Credit Building Strategies And Products For Newcomers In Canada | October 2025

Credit Building Strategies and Products for Newcomers in Canada | October 2025

Moving to Canada opens up exciting opportunities, but building credit from scratch can feel overwhelming. This guide explores the most effective credit-building options available to newcomers, including traditional bank products and secured credit cards specifically designed for those without Canadian credit history.

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Summary Table for Credit Building Strategies and Products for Newcomers in Canada | October 2025

What Newcomers Need to Know

• Canadian credit scores range from 300-900, with 660+ considered good
• You'll need to provide proof of permanent residency or work permit
• Most newcomer programs are available within first 5 years of arrival
• Regular payment reporting to credit bureaus is essential for building history
• Having a Canadian bank account is typically required before applying
• Income requirements vary by program but usually start at $15,000 annually

Our Top Recommendations

• Start with a newcomer banking package that includes credit products
• Consider secured credit cards if traditional cards aren't accessible
• Maintain at least 30% available credit on any cards
• Set up automatic payments to ensure on-time payment history
• Begin with one product and add others gradually
• Keep detailed records of all applications and approvals

Available Credit Building Programs

1. National Bank mycredit™ Mastercard®

Category: Financial Service

The National Bank mycredit™ Mastercard® offers newcomers an accessible entry point into the Canadian credit system with cashback rewards on everyday purchases. This card provides essential purchase protection and insurance benefits, making it a practical choice for those establishing their financial presence in Canada.

What newcomers need to know:

• Card offers cashback rewards on various purchase categories
• Contact support available at 1-888-969-2273 or 514-394-1427
• Purchase insurance coverage available for up to 90 days
• Earn 1% cashback on restaurant purchases and pre-authorized debits
• Sign-up bonus of up to $75 available for new cardholders

Benefits for newcomers:

• Up to 1.5% cashback on gas, groceries, and online purchases
• 1% cashback on restaurant purchases and pre-authorized debits
• 0.5% cashback on all other eligible purchases
• Purchase protection against loss, theft, or damage
• Extended warranty coverage on eligible items

How to apply:

• Visit official website to learn more

2. CIBC Secured Visa Card

Category: Financial Service

While CIBC doesn't offer a specific secured Visa card, they provide alternative credit card options for newcomers to Canada who need to build their credit history. The bank offers specialized newcomer credit cards and services designed to help new immigrants establish their financial foundation in Canada.

What newcomers need to know:

• Must check credit file with Canadian credit bureaus (TransUnion, Equifax, and Northern)
• Alternative options include CIBC Adapta Mastercard and student cards
• Security deposit required for secured credit options
• Available for those new to Canada or with limited credit history
• Online tools available to help choose the most suitable card

Benefits for newcomers:

• Annual fee rebate for 2 years for cardholders and up to 3 Authorized Users
• Helps build or rebuild credit history
• Earn up to 3% cash back on eligible gas, electric vehicle charging, and grocery purchases
• Access to Journie Rewards program with gas savings
• Acts as a credit-building tool with guaranteed approval (with security deposit)

How to apply:

• Visit official website to learn more

3. TD New to Canada Banking Package

Category: Financial Service

The TD New to Canada Banking Package is a comprehensive banking solution specifically designed for newcomers to Canada, offering essential financial services and exclusive benefits. This package helps new immigrants establish their banking presence in Canada while providing valuable financial incentives and support for their transition.

What newcomers need to know:

• Package specifically designed for newcomers and international students
• Must be a new immigrant or international student in Canada
• Offers available for a limited time
• Conditions apply to specific benefits and offers
• Includes options for both personal banking and student banking

Benefits for newcomers:

• Earn up to $1,930 in total value
• No monthly account fees
• No TD ATM fees
• Up to $15,000 credit limit available
• International money transfer services included

How to apply:

• Visit official website to learn more

4. Scotiabank StartRight Program

Category: Financial Service Program

The Scotiabank StartRight Program is specifically designed for newcomers to Canada, offering comprehensive banking solutions for permanent residents, international students, and foreign workers. This program stands out by providing banking services even without Canadian credit history, helping newcomers establish their financial foundation in their first 5 years.

What newcomers need to know:

• Available for Canadian Permanent Residents who arrived 0-5 years ago
• Open to International Students and Foreign Workers
• Valid documentation required for online application
• Specifically designed for newcomers without Canadian credit history
• Available for temporary residents seeking mortgage options

Benefits for newcomers:

• Up to $2,200 in value during the first year
• First-year monthly fee waiver on Preferred Package chequing account
• Credit card limits up to $15,000 for qualifying newcomers
• Ability to build Canadian credit history from scratch
• Access to StartRight Mortgage Program for home purchases

How to apply:

• Visit official website to learn more

5. BMO NewStart Program

Category: Financial Service Program

The BMO NewStart® Program is a comprehensive banking solution designed specifically for newcomers to Canada within their first 5 years of arrival. This tailored program offers newcomers essential banking services, credit access, and significant savings to help establish their financial foundation in Canada.

What newcomers need to know:

• Must be new to Canada within the last 5 years
• Available for permanent residents and newcomers
• No credit history required for banking services
• Can apply for credit cards with no prior Canadian credit history
• Pre-arrival services available through ApplyBoard partnership

Benefits for newcomers:

• No monthly plan fees for two years on Performance Plan chequing account
• Up to $700 cash bonus for new accounts
• $50 Walmart Canada eGift card
• Free small safety deposit box for 12 months (value of $63)
• Access to credit cards with limits up to $5,000 without credit history

How to apply:

• Visit official website to learn more

6. Grow Credit Mastercard

Category: Financial Service

The Grow Credit Mastercard is a unique virtual credit-building tool that helps newcomers establish their Canadian credit history through subscription payments. This no-interest card allows immigrants to build credit by reporting their regular subscription payments to all three major credit bureaus, potentially boosting credit scores by an average of 51 points.

What newcomers need to know:

• No credit history required to apply
• Card can only be used for approved subscription services (100+ options available)
• Must download the Grow Credit app to apply and manage account
• Monthly spending limit varies by membership plan
• No hard credit inquiry required for approval

Benefits for newcomers:

• Reports to all three major credit bureaus (Experian, Equifax, and TransUnion)
• Average credit score increase of 44-51 points
• No interest charges
• Free credit-building option available
• Can be used for popular subscriptions like Netflix, Spotify, and Hulu

How to apply:

• Visit official website to learn more

7. Opening a Canadian Bank Account

Category: Financial Service

Opening a bank account is an essential first step for newcomers to Canada, providing access to the financial system and everyday banking services. The process is designed to be accessible, with multiple Canadian banks offering specialized accounts and services for new immigrants.

What newcomers need to know:

• Must provide original identification documents (photocopies not accepted)
• Need two pieces of valid ID from reliable sources (one showing name/address, one showing name/birth date)
• Can open account in person, electronically, or by telephone
• Must be a Canadian resident for most bank accounts
• Must meet provincial age requirements (18 or 19 years old, depending on location)

Benefits for newcomers:

• Access to everyday banking services and transactions
• Multiple banking options available from different financial institutions
• Some banks offer specialized newcomer account packages
• Opportunity to earn interest on savings
• No-fee or low-fee account options available

How to apply:

• Visit official website to learn more

8. Getting a Canadian Cell Phone Plan

Category: Financial Service

Having a cell phone plan is essential for newcomers to Canada to stay connected and establish their new life. With over 312 plans available starting from $6/month and specialized newcomer options like CanadianSIM, finding the right mobile service is both accessible and affordable.

What newcomers need to know:

• Must choose between prepaid (no credit check) or monthly postpaid plans
• Valid identification and proof of Canadian address required for postpaid plans
• Only email and payment method needed for prepaid plans
• Major providers include TELUS, Rogers, Bell, Fizz, and Lucky Mobile
• Can bring your own device or purchase one through the provider

Benefits for newcomers:

• Plans available starting from as low as $6/month
• Special newcomer plans like CanadianSIM offering 50GB for $30
• Unlimited national and international texting options available
• Coverage across all of Canada
• Access to 5G networks with select plans and providers

How to apply:

• Visit official website to learn more

Final Words

Building credit in Canada requires patience and strategy, but the right combination of products can accelerate your journey to a strong credit profile. Start by exploring the newcomer-specific programs offered by major banks, and consider supplementing with secured credit cards if needed. Remember that consistent, responsible use of credit products, combined with timely payments, will help establish your creditworthiness in your new home country.