Can newcomers get a credit card in Canada?

Yes, newcomers to Canada benefit from establishing a credit history. They can easily apply for credit cards, earning rewards for everyday purchases and online shopping while building credit.

How to get a credit card for the first time in Canada?

1- Ensure you're of legal age in your province (typically 18 to 19). 2- Hold permanent residence or citizenship in Canada. 3- Obtain a social insurance number. 4- Confirm no association with an undischarged bankruptcy.

Why is it difficult for newcomers in Canada to get credit?

As a newcomer to Canada, building credit poses challenges since your credit history doesn't transfer. You'll need to start anew by purchasing a cell phone, applying for a credit card, managing expenses diligently, and utilizing credit-building tools to establish a solid financial footing from scratch.

What is the credit score of a newcomer in Canada?

New immigrants in Canada begin with a blank credit slate. Upon arrival, they possess no credit, meaning their score isn't low but non-existent. It's crucial to note that Canada lacks a universal credit reporting system, emphasizing the need to establish credit from scratch.

Which Canadian banks allow non-residents?

Multiple Canadian banks accommodate non-residents, such as Royal Bank of Canada (RBC), Toronto Dominion Bank (TD), Bank of Montreal (BMO), and Canadian Imperial Bank of Commerce (CIBC).

Can a non-resident get a credit card in Canada?

Non-residents and newcomers can obtain Canadian credit cards. Despite lacking a credit history, you can apply for various options such as store cards, prepaid cards, and secured credit cards, facilitating access to financial services in Canada.

What is considered a good credit score in Canada?

In Canada, Equifax typically considers a credit score of 660 to 724 as good. Scores from 725 to 759 are deemed very good, while 760 and above are excellent. The credit score range spans from 300 to 900.

By Lubna Umar

🗓️

Updated: May 10, 2024

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Best credit cards for newcomers in Canada 2024

Partners on this page provide us earnings.

By Lubna Umar

🗓️

Updated: May 10, 2024

Partners on this page provide us earnings.

For newcomers in Canada, it’s important to start building healthy credit as soon as you land. Credit shows banks how well you can handle money. With a good credit score, banks are more likely to lend you money for purchasing a car or a house. Getting a credit card and paying off the balance each month is a simple way to boost your credit score.

Credit cards also let you shop online, access emergency funds and earn rewards. While it's tough for newcomers without credit history to get a credit card, Canada offers special opportunities to make it easier. Here are the best credit cards for newcomers in Canada.

The best credit cards for new immigrants in Canada

Card name	Card details	Get started
Scotia Momentum No-Fee Visa Card	◦ $0 annual fee ◦ 1% cash back at gas stations, grocery stores, drugs stores, and on recurring payments. ◦ 0.5% cash back on all other eligible purchases.	Apply Now
Scotiabank American Express	◦ No annual fee ◦ 3x Scene+ points at Sobeys, Safeway, Freshco and more ◦ 2x Scene+ points¹ on dining; eligible entertainment purchases; eligible gas and daily transit; eligible select streaming services ◦ 1x Scene+ point on all other eligible everyday purchases.	Apply Now
Scotiabank® Scene+™ Visa*	◦ $0 annual fee ◦ 2x Scene+ points at Sobeys, Safeway, Foodland & Participating Co-ops, FreshCo and more; home hardware; Cineplex. ◦ 1x on all other eligible everyday purchases	Apply Now
*BMO CashBack® MasterCard® review**	◦ No annual fee ◦ 3% cash back on groceries (up to a monthly max of $500) ◦ 1% on any recurring bill payments* (up to $500 per month) ◦ 0.5% on all other eligible purchases*	Apply Now
RBC Cash Back Mastercard	◦ $0 annual fee ◦ 2% unlimited cash back on groceries ◦ 1% unlimited cash back on everything else	Apply Now
Home Trust Secured Visa	◦ No annual fee ◦ No required annual income	Apply Now
KOHO Prepaid Mastercard	◦ No annual fee ◦ No required annual income ◦ 1% cash back on groceries and transportation ◦ 3% interest earned on your account balance ◦ Free ATM withdrawals and e-transfers	Apply Now

How can newcomers get a credit card with no Canadian credit history?

You can easily get a credit card as a newcomer in Canada as banks have special offers for all newcomers. Banks offer two main types of credit cards: secured cards, which require an initial deposit to cover any unpaid balance, and unsecured cards, which can be obtained without any deposit requirements. Canada’s top banks offer special programs specifically designed for the needs of immigrants, including providing them with access to unsecured credit cards. Access to unsecured credit cards is a privilege that other Canadians without credit history typically do not have.

If a new immigrant is only interested in obtaining a credit card and does not wish to join a bank’s complete banking program for new immigrants, they can obtain a secured card instead.

Unsecured credit cards via special Canadian bank programs for newcomers

Becoming familiar with the Canadian banking system, choosing the right credit products, and setting up a solid financial plan can be intimidating tasks for a new immigrant. Thankfully, Canada’s top banks offer special bank programs specifically designed for the needs of immigrants, including providing them with unsecured credit cards.

Scotiabank's best credit cards for newcomers

Scotia Momentum No-Fee Visa Card

5% cash back

Fair

Apply now

Earn 5% cash back on all purchases for the first 3 months (up to $2,000 in total purchases); Plus, get a 0% introductory interest rate on balance transfers for the first 6 months (22.99% after that; annual fee $0)

Expires

Nov 1, 2024

Expires

Nov 1, 2024

Apply now

Cash back at gas stations, grocery stores, drugs stores, and on recurring payments.

0.5%

Cash back on all other eligible purchases.

25%

Off base rates at Avid and Budget locations in North America.

Cash back at gas stations, grocery stores, drugs stores, and on recurring payments.

Cash back on all other eligible purchases.

0.5%

Off base rates at Avid and Budget locations in North America.

25%

19.99%

Purchase APR

22.99%

Balance Transfer Rate

22.99%

Cash Advance APR

Annual Fee $0 for each additional card

2.50%

Foreign Transaction Fee

Purchase APR

19.99%

Balance Transfer Rate

22.99%

Cash Advance APR

22.99%

Annual Fee

Foreign Transaction Fee

2.50%

Fair

Recommended Credit Score

Fair

Pros

Earn up to 7,000 welcome bonus rewards points.
Earn up to three Scene+ points on everyday spending.
Earn points across five different categories, including food, travel, entertainment and streaming.
No annual fee.

Cons

The welcome bonus is lower compared to other rewards cards.
American Express isn’t accepted everywhere.
Limited insurance coverage.

Cash back at gas stations, grocery stores, drugs stores, and on recurring payments.

0.5%

Cash back on all other eligible purchases.

25%

Off base rates at Avid and Budget locations in North America.

Cash back at gas stations, grocery stores, drugs stores, and on recurring payments.

Cash back on all other eligible purchases.

0.5%

Off base rates at Avid and Budget locations in North America.

25%

19.99%

Purchase APR

22.99%

Balance Transfer Rate

22.99%

Cash Advance APR

Annual Fee $0 for each additional card

2.50%

Foreign Transaction Fee

Purchase APR

19.99%

Balance Transfer Rate

22.99%

Cash Advance APR

22.99%

Annual Fee

Foreign Transaction Fee

2.50%

Fair

Recommended Credit Score

Fair

Pros

Earn up to 7,000 welcome bonus rewards points.
Earn up to three Scene+ points on everyday spending.
Earn points across five different categories, including food, travel, entertainment and streaming.
No annual fee.

Cons

The welcome bonus is lower compared to other rewards cards.
American Express isn’t accepted everywhere.
Limited insurance coverage.

As its name would suggest, the Scotia Momentum® No-Fee Visa* Card is inexpensive because it does not come with an annual fee. It’s unsecured, meaning you won’t need to give the bank a cash deposit in exchange for a credit limit. The card also comes with a welcome bonus. With this card, you can earn points on essentials like gas, groceries, drugstore purchases, and recurring bills

Earn a solid 1% cash back rate on these categories, catering to your routine shopping needs. Plus, enjoy a welcome bonus offering 5% cash back on up to $2,000 in purchases within the first three months. And for those looking to manage existing debt, take advantage of the promotional balance transfer offer of 0% on transfers made within the first six months, albeit with a 2% transfer fee. This offer is valid from November 1, 2023, to October 31, 2024.

However, the Scotia Momentum® No-Fee Visa* Card has its limitations. Non-essential spending rewards are lower at 0.5%, and the redemption process is somewhat inflexible, allowing redemption only once a year in November. Additionally, the card lacks comprehensive insurance coverage, although optional insurance can be purchased, and a 2.5% foreign transaction fee may not be ideal for travelers or those making purchases in foreign currencies.

Who should consider this card? If you appreciate maximizing your dollar's value and seek a practical credit card that aligns with your budget, the Scotia Momentum No-Fee Visa Card could be the right choice. It's especially beneficial if your regular expenses primarily consist of groceries, gas, and recurring bills. This card is also suitable for newcomers to credit cards, offering a simple way to build credit and earn rewards, as well as students looking for a cash-back card without an annual fee and with a low introductory rate on balance transfers.

Scotiabank American Express

3.5

up to 7K pts

Good

Apply now

about new welcome offers by email

Apply now

Scene+ points on every $1 you spend at Sobeys, Safeway, Freshco and more

Scene+ points¹ for every $1 you spend on restaurants, fast food, drinking establishments and other eligible grocery stores. Includes popular food delivery and food subscriptions.

Scene+ points¹ for every $1 you spend on eligible entertainment purchases. Includes movies, theatre and ticket agencies stores.

Scene+ points¹ for every $1 you spend on eligible gas and daily transit. Includes ride shares, buses, subway, taxis and more

Scene+ points¹ for every $1 you spend on eligible select streaming services

Scene+ point for every $1 spent on all other eligible everyday purchases.

Scene+ points on every $1 you spend at Sobeys, Safeway, Freshco and more

Scene+ points¹ for every $1 you spend on restaurants, fast food, drinking establishments and other eligible grocery stores. Includes popular food delivery and food subscriptions.

Scene+ points¹ for every $1 you spend on eligible entertainment purchases. Includes movies, theatre and ticket agencies stores.

Scene+ points¹ for every $1 you spend on eligible gas and daily transit. Includes ride shares, buses, subway, taxis and more

Scene+ points¹ for every $1 you spend on eligible select streaming services

Scene+ point for every $1 spent on all other eligible everyday purchases.

19.99%

Purchase APR

22.99%

Balance Transfer Rate

22.99%

Cash Advance APR

Annual Fee Additional cards are $0

2.50%

Foreign Transaction Fee

Purchase APR

19.99%

Balance Transfer Rate

22.99%

Cash Advance APR

22.99%

Annual Fee

Foreign Transaction Fee

2.50%

Good

Recommended Credit Score

Good

Pros

Earn 7,000 welcome bonus rewards points.
Earn up to three Scene+ points on everyday spending.
Earn points across five different categories, including food, travel, entertainment and streaming.
No annual fee.

Cons

The welcome bonus is lower compared to other rewards cards.
American Express isn’t accepted everywhere.
Limited insurance coverage.