Canada’s greatest bank cards for newcomers
In Canada, having a superb credit score rating will help you safe a rental and get a mortgage or a mortgage, however it’s arduous to know the place to start out while you don’t have a Canadian credit score historical past or a bank card. One of many quickest methods to start out constructing your Canadian credit score rating is to make use of a bank card responsibly, as a result of banks and monetary establishments report again to the credit score bureaus that decide your rating. Because of this, it’s essential for newcomers to get a bank card, even with out a longtime historical past.
On this checklist, we’ve damaged down the most effective bank cards for newcomers relying in your spending habits and necessities. Need money again? We’ve acquired a card for that—and for vacationers and people who eat in eating places, too. There are even a couple of playing cards you will get by way of banking bundles for newcomers that supply priceless extras, so dive in and discover the most effective card for you.
Our picks for the most effective bank cards for newcomers to Canada
Why belief us
MoneySense is an award-winning journal, serving to Canadians navigate cash issues since 1999. Our editorial workforce of educated journalists works intently with main private finance specialists in Canada. That can assist you discover the most effective monetary merchandise, we evaluate the choices from over 12 main establishments, together with banks, credit score unions and card issuers. Be taught extra about our promoting and trusted companions.
Greatest money again card for newcomers
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BMO CashBack Mastercard
- Annual charge: $0
- Earn charges: 3% money again on groceries (on the primary $500 per thirty days), 1% on recurring payments; 0.5% on all the things else
- Welcome bonus: earn as much as 5% money again in your first 3 months. Circumstances apply.
- Annual earnings requirement: None
The BMO CashBack Mastercard is a no-fee card that allows you to earn money again in your grocery purchases. New candidates get a boosted 5% money again fee for the primary three months, after which era it reverts to the common 3% for groceries, the very best fee for a no-fee card. Even higher, you should utilize your rewards everytime you need. If you apply for the BMO NewStart Program, you’ll obtain money again bonuses on different merchandise, like a chequing account, investments and even a mortgage, and you may open the BMO CashBack Mastercard with no credit score examine. The 20.99% buy rate of interest is pretty commonplace, however in case you begin accumulating a steadiness, curiosity prices can actually add up. Plus, if there’s an opportunity you received’t be capable of make the minimal cost in time for the following assertion twice in a single 12 months, your buy rate of interest will rise to 24.99%. In the event you assume this might apply to you, think about a low-interest or secured card from this checklist, as an alternative.
Greatest no-fee rewards bank card for newcomers
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Simplii Monetary Money Again Visa
- Annual charge: $0
- Earn charges: 4% money again on eating at eating places, bars and low retailers; 1.5% again on gasoline, groceries, drugstores and recurring invoice funds; and 0.5% on all different purchases
- Welcome provide: Earn as much as $150 of worth in your first 4 months, together with 10% money again on eligible eating places, bars and takeout (on the primary $500 spent).
- Annual earnings requirement: Private or family earnings of $15,000
If you signal as much as the Simplii Monetary New to Canada Banking Program, you’ll be able to apply for the Simplii Monetary Money Again Visa with none Canadian credit score historical past. You’ll be able to apply for this system as much as one 12 months earlier than you arrive in Canada, or as much as 5 years after you arrive. If you use this card you’ll earn a beneficiant 4% money again on spends in eating places and bars as much as $5,000 yearly, plus 1.5% again on gasoline, grocery, drugstore and pre-authorized funds as much as the primary $15,000 yearly. There’s a base fee of 0.5% money again on some other purchases, and also you’ll nonetheless earn 0.5% when you’ve hit the annual restrict on eating places and the on a regular basis buy classes. In the event you additionally join the Simplii Monetary no-fee chequing account, you’ll be able to earn a $450 money bonus. Observe that you just have to be a Canadian resident to qualify for the newcomer program.
Greatest low-interest card for newcomers
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MBNA True Line Gold Mastercard
- Annual charge: $39
- Buy rate of interest: 10.99%
- Welcome provide: This card doesn’t have a welcome provide right now.
- Earn charges: None
- Annual earnings requirement: None
The MBNA True Line Gold Mastercard has a brilliant low buy rate of interest, which will help you save some huge cash on curiosity expenses in case you can’t repay your steadiness in full every month. Plus, though it doesn’t provide any rewards and few perks, the power to avoid wasting on curiosity expenses with this card simply outweighs the worth of rewards you’d earn in case you can’t repay your steadiness. MBNA does say, although, that your credit score historical past will issue into your capacity to get the cardboard, and also you have to be a Canadian resident to be eligible. If that doesn’t apply to you, think about one of many different playing cards on this checklist.
Greatest credit score constructing secured bank card for newcomers
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Dwelling Belief Secured Visa
- Annual charge: $0
- Earn charges: None
- Welcome provide: This card doesn’t have a welcome bonus right now.
- Annual earnings requirement: None
For individuals who don’t have any Canadian credit score historical past, the Dwelling Belief Secured Visa Card affords the power to construct up a credit score rating, for no annual charge. Alternatively, you will get a decrease 14.90% buy rate of interest in case you pay a $59 annual charge. You set your personal spending restrict by making a minimal deposit of $500 to $10,000. The cardboard is simple to acquire—you have to be a everlasting Canadian resident with a supply of earnings and never in chapter—however it’s not out there to worldwide college students, overseas staff, or residents of Quebec. The cardboard is accepted anyplace you should utilize Visa (in over 200 nations around the globe, in-store and on-line) and you should utilize it to arrange invoice funds as with all different bank card. There should not many perks out there with this card, and their newcomer affords are pretty restricted by way of bundles, banking reductions, help or monetary recommendation, however in case you are focussed on constructing your credit score rating and dwelling inside your means, this can be a strong choice for you.
Greatest rewards secured bank card for newcomers
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Neo Secured Credit score
- Annual charge: $0
- Earn charges: A minimal of 0.5% money again and a mean of 5% money again on purchases at companions
- Welcome provide: earn $25 money again.
- Annual earnings requirement: Private or family earnings of $50,000
The Neo Secured Credit score Card is a no-annual-fee secured card that can allow you to construct a credit score historical past whereas incomes money again. You’re assured approval so long as you’re a Canadian resident, of the age of majority in your province, and also you present a safety deposit. There aren’t any credit score rating necessities, and also you don’t must pay an annual charge. This, together with the power to earn limitless money rewards with Neo Companions, makes Neo a powerful card for these beginning out. The power to earn rewards on secured bank cards is pretty uncommon, though you might be solely eligible for money again with Neo-affiliated shops and providers. Do be mindful, although, that the rate of interest is reasonably excessive in comparison with different playing cards on this checklist, so in case you carry a steadiness, the fee may add up.
Greatest journey rewards card for newcomers
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Scotiabank Passport Visa Infinite
- Annual charge: $150
- Earn fee: 3 Scene+ factors per $1 spent at Sobeys shops; 2 factors per $1 on groceries, eating, leisure and transit; 1 level per $1 on all the things else. Plus, pay no FX charges
- Welcome provide: earn as much as $1,100* in worth within the first 12 months, together with as much as 35,000 bonus Scene+ factors. To qualify for these affords, make certain to open a brand new Scotiabank Passport Visa Infinite bank card account by October 31, 2024.
- Annual earnings requirement: Private earnings of $60,000 or family earnings of $100,000
The Scotiabank Passport Visa Infinite allows you to earn priceless Scene+ Rewards factors you’ll be able to redeem for journey and extra, and consists of perks for wanderlusters like journey insurance coverage, no overseas transaction charges for purchases made in different currencies, financial savings on automotive leases, and 6 complimentary airport lounge visits per 12 months. If you’re planning to go to associates or household again residence, or like to journey generally, this card has some promising rewards choices. Although it has a better earnings requirement and annual charge than others on this checklist, you’ll be able to qualify with no Canadian credit score historical past in case you’re a part of the StartRight program for newcomers. If this card isn’t best for you, think about one other Scotiabank bank card out there by way of the StartRight program, just like the Scotia Momentum No-Price Visa or the Scene+ Visa.
Greatest bank card with a newcomer checking account bundle provide
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RBC Money Again Mastercard
- Annual charge: $0
- Earn fee: 2% money again on groceries and 1% again on all different purchases
- Welcome bonus:
- Annual earnings requirement: None
If you be part of the RBC Newcomer Benefit program, you’ll be able to qualify for a bank card with no Canadian credit score historical past, obtain a beneficiant welcome provide, save on banking charges on the RBC Benefit Banking account for one 12 months, and even qualify for a mortgage. Below the newcomer benefit program, you may be eligible for the RBC Money Again Mastercard, which is obtainable to eligible everlasting residents and worldwide college students who arrived in Canada within the final 12 months earlier than making use of, in addition to momentary resident staff who arrived within the final two years. With this card you’ll additionally earn limitless money again in your purchases and obtain reductions on gas while you use a Petro Factors card at Petro-Canada—nice perks for a no-fee card. Simply needless to say the acquisition rate of interest is pretty excessive, so in case you carry a steadiness or can’t repay your card in full each month, the prices can add up.
Runner up greatest bank card with a newcomer checking account bundle provide
Nationwide Financial institution mycredit Mastercard*
Whereas Nationwide Financial institution affords some glorious help and bundling choices for newcomers, the money again fee is barely decrease than different playing cards contemplating the acquisition rate of interest is decently excessive—though the money again earnings are limitless. You may be accredited for the bank card with no Canadian credit score historical past. To use for this system, all you want is a legitimate passport out of your nation of origin or a Canadian everlasting resident card and a Canadian telephone quantity. You’ll get entry to a workforce of specialists seven days per week to assist with immigration questions, specialised recommendation on housing, jobs, healthcare and extra for one 12 months. Plus, you’ll be able to obtain extra financing help. With the newcomer banking provide, you get to make use of a chequing account with no month-to-month charge for as much as three years, with extra banking reductions in years two and three of this system. What’s extra, the provide is legitimate on your first 5 years in Canada, which is beneficiant in comparison with different newcomer playing cards on this checklist.
- Earn fee: As much as 1% money again at eating places and on recurring pre-authorized invoice funds, 0.5% money again on all the things else
- Welcome provide: You may earn as much as $135 money again, in case you make at the least $400 in purchases within the first 3 months after opening the account, and likewise join the Credit score Card Fee Safety Plan.
- Rate of interest: 20.99% on purchases, 22.49% on money advances, 22.49% on steadiness transfers
- Annual earnings requirement: None
- Credit score rating/ credit score historical past required: None in case you are a part of Nationwide Financial institution’s newcomer program
- Perks: Cellular theft/ injury safety; prolonged guarantee; buy safety; contactless funds and fraud safety.
Continuously requested questions
How we decide the most effective bank cards
The MoneySense editorial workforce selects the most effective bank cards by assessing the worth they supply to newcomers throughout numerous classes. Our greatest bank cards for newcomers rating relies on an intensive checklist of options, together with credit score historical past necessities, rates of interest, welcome affords, and perks like money again or rewards. Our rankings are an unbiased supply of data for Canadians. The addition of hyperlinks from affiliate companions has no bearing on the outcomes. Learn extra about how MoneySense makes cash.
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