Another important step to take, once you arrive in Canada is to open a Canadian bank account. Opening a bank account helps build your financial credibility and establish a good credit history.
To borrow money in Canada, you first need to establish a Canadian credit history —proof to potential lenders that you can
be relied upon to pay your bills and make repayments on time.
So how does a new immigrant go about building a good credit history? There are many ways to start building a good credit history:
One of the best ways to establish a Canadian credit history and build a good credit rating is to get a Canadian credit card. As you use your card and make regular payments, you will create and build a credit history. If you ever need more credit in the future, your good credit history and score will be beneficial. A good credit will encourage potential lenders to look more favourably upon your request to borrow larger sums.
There are many things to consider when choosing a bank or other financial institution. Ask these questions before you make your decision:
Each plan is unique, but most generally offer:
Each bank defines a newcomer in a different way and so eligibility for newcomer programs differ based on this definition. Here are some available definitions:
You are a newcomer if you have arrived in Canada less than:
The "Big Five" Canadian Banks are listed below:
• Toronto-Dominion Bank
• Bank of Nova Scotia
• Bank of Montreal
• Canadian Imperial Bank of Commerce
Apart from the Big Five banks, there are notable second tier banks namely National Bank of Canada, HSBC Bank and ING Direct Bank of Canada.
BMO Newcomers to Canada — For those planning to come to Canada soon or have recently arrived in the country, this page helps ensure your financial transition into Canada goes smoothly.
CIBC Welcome to Canada — Information on living, working and studying in your new country, as well as getting the identification you'll need.
HSBC New to Canada — A checklist for newcomers, advice on getting started in Canada and a Canadian immigration and banking glossary.
RBC Welcome to Canada — Information about life in your new country, buying a home, employment and financial services that are tailored to your needs.
Bank of Nova Scotia Startright Program for New Canadians — A banking program for new Canadians.
TD Bank Group Customer Diveristy — A summary of TD initiatves serving the distinct needs of its diverse customer base.