on September 22, 2026, against BMO’s official information. Confirm current terms on the BMO website before applying.
Opinion about the BMO Preferred Rate Mastercard
The BMO Preferred Rate Mastercard is best suited for people who sometimes carry a balance and want to reduce their interest charges.
Its 13.99% purchase rate, $29 annual fee (rebated with a BMO Performance chequing account) and free additional card make it a low-cost option for people focused on managing credit card debt.
However, the card doesn’t earn rewards or include travel insurance, and a 2.5% fee applies to foreign currency purchases. Consider your spending habits and whether these points matter to you before applying.
Reviewing the terms, conditions and fees can help you decide whether this card fits your financial goals.
Click the button below to be redirected to the official BMO website to apply for the BMO Preferred Rate Mastercard.
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Disclaimer: This site is independent and strictly informational, and its content does not constitute financial advice. Finvyu is not affiliated with BMO. We do not guarantee credit card approval, which is solely subject to a credit check, income verification and risk analysis by the issuing bank (BMO). Finvyu Editorial Team.
