The Best First Time Credit Cards with No Credit History in Canada

When you apply for a credit card in Canada, the bank pulls your credit history to assess your creditworthiness. A good credit score makes it easy to qualify for a credit card, while a poor or bad credit score means your credit card application may be denied.

As a newcomer to Canada, you have no credit history, making it challenging to get credit products.

Thankfully, there are first-time credit cards and programs that cater specifically to individuals with no credit history.

First Time Credit Cards For Those With No Credit History

One way to get a credit card without a credit history in Canada is by applying for a secured credit card. These cards require you to provide a cash deposit as collateral when you are approved, and they often offer guaranteed approval.

The best first-time secured credit cards in Canada are:

• Neo Secured Card
• Home Trust Secured Visa

Alternatively, you can apply for a prepaid card that provides credit building like the:

• KOHO Prepaid Mastercard
• KOHO Extra Mastercard

Newcomers can get approved for entry-level unsecured credit cards at banks like RBC, CIBC, Scotiabank, and BMO. When applying through the bank’s newcomer program, no credit history is required to qualify.

The top first-time credit cards from these banks include:

• RBC: RBC ION Visa and RBC Cash Back Mastercard
• Scotiabank: Scotiabank Scene+ Visa
• CIBC: CIBC Dividend Visa
• BMO: BMO Cash Back Mastercard

Some Canadian retailers offer credit cards with a low-entry barrier, and you could be approved with a limited credit history. These store credit cards include:

• Triangle Mastercard
• PC Financial Mastercard

If you have a fair credit score, you could qualify for these unsecured rewards credit cards below. Ideally, you need a credit score of at least 600.

• Tangerine Money-Back Credit Card
• Neo Financial Mastercard

Best First Time Credit Cards For No Credit History

Neo Secured Mastercard

The Neo Secured Card offers guaranteed approval and the lowest security deposit requirement you will find anywhere at just $50.

New cardholders get a $25 bonus after approval (via link), and they earn up to 5% cash back on purchases.

Cash back earned can be redeemed anytime to pay purchases.

Neo reports your payment history to credit bureaus, helping you build your credit score if you use it responsibly.

Learn more about Neo credit cards.

Home Trust Secured Visa

The annual fee for the Home Trust Secured Visa is either $0 or $59, depending on the interest rates. This card does not offer any extra perks.

KOHO Prepaid Mastercard

KOHO is a top prepaid card in Canada. It comes in three formats:

• Easy card: Has no annual fees and pays 1% cash back on grocery purchases and transportation. Your balances earn 0.50% interest. Learn more.
• Essential Card: Has a $48 annual fee ($4/month). It pays 1% cash back on groceries, restaurants, and transportation; and 0.25% cash back on everything else.
• Extra Card: Costs $84 annually or $9 monthly. This card pays 2% unlimited cash back on groceries, gas, transit, and restaurant purchases, and 0.50% on everything else.

To maximize the utility of the KOHO Prepaid Card, you can subscribe to its credit-building feature for $7 to $10 monthly. This service is available on all 3 cards, and it can help you build your credit score quickly.

KOHO Extra Prepaid Mastercard

While you pay a fee, the KOHO Extra Prepaid Mastercard has several worthwhile perks.

RBC ION Visa

The RBC ION Visa is a newcomer and entry-level credit card.

When applying through the RBC Newcomer Program, the requirement for a good Canadian credit score or history is waived.

With this card, you earn Avion points on all purchases and can redeem them for travel, gift cards, Apple or Best Buy merchandise, or to send money with Interac e-Transfer.

Here’s a detailed RBC ION Visa guide.

RBC Cash Back Mastercard

The RBC Cash Back Mastercard can be applied for with no credit history if you are a recent permanent resident, international student, or foreign worker.

It offers cash back rewards on all purchases.

Scotiabank Scene+ Visa Card

This Scotiabank credit card for newcomers and students has no annual fee.

Cardholders earn Scene+ points on every dollar spent and can redeem them for free movies, travel, statement credits, dining, etc.

Apply here to get bonus points.

CIBC Dividend Visa Card for Students

The CIBC Dividend Visa Card works well for newcomers and students with unlimited credit history. It pays 0.50% to 1% cash back and includes insurance to protect your purchases.

BMO Cash Back Mastercard

Like the RBC ION Visa, this BMO credit card is suitable for first-time credit card applicants.

Newcomers and students can also qualify for the BMO Air Miles Mastercard. Both cards have no annual fees.

Triangle Mastercard

If you are one of the many Canadians who shop at Canadian Tire, the Triangle Mastercard makes it easy to earn and spend Canadian Tire Money.

If you have a high income of $80,000 or higher, you can opt instead for the Triangle World Elite Mastercard.

PC Financial Mastercard

Maximize your PC Optimum points and access to free groceries when you apply for the PC Financial Mastercard online or at a Loblaw store location.

This store credit card has minimal requirements and makes for an excellent first-time credit card.

Another store credit card you can consider for easy and instant approval is the Walmart Rewards Mastercard.

Related: Best First Credit Cards in Canada.

Best First Time Credit Cards For Fair Credit

If you have a credit score of 600 or higher and are applying for an entry-level credit card, these two offer quick approvals.

Tangerine Money-Back Credit Card

The Tangerine Money-Back Credit Card pays up to 2% cash back on purchases and has no annual fees.

You decide which categories you want to earn the most cash back (can select up to 3), and cash back earned is paid out monthly.

This card also offers a higher cash back rate when you first join, valued at $100.

To be eligible for this Tangerine credit card, you need a $12,000 minimum annual income. Learn more here or sign up.

Neo Financial Mastercard

The Neo Card^TM pays up to 5% cash back on purchases at over 10,000 stores. It also provides access to a high-interest savings account, Neo Money.

When your application is approved, you get a $25 bonus.

How to Apply for a Credit Card with No Credit History

While it is more difficult to get a credit card without a credit history, it is not impossible.

If you are a newcomer to Canada, there’s a good chance you will qualify for a regular (unsecured) credit card by applying through the new immigrant banking programs offered by the big Five banks and HSBC.

Alternatively, consider secured credit cards that require you to provide collateral (or a security deposit), like the Neo Secured Card.

Before applying for a first-time credit card, find out what your credit score is.

A credit score is a 3-digit number between 300 and 900 that represents your creditworthiness.

It is graded as follows:

Credit Rating	Credit Score
Excellent	760 – 900
Very good	725 – 759
Good	660 – 724
Fair	561 – 659
Bad	300 – 560

The higher your credit score, the easier it is for you to qualify for an unsecured credit card.

You can access your credit score from TransUnion, Equifax, or a free third-party service like Borrowell.

Related: Best Instant Approval Credit Cards For Bad Credit.