Credit in Canada

[nash_arsenal]

Ummmm..... I am not sure about this statement. If you are going to apply for a bunch of credit cards, it is advisable to do it in a short period of time like a week or so. This is better than spreading it out. Your credit will be hit only once in the first scenario. At least this is how it works in the US.
just my 2 cents.

No you are wrong here....Every credit application has an affect on your credit score because of the credit check performed by the company...if too many hard checks are performed over a short period of time your score goes down significantly, whereas if you space your credit application every 6 months or so, there is less affect.

i would highly suggest all future and new Pr's to go here and read about credit report and score
http://www.fcac.gc.ca/eng/publications/CreditReportScore/UCreditReport-eng.asp

This is very valuable information and every new immigrant should atleast be aware of the basics

 

[Dayanara]

Thanks for that link, even as a Canadian I even learned a few things.

 

[nomad_musafir]

No you are wrong here....Every credit application has an affect on your credit score because of the credit check performed by the company...if too many hard checks are performed over a short period of time your score goes down significantly, whereas if you space your credit application every 6 months or so, there is less affect.

i would highly suggest all future and new Pr's to go here and read about credit report and score
http://www.fcac.gc.ca/eng/publications/CreditReportScore/UCreditReport-eng.asp

This is very valuable information and every new immigrant should atleast be aware of the basics

Thanks for the link. The statement I made was from my experience while shopping for mortgage lenders in the US.
It does not apply to new immigrants with no credit history. Here is what I was talking about, copied from the source you quoted:
"The scores can identify “rate shopping” so that one credit search leading to multiple inquiries being reported is usually only counted as a single inquiry. It’s been reported that for this to occur the person making the inquiry must use Equifax’s “mortgage code” when requesting your credit score (ie. “FM” is in your Equifax member number).
A common misperception is that every single inquiry will drop your score a certain number of points. The impact of inquiries on your score will vary depending on your overall credit profile, and it can drop anywhere from 5 to 20 points on the first mortgage inquiry, but this is different for every case."
http://www.fcac.gc.ca/eng/publications/creditreportscore/exequifaxscore-eng.asp

 

[whoopi83]

well thats what i said,,,,rogers do report to credit bureau...its just that defaulting on rogers payment negatively effect your score, but paying it on time does not positively affect your score. Whereas loans, credit cards, car payments if paid on time positively affect your credit score.
Are you saying your credit score is 999 after 9 months cuz that is not even possible....credit [FICO] scores are between 300 to 900

Sorry, 999 was a typo - I wasn't looking! And yes I do mean 900.

I am still not sure that paying (Rogers) on time will not improve your credit rating as any credit account does? If I have a $500 credit limit with Rogers and I clear my bill each month and they report that to Equifax, then how could it not be taken into account along with other credit obligations? It must therefore affect your credit file regardless of what the call centre agents tell you.
Anyhow, enough said.

 

[nash_arsenal]

Well i confirmed this with transunion and equifax.....lemme see if i can digup why it works like that

 

[nash_arsenal]

Thanks for the link. The statement I made was from my experience while shopping for mortgage lenders in the US.
It does not apply to new immigrants with no credit history. Here is what I was talking about, copied from the source you quoted:
"The scores can identify “rate shopping” so that one credit search leading to multiple inquiries being reported is usually only counted as a single inquiry. It's been reported that for this to occur the person making the inquiry must use Equifax's “mortgage code” when requesting your credit score (ie. “FM” is in your Equifax member number).
A common misperception is that every single inquiry will drop your score a certain number of points. The impact of inquiries on your score will vary depending on your overall credit profile, and it can drop anywhere from 5 to 20 points on the first mortgage inquiry, but this is different for every case."
http://www.fcac.gc.ca/eng/publications/creditreportscore/exequifaxscore-eng.asp

but this is for mortgage shopping right ? not for credit cards....unless iam missing something....and again i never said itll drop 5 or 20 points thats not the point here. The point is if you apply for 3 credit cards say in 5 days youre score will go lower than say if you applied for 3 over 8-12 months....

 

[tgchi13]

but this is for mortgage shopping right ? not for credit cards....unless iam missing something....and again i never said itll drop 5 or 20 points thats not the pont. The point is if you apply for 3 credit cards say in 5 days youre score will go lower than say if you applied for 3 over 8-12 months....

And it was US not Canada...

 

[giggles1985]

I was asked to provide a ten year driving record and insurance claims history for car insurance here. Maybe it is not a requirement to get coverage, but to get a high rating (and a lower premium) I sent mine. The state where I was last licensed only keeps records back three years, so I asked them to state that on the record they sent.

What kind of documents can you use as proof of this? Is it something you can just ask your car insurance provider for? Or you have to ask the state? I have a relatively good driving record (no accidents 2 insignificant tickets during the 6 year period I've been driving) and I think it would be better to keep this record than start our blank. You think?

 

[Leon]

You should be able to get a driving record from the DMV or police or somebody and you can definitely get a letter from your insurance company stating how long they have insured you with no claims. It should help.

 

[SaugaBoss]

old thread but thought id give advice on credit cards. i have only been working for less than 2 months and got approved for a visa and master card both for $1000 each unsecured. i think as long as u r working they will approve u in the beginning. i was lucky my MC didnt show on my credit report so i was able to apply for a VISA as well. if my MC showed i would not be able to bc itll show 2 credit cards....i also got a secured card to help build credit as well

 

[steaky]

Well, I have credit in Canada but recently I had been unable to get additional credit cards from major stores such as Sears and Canadian Tire.

 

[IndividualLikeEveryoneEls]

I've just set up an HSBC Premier account that should link my UK account with my Canada one. I've been an HSBC customer in the UK for over a decade and would like to take my UK credit history with me to Canada. I'm yet to find out whether this works as advertised but I will report back here when I know.

Has anyone else used HSBC Premier to do this?

 

[steaky]

Yes, you can link your UK HSBC Premier with your Canada one. But whether or not you can take your UK credit history with you to Canada, you have to ask HSBC for that. From what I understand, out of country credit history does not count!

 

[Leon]

Well, I have credit in Canada but recently I had been unable to get additional credit cards from major stores such as Sears and Canadian Tire.

Don't go with a Sears card unless you plan to pay it off right away. The interest rates are ridiculous. Canadian Tire is good because you get CT money on all your purchases and there is no limit on how you redeem it, you can use it towards any purchase, no minimum etc.

It can also hurt your credit to apply for cards though. Once you have a steady job and get one card, if you apply for another soon afterwards, the 2nd institution looks at your credit history and sees that you just applied for the first card. Therefore they might decide that you must be having financial problems if you are applying for many cards at the same time. They might then refuse and that knocks your credit score down again.

 

[steaky]

Thanks Leon.

How long should the wait be ,between the first and second card? I am requesting my credit report from Equifax, out of curiosity.