Quick overview
The Scotiabank Value® Visa* Card is a low interest card with an APR of 13.99% and also comes with a great promotional interest rate. Some downsides to the card are that it doesn’t offer rewards and there are similar cards in the market that have no yearly fees. Let’s dig in to see if the Scotiabank Value® Visa* Card deserves a spot in your wallet.
Who is this card for?
Anyone who wants a lower interest rate – particularly those who might carry a balance from month-to-month. It’s also a great choice for those interested in transferring an existing balance, since it offers a great welcome offer for balance transfers and for those looking to build credit with a low cost credit card.
Scotiabank Value® Visa* Card pros and cons
Pros
-
Lengthy introductory APR on balance transfers
-
A great low rate everyday
-
Available to applicants with average credit
Cons
-
No rewards program
-
Insurance coverage is an optional extra
-
Carries an annual fee
Welcome bonus
Enjoy 0% introductory interest rate on balance transfers for the first 10 months (13.99% after that; annual fee $29). Plus no annual fee in the first year.
How to earn points
This card does not offer points or cash back. This card is geared toward saving on interest.
Key benefits
- Low interest rates on purchases, balance transfers, and cash advances.
- Free supplementary card.
Insurance coverage
There are two optional insurance bundles you can choose from with Scotia Credit Card Protection: Basic and Comprehensive. Both offer financial protection by paying off your account balance or helping to cover monthly payments in the event of certain life events, such as death, critical illness, disability and others.
Basic Protection includes:
- Life Benefit
- Critical Illness Benefit
- Hospitalization Benefit
Comprehensive Protection includes:
- Life Benefit
- Critical Illness Benefit
- Hospitalization Benefit
- Disability Benefit
- Job Loss Benefit
- Strike or Lockout Benefit
Keep in mind that these coverages come at an additional cost to your yearly card fee. Let's say you're carrying a $2,000 balance on your card. Here's how much you'd pay monthly for each plan:
- Comprehensive Protection: The rate is $1.09 per $100 of your balance. So, for a $2,000 balance, you pay ($2,000 / $100) x $1.09 = $21.80 per month.
- Basic Protection: The rate is $0.89 per $100 of your balance. This means you pay ($2,000 / $100) x $0.89 = $17.80 per month.
(Something to keep in mind is that, after your 70th birthday, both bundles reduce to Life Benefit only at a cost of $0.49 per $100 of your balance.)
While this sort of insurance is a great option to help cover expenses during stressful life events, there are some alternatives you can consider.
An emergency fund gives you flexibility and doesn't cost extra. You can use it for any urgent need, not just those covered by insurance. Plus, it can earn interest. However, you need discipline to build and maintain it – without dipping into it.
Term life insurance, on the other hand, can offer broader and potentially higher coverage than Scotia Credit Card Protection. The premiums are usually fixed, making it cost-effective over time. But, it's limited to a specific term and might require health checks.
Credit card insurance like Scotia's is simple to get and directly covers your card debt. But it can be pricey, especially if your balance is high, and it only covers specific scenarios.
Weigh these options against your needs and financial situation to decide what's best for you.
Extras
- Up to 25% off base rates at participating AVIS and Budget locations.
- VISA payWave for faster payments.
What people on Reddit say about this card
Reddit users are known for their honest discussion, and that holds true about their posts about the Scotiabank Value Visa Card. It seems users have faced challenges, particularly with balance transfers. Their experiences draw attention to how difficult it can be to transfer a balance from one credit card to another.
One user was puzzled by the process of balance transfers, especially the discrepancy between the cash withdrawal rate and the advertised balance transfer rate. This confusion is understandable; credit card terms can often be complex and confusing.
Another user's experience highlights a common issue with balance transfer cards. They found that payments were first applied to new purchases, which were charged at a higher interest rate, before being applied to the 0% balance transfer. This is, in fact, a standard practice in the credit card industry, but it can be frustrating and surprising for those who aren’t aware of it. And, as we mentioned, credit card fine print isn’t known for being super clear
These stories resonate with the challenge of understanding credit card terms. They’re a reminder of the importance of understanding how balance transfers work, including how payments are allocated. Being informed can help you make the most of promotional offers and avoid unexpected costs.
How this card compares
MBNA True Line® Mastercard®
3.0
0% intro rate
Welcome offerGood
Suggested credit scoreGet a 0% promotional annual interest rate (“AIR”)† for 12 months on balance transfers✪ completed within 90 days of account opening, with a 3% transfer fee.
Pros
-
Solid welcome offer: 12 months of 0% APR† on balance transfers✪ made within the first 90 days (3% transfer fee applies)
-
No annual fee or minimum income requirement
-
Low standard interest rate of 12.99% for all new purchases charged to the card
-
Some extra perks like fraud protection and a discount on car rentals
Cons
-
3% balance transfer fee is comparatively high
-
Very high cash advance interest rate of 24.99%
-
No insurance benefits
-
Can’t transfer a balance owed to either MBNA or TD
Eligibility
Good
Recommended Credit Score
Recommended Credit Score
Good
0%
Promotional annual interest rate† (a 3% transfer fee applies) for 12 months on any balance transfer✪ completed within 90 days of opening the account.
100%
This card is made from 100% recycled plastic
Promotional annual interest rate† (a 3% transfer fee applies) for 12 months on any balance transfer✪ completed within 90 days of opening the account.
0%
This card is made from 100% recycled plastic
100%
12.99%
Purchase APR
17.99%
Balance Transfer Rate
24.99%
Cash Advance APR
$0
Annual Fee $0
2.5%
Foreign Transaction Fee 2.5% of the transaction in CDN
Purchase APR
12.99%
Balance Transfer Rate
17.99%
Cash Advance APR
24.99%
Annual Fee
$0
Foreign Transaction Fee
2.5%
Pros
-
Solid welcome offer: 12 months of 0% APR† on balance transfers✪ made within the first 90 days (3% transfer fee applies)
-
No annual fee or minimum income requirement
-
Low standard interest rate of 12.99% for all new purchases charged to the card
-
Some extra perks like fraud protection and a discount on car rentals
Cons
-
3% balance transfer fee is comparatively high
-
Very high cash advance interest rate of 24.99%
-
No insurance benefits
-
Can’t transfer a balance owed to either MBNA or TD
Eligibility
Good
Recommended Credit Score
Recommended Credit Score
Good
0%
Promotional annual interest rate† (a 3% transfer fee applies) for 12 months on any balance transfer✪ completed within 90 days of opening the account.
100%
This card is made from 100% recycled plastic
Promotional annual interest rate† (a 3% transfer fee applies) for 12 months on any balance transfer✪ completed within 90 days of opening the account.
0%
This card is made from 100% recycled plastic
100%
12.99%
Purchase APR
17.99%
Balance Transfer Rate
24.99%
Cash Advance APR
$0
Annual Fee $0
2.5%
Foreign Transaction Fee 2.5% of the transaction in CDN
Purchase APR
12.99%
Balance Transfer Rate
17.99%
Cash Advance APR
24.99%
Annual Fee
$0
Foreign Transaction Fee
2.5%
Scotiabank Value® Visa* Card Vs. MBNA True Line® Mastercard®
Scotiabank Value® Visa* Card and MBNA True Line® Mastercard® are both appealing for individuals seeking low-interest credit cards, but they cater to different needs.
- Interest rates: Both the Scotiabank Value® Visa* Card and MBNA True Line® Mastercard® offer a competitive interest rates on purchases and balance transfers.
- Balance transfer offer: Scotiabank Value® Visa* Card shines with its introductory rate on balance transfers. MBNA True Line’s offer is a little stronger.
- Annual fee: The Scotiabank Value® Visa* Card costs $29 a year (with the first year free). The MBNA True Line® Mastercard® has no annual fee.
- Both cards offer discounts on car rentals through Avis and Budget.
So, which is for you? If you're looking for a card with a low balance transfer rate to manage existing debts, both cards are a solid option. We know, you were hoping for a clear winner, weren’t you? The truth is they both have similar benefits and interest rates, but the MBNA True Line® Mastercard® shines with its no yearly fees.
Scotiabank Value® Visa* Card Vs. BMO Preferred Rate Mastercard
BMO Preferred Rate Mastercard®*
3.2
0.99% rate
Welcome offerGood
Suggested credit scoreGet a 0.99% introductory interest rate on Balance Transfers for 9 months with a 2% transfer fee and BMO will waive the $29 annual fee in your first anniversary*.
Expires
Nov 30, 2024
Pros
-
Low-interest rate: Offers a competitive purchase interest rate
-
Introductory balance transfer offer for the first nine months
-
First-year annual fee waiver
-
BMO PaySmart™ Installment plans: Turn new credit card purchases into small, interest-free monthly payments with a small fee.
-
Additional cardholder: You can add an additional cardholder for free
-
Free extended warranty and purchase protection*
-
Zero Dollar Liability: protects you from unauthorized use of your credit card*
Cons
-
No rewards: Your focus is paying down debt, not collecting miles.
-
Foreign transaction fee: Charges a 2.5% fee on foreign transactions.
-
Balance transfer fee: While normal, it’s a bit painful to have to fork over a 2% fee on balance transfers.
Eligibility
Good
Recommended Credit Score
$0
Required Annual Personal Income
$0
Required Annual Household Income
Recommended Credit Score
Good
Required Annual Personal Income
$0
Required Annual Household Income
$0
0.99%
0.99% introductory interest rate on balance transfers for 9 months with a 2% transfer fee and BMO will waive the annual fee on your first anniversary.*
0.99% introductory interest rate on balance transfers for 9 months with a 2% transfer fee and BMO will waive the annual fee on your first anniversary.*
0.99%
13.99%
Purchase APR
15.99%
Balance Transfer Rate
15.99%
Cash Advance APR
$29
Annual Fee waived on the first anniversary when you opt for the introductory balance transfer offer*
Purchase APR
13.99%
Balance Transfer Rate
15.99%
Cash Advance APR
15.99%
Annual Fee
$29
Pros
-
Low-interest rate: Offers a competitive purchase interest rate
-
Introductory balance transfer offer for the first nine months
-
First-year annual fee waiver
-
BMO PaySmart™ Installment plans: Turn new credit card purchases into small, interest-free monthly payments with a small fee.
-
Additional cardholder: You can add an additional cardholder for free
-
Free extended warranty and purchase protection*
-
Zero Dollar Liability: protects you from unauthorized use of your credit card*
Cons
-
No rewards: Your focus is paying down debt, not collecting miles.
-
Foreign transaction fee: Charges a 2.5% fee on foreign transactions.
-
Balance transfer fee: While normal, it’s a bit painful to have to fork over a 2% fee on balance transfers.
Eligibility
Good
Recommended Credit Score
$0
Required Annual Personal Income
$0
Required Annual Household Income
Recommended Credit Score
Good
Required Annual Personal Income
$0
Required Annual Household Income
$0
0.99%
0.99% introductory interest rate on balance transfers for 9 months with a 2% transfer fee and BMO will waive the annual fee on your first anniversary.*
0.99% introductory interest rate on balance transfers for 9 months with a 2% transfer fee and BMO will waive the annual fee on your first anniversary.*
0.99%
13.99%
Purchase APR
15.99%
Balance Transfer Rate
15.99%
Cash Advance APR
$29
Annual Fee waived on the first anniversary when you opt for the introductory balance transfer offer*
Purchase APR
13.99%
Balance Transfer Rate
15.99%
Cash Advance APR
15.99%
Annual Fee
$29
Let’s look under the hoods of the Scotiabank Value® Visa* Card and the BMO Preferred Rate Mastercard®*:
- Interest rates: Scotiabank Value Visa offers a 13.99% interest rate on purchases and cash advances, while BMO Preferred Rate Mastercard®* offers a slightly higher rate for both.
- Balance transfer offer: Scotiabank's introductory rate on balance transfers is a significant advantage over BMO's welcome offer.
- Annual fee: Both have a low annual fee, making them equally attractive in terms of cost.
- Additional benefits: Scotiabank provides rental car discounts, whereas BMO offers extended warranty and purchase protection.
Scotiabank Value Visa is preferable for those seeking a low balance transfer rate to manage existing debts. BMO Preferred Rate Mastercard®*, while slightly higher in interest rates, offers additional benefits like purchase protection and extended warranty, which might appeal to some users.
Overall, the Scotiabank Value® Visa* Card stands out for its low balance transfer rate, making it an excellent choice for debt consolidation and management.
Is this card worth it?
The Scotiabank Value® Visa* Card is worth considering if you want to consolidate and pay off existing debt, thanks to its low introductory rate on balance transfers and a competitive interest rate on purchases and cash advances. With its low annual fee, it's also a cost-effective choice. However, it lacks rewards and some of the additional benefits offered by other cards. Its value largely depends on your specific financial needs, particularly if you're focused on reducing interest on existing balances or seeking a low-cost, basic credit card.
- Conditions Apply. Visit here for the Scotiabank Value® Visa* Card to learn more. *See Card Provider's website and Card Application for complete card details, terms and current offers. Reasonable efforts are made to maintain accuracy of information.
FAQs
Justin is a writer and editor who has been covering personal finance for over 10 years. He's written for companies such as KOHO, Ratehub, BMO, Zoocasa, and Questrade, among others. Justin also created a course in Content Creation, which he taught at York University for four years. When not writing, Justin can be found at a live concert, on the golf course, riding a motorcycle, or sailing.
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