Building credit in canada

[sridas]

Hi experts,
If I want to build my credit in Canada, what are the most desired methods that will enhance my credibility for getting loans for business or to buy house in future.

 

[Leon]

Go to a bank and open a bank account. Once you have a job and a regular income, ask your bank if you can get a credit card. If you get one, use it and pay it off every month, that way you never pay interest. If you get denied, don't apply for a lot of credit cards, just wait and apply later. Many denials also look bad on your credit report. You can discuss with your bank how best to build your credit.

 

[starzibal]

Hi experts,
If I want to build my credit in Canada, what are the most desired methods that will enhance my credibility for getting loans for business or to buy house in future.

If you denied credit card from your bank, you can also apply to Capital One secured credit card. You just have to pay $75 a year, they will issue (depending on your credit) $300-$1000 credit card. That is the best option for you to build up your credit history. Once you build up your history then you can apply credit card through your bank, once you get the card, then close the capital one card. Home trust also issue secure credit card.

 

[moneycat]

Hi Starbizbal

Can this work for new immigrants? We have been running our own businesses for years in Australia, but looking to settle in Canada later this year and have to build up new credit history there.

Also, for those interested, if you have Amex in your current country, you can ask for Global Transfer, they will give you a new Canadian Amex straight-away, it's very convenient; as most places in Canada take Amex.

 

[starzibal]

Hi Starbizbal

Can this work for new immigrants? We have been running our own businesses for years in Australia, but looking to settle in Canada later this year and have to build up new credit history there.

Also, for those interested, if you have Amex in your current country, you can ask for Global Transfer, they will give you a new Canadian Amex straight-away, it's very convenient; as most places in Canada take Amex.

It is for new immigrant too.

 

[tito]

Some of the big 5 banks have credit card programs for new immigrants; I believe you can walk in to get CAD$1,000 visa card from TD. It is a rebate card with no annual fee.

To build good credit in no time and for future considerations, you should get a CAD$5,000 secured credit card, use about 30% of the money every month and pay off before due date. It will help you with mortgage approval and far superior to having CAD$1,000 credit.

 

[TatianaRussia]

Is it important for credit history how much is your credit limit ?

 

[me2land]

Is it important for credit history how much is your credit limit ?

It is. The more money creditors are willing to lend you the better off you are in the eyes of other lenders.

¬m2l

 

[kikokit]

hi.... if i am going to leave my country with an unpaid credit card (mastercard) would it affect me in canada?

 

[Leon]

Of course the right thing to do is to pay off your debts but if you didn't, it's unlikely that anybody in Canada would ever hear about it. They do not link with credit history from other countries. If you have very good credit and want to take it with you, you could get a credit report or a letter from your bank but if you have bad credit, then don't and you will start at 0 in Canada. Unfortunately starting at zero also means that they will rarely trust people with a credit card.