Every credit card fee in Canada explained (beyond interest)

Interest is only one cost of a credit card. Canadian cards also carry a stack of flat and percentage fees, from the annual fee to cash advance, foreign currency, over-the-limit, and dishonoured-payment charges. This guide lists every common fee, what it typically costs, where the rules come from, and how to avoid each one.

Nothing here is financial advice. Fee amounts vary by issuer and change over time, so always confirm the current numbers on your cardholder agreement or the issuer's official page before acting.

The fees at a glance

Fee	What triggers it	Typical cost in Canada	How to avoid it
Annual fee	Holding the card for a year	$0 to $150+, premium cards higher	Choose a no-fee card or confirm the rewards beat the fee
Supplementary card fee	Adding an extra cardholder	$0 on many cards, otherwise a lower add-on fee	Pick a card that includes additional cards free
Cash advance fee	ATM withdrawal, cash-like transaction	About $5 to $10 or a percentage, plus interest from day one	Do not use the card for cash; use a debit card
Balance transfer fee	Moving a balance from another card	Often a percentage of the amount moved	Compare the fee against the interest you would save
Foreign currency conversion	Buying in a non-CAD currency	About 1.8 to 2.5 percent on top of the exchange rate	Use a no-FX card or a U.S. dollar card
Over-the-limit fee	Balance exceeding your credit limit	A flat fee per occurrence on some cards	Stay below the limit; ask issuer to decline over-limit charges
Dishonoured (NSF) payment fee	A payment to the card that bounces	A flat fee per occurrence	Keep enough funds in the paying account
Inactivity fee	Not using the card for a long time	A flat fee on some cards	Use the card occasionally or close unused accounts
Statement copy fee	Requesting an old paper statement	A flat fee per copy	Download free statements online (usually last 12 months)

Annual fee

The annual fee is what you pay just to hold the card. Plenty of Canadian cards charge nothing, while rewards and premium travel cards can run well over $100 a year. A fee is only worth paying if the rewards, insurance, or perks you actually use are worth more than the fee. Our guide on whether an annual fee is worth it walks through the math, and you can browse fee-free options on our no-fee list.

Supplementary (additional) card fee

If you add an authorized user, some issuers charge an extra annual fee for that supplementary card, usually lower than the primary fee, while many cards include additional cards for free. The important point is responsibility: every purchase an additional cardholder makes shows up on your statement, and you, the primary cardholder, are on the hook to pay it. See FCAC's guidance on additional cardholders before adding one.

Cash advance fee

A cash advance is withdrawing cash against your credit card, at an ATM or over the counter, and it is one of the most expensive ways to use a card. You typically pay a flat fee or a percentage per advance, and unlike purchases, interest starts accruing immediately with no grace period, often at a higher cash advance rate. Cash-like transactions such as wire transfers and some bill payments can also count as advances. The fix is simple: do not use a credit card for cash. For how the no-grace-period rule works, see how credit card interest works.

Balance transfer fee

A balance transfer moves what you owe from one card to the card you transfer to. The receiving issuer may charge a transfer fee, often a percentage of the amount moved, and interest can start on the transferred amount from the transaction date unless a promotional rate applies. A transfer only saves money if the fee plus any promo interest is less than the interest you would have paid on the original card.

Foreign currency conversion fee

When you buy something in a currency other than Canadian dollars, your issuer converts it and most add a markup on top of the exchange rate, commonly in the range of 1.8 to 2.5 percent, with 2.5 percent being the most widely used figure. Each issuer sets its own rate, and it applies even when a Canadian website bills you in a foreign currency. Cash advances taken abroad get the conversion charge on top of the cash advance fee and immediate interest. To avoid it, use a card that waives foreign transaction fees, or a U.S. dollar card if you spend often in U.S. dollars. Our foreign transaction fees guide covers this in depth.

Over-the-limit fee

Some cards charge a flat fee when your balance goes over your approved credit limit. There is an important consumer protection here: federally regulated issuers cannot charge an over-the-limit fee that arises only because of a temporary hold of funds on your card, for example the deposit a hotel or rental car company places. To avoid the fee, keep a buffer below your limit, and you can ask your issuer to simply decline any transaction that would push you over rather than approve it and charge you.

Dishonoured (NSF) payment fee

If a payment you make toward your credit card bounces, for instance a pre-authorized payment from a chequing account with insufficient funds, your issuer may charge a dishonoured-payment or NSF fee to handle it. The paying institution may charge its own NSF fee on the same transaction, so one bounced payment can cost twice. Keep enough money in the account you pay from, and set payment dates a day or two after payday.

Inactivity fee

Some issuers charge an inactivity fee if you do not use the card for a long stretch, and an issuer may even close an account that sits unused for about a year. If you want to keep a card open, put a small recurring charge on it; if you do not need it, closing it on purpose is cleaner than letting fees or a surprise closure happen.

Statement copy fee

Issuers usually give you free online access to statements for roughly the previous 12 months. Ask for an older statement or a printed paper copy and you may be charged a per-copy fee. Download and save the PDFs you might need while they are still free online.

Where the rules come from

Federally regulated credit card issuers operate under the Financial Consumer Protection Framework in Part XII.2 of the Bank Act, in force since June 30, 2022. Under that framework and FCAC's fee-disclosure guidance, issuers must place an information box, a plain summary of key rates and fees, on the application and in the cardholder agreement. The box has to show items such as the annual interest rate, the annual fee, the foreign currency conversion charge, and other applicable fees, so you can compare cards before you apply.

The information box does not list every possible fee, though. Charges like statement-copy, inactivity, and some service fees may live deeper in the agreement, which is why reading the full cardholder agreement still matters. For help decoding what the box shows, see how to read the credit card disclosure box.

How to keep fees near zero

• Pay the full balance by the due date every month so interest never stacks on top of fees.
• Match the card to your habits: a no-fee card if you want zero annual cost, a no-FX card if you travel or shop in foreign currencies.
• Never take a cash advance; treat the credit card as a purchase tool only.
• Keep a buffer below your credit limit and enough funds in the account you pay from.
• Read the information box and the full agreement before applying, then compare options on our card list.