Since Canada became an official nation in 1867, it has been the focus of immigration from people across the globe. These days, people from every part of the world continue to look to Canada as a place of refuge and opportunity.
That would explain why approximately 300,000 new immigrants are added to Canada’s roster every year. That’s among the highest rates of immigration in the world. Currently, there are around 8 million immigrants living in Canada under permanent residency, representing about 21.5% of the entire population of Canada.
But moving to Canada is not as easy as one might think. There are numerous aspects to consider, such as buying or renting a home, getting a job, and restarting a new life. Here’s a financial guide for newcomers to Canada.
How To Open A Bank Account In Canada As A Newcomer
Depending on the exact bank that you open an account with, the process might be slightly different.
- Start Application: You can generally start your application to open a bank account in person or online.
- Provide Documents: You’ll generally need to provide documents such as:
- Valid and current passport
- Immigration papers or a permanent residency card
- Temporary Residence Permit
- Study or work permit
- Confirmation of permanent residence
- Social Insurance Number (SIN)
- Proof of address
- Open Account: Once you’ve been verified, your bank will set up your account and provide you with an access card.
| Do I Have To Open A Bank Account? While it’s not a legal requirement to have a bank account at a Canadian bank to live or work in Canada, you’ll find that it’s much more convenient to have one. A bank account is beneficial for: –Employment: Most employers require you to have a bank account to facilitate payments. –Loans: If you want a personal loan, car loan or mortgage, you’ll need an active bank account to qualify for one –To Immigrate: To immigrate to Canada, you must meet various requirements, including having a minimum amount of money saved. This amount starts at $14,690, but increases based on family size. You can transfer money to your Canadian bank account before you arrive in Canada to show you have proof of funds on arrival. |
Learn more: Best Bank For Newcomers In Canada
Transferring Funds From Your Home Country
When moving to Canada, you’ll want to bring any money you have from your home country with you. While you can bring cash with you when you travel to Canada, you will need to declare any amount higher than $10,000. You can also wire money to Canada, but you’ll first need to have a bank account opened here.
International money transfers are generally the fastest and most cost-efficient way to transfer money.
| Transfer Fee | Amount Limits | Transfer Time | ||
 | Varies by destination and amount | $5,000 CAD daily | 30+ minutes | Learn More |
 | None | $100 – $70,000 | 1 – 3 days | Learn More |
 | Depends on type of transfer and country. | Up to $50,000 | 0 – 7 days | Learn More |
 | Depends on type of transfer, transfer method, amount, and country. | Up to $7,500 | same day | Learn More |
 | Depends on type of transfer, transfer method, amount, and country. | Up to $10,000 USD | As little as a few minutes | Learn More |
 | Varies by currency and transfer amount (from 0.43%). | Up to $25,000 | 1 – 3 days | Learn More |
 | - $15 CAD for transfers less than $10,000 CAD - Free for transfers more than $10,000 CAD | $150+ | 1 – 2 days | Learn More |
 | Depends on type of transfer, transfer method, amount, and country. | Varies | 1 – 3 days | Learn More |
 | - Free for transfers over £3,000 - £10 for transfers under £3,000 | Up to £20,000 | Varies | Learn More |
 | Depends on type of transfer, transfer method, amount, and country. | Up to $75,00 | 1 – 3 days | Learn More |
 | Varies by transfer amount, payment method, and delivery option. | Varies | 0 - 5 days | Learn More |
 | Depends on type of transfer, transfer method, amount, and country. | Varies | 0 – 4 days | Learn More |
 | Depends on type of transfer, transfer method, amount, and country. | $10 – $2,999 | Varies | Learn More |
 | $0 – $29.99 (depends on transfer method) | Varies | 0 - 2 days | Learn More |
Financial Products You Can Get As A Newcomer
As a newcomer to Canada, several financial options may be available to you:
Personal Loans
As long as you’re a permanent resident of Canada, you can get a personal loan as a newcomer. Personal loans are available from banks, alternative lenders, non-profits, and government programs.
However, it may be difficult to qualify depending on your status, financial health, and credit. Specifically, getting a loan with no credit in Canada can be challenging, which is why newcomers may have better luck getting a personal loan from an alternative lender or a non-profit organization.
Learn more: Loans For Newcomers In Canada
Student Loans
International students can get a loan in Canada, though they’ll typically need to add a cosigner to the loan contract. Further, lenders will want to ensure that you have a steady and sufficient income and a low debt-to-income ratio no higher than 36% (depending on the lender).
Credit Cards
Many credit cards in Canada are available to newcomers. That said, some may be more suitable than others, particularly when it comes to low (or no) annual fees and lax requirements.
Here are a few worth considering:
- Scotia Momentum® No-Fee Visa Card
- Tangerine Money-Back Credit Card
- BMO CashBack® Mastercard®
- Home Trust Secured Visa
That said, you may still need to meet credit requirements.
Learn more: Best Credit Card For Newcomers In Canada 2025
Car Loans
Perhaps one of the easier loan options to secure for newcomers are car loans. Many lenders, including banks and alternative lenders, offer special car loans for new immigrants.
These loans often don’t require strong credit, making it easier for newcomers to get financing for a vehicle purchase. Instead of focusing on credit history, lenders may consider other financial details, such as your income, assets, debt, and job stability. Further, because these loans are secured by your car, this reduces the lender’s risk, making car loans easier to qualify for without good credit.
Note: To legally drive in Canada, you must have car insurance.
Mortgages
Newcomers to Canada can get a mortgage, though they’ll need to be a permanent resident to qualify. Non-residents must wait to buy a home in Canada due to the ongoing Foreign Buyer Ban that’s in effect until 2027.
If you’re a non-resident, you’ll need a work permit that lets you work in Canada legally to qualify for a mortgage.
Loan Programs For Newcomers
Other specialized financing programs are available to newcomers to provide the funds needed to cover various expenses:
Education Loans
Windmill Microlending is a non-profit organization that offers low-interest microloans of up to $15,000 to skilled immigrants and refugees. The funds can be used to cover the cost of accreditation or training to enhance career opportunities.
In addition to Windmill Microlending, other programs are available to help fund the cost of getting accredited to find work in Canada, including the following:
- Association Communautaire D’emprunt De Montréal (ACEM)
- Foreign Credential Recognition (FCR) Loan Program
- Supporting Employment & Economic Development (SEED) Winnipeg
- Canada Microcredit Educators Group (CMEG)
Settlement Loans
The Provincial Nominee Program (PNP) provides a pathway to immigration to Canada. However, once you’re accepted, you’ll still need money to fund your settlement here in Canada. Several financial programs are available to help immigrants get the funds needed to start a new life here in Canada, including the following:
- Immigration Loans Program (ILP)
- Transportation Loans
- Assistance Loans
- Right Of Permanent Residence Fee (RPRF) Loans
- Resettlement Assistance Program (RAP)
Building Credit As An Immigrant
When you move to Canada, you’ll need to rebuild your credit as you cannot transfer your credit history from your home country. To begin building your credit in Canada, you need to understand the two main concepts of Canada’s credit system:
Credit Report – A credit report is a document that holds all your credit information. Credit report information is used to calculate your credit score.
Credit Score – A credit score is a number that ranges between 300 – 900. Lenders use it as an indicator of how likely you’ll pay back your debts. The higher your score, the less risky you’ll seem to lenders, which will make it easier to qualify for credit cards, loans, mortgages and other credit products.
How To Build Credit As A New Immigrant?
When building your credit score, there are five main factors used to calculate it:
| Payment History | This factor accounts for about 35% of your credit score. Paying your bills on time and in full is the best way to help build a positive payment history. |
| Credit Utilization Ratio | Your credit utilization ratio accounts for about 30% of your credit score. The more credit you use versus how much is available can negatively impact your credit. It’s recommended you keep your ratio below 30%. |
| Credit Length | This accounts for about 15% of your credit score. Your credit length refers to the average age of all your credit accounts. As such, keeping older accounts open and limiting the number of new accounts you open and close can positively affect your credit. |
| Credit inquiry | When you apply for new credit products your lender will perform a hard inquiry. This can negatively affect your credit and accounts for about 10% of your credit score. As such, it’s best not to apply to too many lenders within a short time frame. |
| Public Record | Collections, bankruptcy and legal judgments can affect your credit score. It generally accounts for about 10% of your credit score. |
Learn more: Establishing your credit as a new immigrant.
Where To Find A Job In Canada As A Newcomer
Whether you’re a temporary student, a newcomer or a permanent resident, you can use the following job boards to help you find a job.
| Indeed | Learn more |
| Monster | Learn more |
| Canadian Job Bank | Learn more |
| Jooble | Learn more |
Note: Ensure that if your SIN starts with a “9” it is not expired. The expiry date must correspond with the expiry date on your document from Immigration, Refugees and Citizenship Canada (IRCC) that authorizes you to legally work in Canada.
Taxes As A Newcomer
As a newcomer to Canada, you’ll be subject to the same taxes as any other Canadian, including sales tax and income tax. However, you won’t have to pay any rumoured “Welcome to Canada” tax, which doesn’t exist.
Thankfully, there are several tax credits you may be eligible for as a newcomer to help offset taxes paid. That said, you need to file your taxes if you work in order to be eligible for the following tax credits and benefits:
- Goods And Service Tax (GST)/ Harmonized Sales Tax (HST) Credit
- Canada Carbon Rebate (CCR)
- Canada Child Benefit (CCB)
- Child Disability Benefit
- Canada Dental Care Plan
Learn more: Newcomers To Canada: Tax Benefits
Finding A Place To Live In Canada
When immigrating to Canada, you’ll need a place to live. If you’re looking to rent an apartment or house, you can use certain resources to help you find affordable housing.
As a newcomer, you’ll need to show the landlord you’re a responsible tenant. You’ll generally need to provide pay stubs and/or an employment letter. Some landlords may also require the first month’s rent upfront (regulations vary by province) and even a co-signer in some cases. A cosigner is someone with good finances and credit who agrees to pay the rent if you’re unable to.
When you’re ready to rent a place or buy a house, you can look into the Canada Mortgage and Housing Corporation (CMHC), the national housing agency in Canada to get more information about renting an apartment or buying a house.
Things To Remember When Immigrating To Canada
There are numerous programs available to help immigrants move to Canada. Some of the main ways you can move to Canada include the ONIP and the Express Entry program.
How To Become A Canadian Citizen
To become a citizen of Canada, you must meet the following criteria:
- Lived in Canada for at least 3 out of the past 5 years
- Filed your income taxes
- Pass a citizenship test
- Have proficient English or French language skills
You must apply for citizenship and the processing time for applications is approximately 12 months, which includes processing the application, citizenship test, interview, and ceremony.
Learn more: Ways To Immigrate To Canada
Final Thoughts
As you might expect, applying to become a Canadian citizen or permanent resident takes some time, effort, and money. Be sure to find out everything there is to know about going through the proper channels to move to Canada and set up your new life with your family.
