Mr Lee

When we applied for a mortgage recently I was a bit shocked to find that I have no credit history here.

The mortgage broker suggested that some banks/institutions will open a credit card account for New Canadians in order for them to build up some credit. Anyone done this with a particular bank they can recommend? (Although the words "bank" and "recommend" don't really go together well in Canada I've discovered. They're all terrible! )

gloveman

Our bank told us we couldn't get a credit card until we had a credit history.

burton bunch

We are with ATB Financial - OH just went in and they sorted a credit card out for him - not got the credit limit we had in UK but got I think a couple of thousand $'s limit. This was done within first few weeks of arriving in Canada.

Gaynor

x

jempee

yep told the same. Although we have recently filled in form for one with our bank,just to try our luck

iaink

My first success was with Leons to get store credit, then Canadian tire and HBC (Zellers). CT and Sears are now mastercards, so its not so easy

Having the car financed (leased..large security deposit) probably worked wonders. BMO were the first to give me a "real" credit card (Mastercard)

Conventional wisdom is that a secured credit card (GIC deposit in excess of credit limit) is the easiest way to convince a bank to give you a mastercard / visa. Most of the "big" banks will oblige. I'd start with the one you have your chequing account with.

Calgal

We assumed our first mortgage, straight "off the boat" which probably helped us get established financially (after it came up for renewal anyway).

Also did the same as Ian, store cards are generally 'thrown' at you. Then you can move up to a real credit card. It does take time.

My son's who were raised here since they were six, and had savings accounts with the same bank as us since age seven (they were even issued cheque books!! LOL), STILL couldn't get a credit card from them after reaching 18 and earning a salary without putting a deposit down to cover the (meagre) limit!

(You probably guessed it, Iank - yes it was TD )

sand grownun

Hi

We are here on work permit and got a credit card with RBC, as they offerred one! Had to put money into a GIC to cover limit on credit card, also got a mortgage even though only on work permit, through independant mortgage advisor. Have been given store cards from Home Depot and Canadian Tire, but refused by HBC. Had very large deposit for house don't know if that had anything to do with it. Hope this helps.

Steve_P

It all changes when they go to Uni they almost throw them at you.

My youngest made a game of it in his first year. He applied for every card they were giving out at the University, told them all he had zero income and everyone approved him. He had twelve to fifteen of them at one point.

Luckily he had the smarts not to use them all.

R I C H

The whole credit thing is unpredictable. I had a mortgage, farm machinery loan (John Deere Financing), Ford and Mazda leasing arrangments (no security deposits), and bank credit line pretty much from day one of arrival, and an RBC Avion Visa (large limit, no security deposit) a little while later. Been offered store cards almost every time I go shopping, but am always refused due to lack of credit history. Go figure

Don't talk to me about utility company security deposits though - had to pay for residential and commercial premises to the tune of $10k, despite paying monthly in advance. It's not like I can run off with a truck full of hydro and gas, is it?

Mr Lee

What I'm wary of is applying for a card then getting refused. A nice stain on my credit score before I've even started!

Calgal

Bit of a catch 22, eh? But you have to start somewhere Mr Lee! A store card is probably your best bet.

Canadian Citizen

And now the explantion............

About 20 years ago, there was a much less stringent attitude towards Immigrants getting " instant credit" upom arriving in Canada. So of course some smart guys started applying for 6 car loans on the same car, and taking the money back to "the old country " wherever that was. Yes that really did happen.

So the present tight credit is a direct result of previous frauds commited by "Immigrants ". Not your fault I know, but now you know the "reason why " it is in place.

Jim Bunting. Toronto.

Madmac

As an interesting exercise on this topic, I wonder how easy or difficult it is to get a credit card in the UK as a new immigrant and does the process compare with that currently in Canada?

Anyone know?

traceyparker1

I am also finding the whole "credit history" a little frustrating. We came here from the US with exceelent credit scores and assumed that they would carry over, what with it all being North America. We still have our US cards so didn't bother applying for a credit card until recently, when we were informed that we needed to build a Canadian credit history. We have had a chequing account and GIC with RBC for about 2 years now, even though we have only been in Canada for 6 months. We got constant offers in the mail from RBC telling us that we were pre approved and to apply now. Get this, we applied and were turned down due to lack of credit history. Man, was I pissed......they offered us a secured card, based on our GIC but the principle of the thing caused us to refuse and threaten to taken our business elsewhere. Ironically enough, we have an appointment with our bank today to see if we can come to some sort of "arrangement" - will let you know how it goes!

Tracey

dbd33

I did. I got an Amex. Twenty years later I still don't have credit cards from the Canadian banks.