Best Low Interest Credit Cards in Canada (2025): Top Picks for Debt Repayment

Credit card debt is one of the most common financial challenges facing Canadians today. According to recent government data, nearly 29% of Canadians carry a significant amount of credit card debt, with a large portion of that demographic made up of young adults. Many fall into the trap of “buy now, pay later,” not realizing how fast high-interest credit card balances can snowball.

The average credit card interest rate in Canada hovers around 19.99% to 24.99%, which can make debt repayment overwhelming. But the good news is—there’s a smarter way to manage your debt.

In this article, we’re going to break down the best low interest credit cards in Canada for 2025, focusing specifically on cards that help with debt repayment by offering 0% introductory interest periods and low balance transfer fees.

💳 Why Consider a Low Interest Credit Card?

Low interest credit cards are not meant for rewards, cashback, or points. Instead, they are designed to help you:

• Lower your interest payments

• Consolidate high-interest credit card debt

• Get breathing room while paying off your balances

These cards often feature:

• 0% interest for an introductory period (6–12 months)

• Lower-than-average interest rates after the intro period

• Affordable or waived annual fees

• Balance transfer options with low fees

So if you’re trying to eliminate debt instead of earning rewards, these are the cards you want in your wallet.

🏆 Best Low Interest Credit Cards in Canada – 2025 Edition

Here are our top 3 picks for the best low interest and balance transfer credit cards in Canada this year.

1. CIBC Select Visa Card – ⭐ Best Overall Option

Introductory Offer:
✅ 0% interest on balance transfers for the first 10 months

After Intro Period:
📉 Ongoing interest rate: 13.99%

Fees:
💸 Annual fee: $29, waived for the first year
🔁 Balance transfer fee: 1%

Eligibility:
🏡 Canadian residents with a minimum household income of $15,000

Why it’s #1:

• You get nearly a full year of interest-free debt repayment.

• The balance transfer fee is only 1%.

• The first year is free—no annual fee to worry about.

• Relatively easy to qualify for.

Ideal for:
Anyone with moderate debt looking to save hundreds in interest and avoid high upfront fees.

2. Scotiabank Value Visa Card – 🥈 Best for Short-Term Debt Repayment

Introductory Offer:
✅ 0% interest for 6 months

After Intro Period:
📉 Ongoing interest rate: 12.99%

Fees:
💸 Annual fee: $29
🔁 Balance transfer fee: 1%

Why it’s #2:

• Same low transfer fee as the CIBC card.

• Lower ongoing interest rate (12.99%) after the intro period.

• Best suited for people who can pay off debt within 6 months.

Ideal for:
If your debt is manageable and you’re confident you can repay it within six months, this is your most cost-effective option.

3. MBNA True Line Mastercard – 🥉 Best for Long-Term Repayment

Introductory Offer:
✅ 0% interest for a full 12 months

After Intro Period:
📉 Ongoing interest rate: 12.99%

Fees:
💸 Annual fee: $0
🔁 Balance transfer fee: 3%

Why it’s #3:

• No annual fee at all.

• You get a full 12 months of 0% interest, longer than any other card on this list.

• The 3% balance transfer fee is higher than others, which makes it less ideal for short-term debt.

Ideal for:
If you have a large amount of credit card debt and need a full year to pay it down, this card gives you the time—without piling on extra interest.

🔄 Quick Comparison Table

💡 Pro Tips for Using Low Interest Credit Cards Effectively

1. Pay more than the minimum – If you only pay the minimum, it will take much longer to clear your debt even with low interest.

2. Time your balance transfer – Transfer all your existing debt as soon as you open the card to maximize your 0% period.

3. Avoid new purchases – New purchases may not be interest-free, depending on the card’s terms.

4. Set a repayment plan – Divide your balance by the number of interest-free months to stay on track.

5. Check eligibility before applying – Rejections can affect your credit score, so confirm you meet income and residency requirements.

🤔 Can I Open More Than One Low Interest Card?

Yes, in fact, some Canadians open multiple low interest credit cards to split and manage large debts. Just be cautious not to overextend your credit or hurt your credit score with too many applications at once.

If you’re considering this route:

• Prioritize cards with longer 0% periods

• Pay off the shortest-term cards first

• Keep track of each card’s fees and timelines

🔚 Final Thoughts: Which Card Should You Choose?

If you want the best all-around low interest credit card in Canada, the CIBC Select Visa Card is your best bet. It combines a decent 0% intro period with low fees and good flexibility.

Choose the Scotiabank Value Visa if you plan to pay off your debt quickly and want the lowest possible upfront cost.

Pick the MBNA True Line Mastercard if you need the maximum time (12 months) to pay off your debt and can handle the higher transfer fee.

🙋 Got Questions?

If you’re unsure which card fits your needs best or have questions about how balance transfers work, drop a comment below! I respond to every question.