The best credit cards for newcomers to Canada for 2024

MoneySense is an award-winning magazine, helping Canadians navigate money matters since 1999. Our editorial team of trained journalists works closely with leading personal finance experts in Canada. To help you find the best financial products, we compare the offerings from over 12 major institutions, including banks, credit unions and card issuers. Learn more about our advertising and trusted partners.

Pros

• BMO NewStart Program: Get this card without a credit check, along with cash back bonuses on other products, like a chequing account, investments and even a mortgage.
• Easy redemption: Simple reward structure and, unlike with some other cash back cards, you can redeem rewards any time for as little as $1.
• Low income requirement: This card is accessible to most.

Cons

• Groceries exclusion: Groceries purchased at Costco and independent businesses, like bakeries and butchers, are not eligible for 3% cash back, only the base rate.
• Low base rate: Only 0.5% cash back on most purchases, which is lower than some credit cards.

Pros

• No credit history required: Apply without a Canadian credit file through the Simplii New to Canada Banking Program. Apply for the program up to one year before arriving in Canada or up to five years after arriving.
• High earn rate on dining: Earn 4% at restaurants, bars and coffee shops—almost double what similar no-fee cash back cards offer.
• Earn on global money transfers: Get cash back on international transfers, with no transaction fees or interest charges if the balance is paid by the due date.
• Low income requirement: This card is accessible to most people.

Cons

• Eligibility: You must be a Canadian resident (excluding Quebec) to qualify for the newcomer program.
• Simplii bank account required: To get this card, you’ll need a Simplii Financial account—an unusual requirement for a credit card.
• Annual redemption: Cash back is only redeemable as a statement credit once a year in December.
• Earning caps: The 4% cash back on dining is limited to the first $5,000 spent annually, and the 1.5% rate on other categories is capped at $15,000 spent.
• Limited insurance: Offers purchase security and extended protection—the most basic insurance offerings. However, you can add on CIBC Travel Medical Insurance as an optional extra.

Pros

• Low interest rates: One of the lowest purchase APR of any card in Canada and a competitive rate for cash advances—perfect for anyone carrying a balance. And it has no annual fee, unlike some competing options.
• Insurance offerings: Get travel coverage for up to three days (emergency medical, trip cancellation and baggage coverage), as well as up to $1,000 in mobile device coverage (a rarity for no-fee cards).
• Installment payment options: Pay for purchases of $200 or more in smaller installments at select retailers, easing the pressure on monthly cash flow.
• Rental car discounts: Save at Hertz, Thrifty and Dollar. 

Cons

• Higher interest if minimum payment missed: If you don’t make the minimum payment by the due date, the rates on purchases and cash advances will increase to 19.9% until payment is received.
• No rewards: Unlike many other newcomer cards, you won’t earn points or cash back with this one.
• Limited travel insurance duration: Coverage only lasts three days, which may not be enough for longer trips.
• Limited in-person support: Desjardins has physical branches only in Ontario and Quebec.

Pros

• Guaranteed approval: Perfect for those with no credit history, as long as you’re a permanent resident with an income source.
• Credit reporting: Reports to both Equifax and TransUnion, helping newcomers build their credit scores effectively. In contrast, the Neo Secured Card, for example, only reports to TransUnion, meaning your credit history might not show up properly for lenders only relying on Equifax scores.
• Two interest rate options: Choose between a $59 annual fee for a 14.90% APR or no fee with a 19.99% rate, allowing you to select what suits your budget best.
• Low FX fee: A competitive 2% fee compared to the standard 2.5%.
• Flexible credit limit: Set your own limit based on a minimum deposit of $500 up to $10,000, providing control over your finances.
• Widely accepted: Can be used for purchases and bill payments in over 200 countries (anywhere you can use Visa).

Cons

• Eligibility: Not available to Quebec residents, international students, foreign workers or those currently in bankruptcy. You must be a permanent resident with an income source.
• High minimum deposit: Requires a $500 deposit, whereas it can be as low as $50 with some other cards.
• Extra fees: A $12 fee is charged each year of inactivity and $29 if you exceed your credit limit.
• No rewards: Unlike some secured cards like the Neo Secured Card, it doesn’t offer rewards on spending, as it prioritizes credit rebuilding. However, this is typical for secured cards, which prioritize low interest.
• Limited perks: Lacks benefits like insurance, and newcomer offers are fairly limited (in terms of bundles, banking discounts, support or financial advice), prioritizing credit-building.

Pros

• Guaranteed approval: As long as you’re a Canadian citizen or permanent resident and of the age of majority in your province or territory. 
• Low minimum deposit: $50 is low compared to cards like the Home Trust Secured Visa, and you can still choose to deposit up to $10,000 for a higher credit limit. 
• Rewards: Earn 0.5% to 4% cash back at Neo partners, depending on your Neo Everyday account balance—an uncommon benefit for secured cards. Put up to $10,000 in your account to earn 4% on gas and groceries and 1% on everything else.
• Flexible benefits: Choose from add-on bundles (for a fee) to get perks like boosted rewards, insurance, app subscriptions, free gym classes and more.

Cons

• Higher interest rates: Rates vary from 19.99% to 29.99% (high compared to most cards), depending on credit profile and province, which could be costly for those carrying a balance.
• Limited rewards outside partners: You’ll have to shop at Neo-affiliated stores to get the most cash back, so earning may be limited in rural areas or for independent stores.
• Limited extras: This card has almost no extras unless you subscribe to a bundle. A paid subscription for additional perks may not suit all budgets.

Pros

• No credit history required: Newcomers can qualify through the StartRight program without a credit file. If this card isn’t right for you, consider another Scotiabank card available through this program, like the Scotia Momentum No-Fee Visa or the Scene+ Visa.
• No FX fee: Save the typical 2.5% fee on international purchases.
• Airport lounge access: Six complimentary visits (at more than 1,200 lounges worldwide) per year with Visa Airport Companion membership, perfect for international travellers. This is the only no-FX-fee card in Canada to offer airport lounge access.
• Comprehensive travel insurance: Up to 25 days of emergency medical for those under 65, plus coverage for trip cancellation, flight delays, baggage, rental cars, accident insurance and more.
• Flexible and easy rewards: Redeem Scene+ points on travel purchases with any airline or hotel provider, or through Scene+ Travel. No complicated travel charts or maps.
• First supplementary card free: Annual fee waived on the first card to help you increase earnings.

Cons

• High annual fee and income requirement: Although it is offset by the perks, the fee and income requirement may be out of reach for some.
• Limited earning: The rewards offered are lower than those with other premium annual-fee cards. Plus, points have lower value when redeemed for gift cards or merchandise than when used for grocery purchases and travel.
• Reduced travel insurance for seniors: Travelers 65 or older receive only three days of emergency medical coverage.
• No mobile device insurance: Unlike most premium cards, device protection isn’t included.

Pros

• RBC Newcomer Advantage program: Qualify without a credit history through this program, and receive a generous welcome offer, save on banking fees on the RBC Advantage Banking account for one year, and even qualify for a mortgage. Available to eligible permanent residents and international students who arrived in Canada in the last 12 months before applying, and temporary resident workers who arrived in the last two years.
• Varying cash back rates: With this unusual rewards structure, earning on groceries drops from 2% to 1% after the first $6,000 spent. However, for all other purchases, after the first $6,000 spent, cash back increases from 0.5% to 1%.
• Fuel and pharmacy rewards: Save 3 cents per litre on fuel and earn 20% more Petro-Points at Petro-Canada stations. Also, get 50 Be Well points per $1 spent at Rexall.
• Additional perks: Complimentary 3-month DashPass subscription with $0 delivery fees on DoorDash orders of $15 or more.

Cons 

• Limited insurance: Only offers the most basic coverage—purchase security and extended warranty.
• Limited features: Minimal perks compared to other newcomer or cash back cards.