Building credit from nothing takes 18-24 months. From bankruptcy: 3+ years. The product order matters: secured card → unsecured → installment loan → prime products. Choose your starting point below.
No Canadian credit history yet. Newcomers face the chicken-and-egg problem: no credit = no credit approval. Here's the way out.
Open a chequing account at a newcomer-friendly bank (RBC Newcomers, Scotiabank StartRight, BMO NewStart, CIBC Welcome to Canada). No credit needed — just ID, SIN, address.
Apply for a secured credit card (Home Trust Secured, Refresh Financial). Deposit = limit. Use it for small purchases, pay in full monthly.
You now have a TransUnion + Equifax score of ~580-640. Time to apply for an unsecured starter card.
Add an installment product — RRSP loan, small car loan, or credit-builder loan. Diversifying types boosts your "mix" factor (10%).
You now qualify for cash-back / travel cards. Apply for ONE — don't spree (each app = 5 pt drop).
With 2 years of on-time history and a 740 score, you qualify for A-lender mortgages at standard rates. Welcome to prime.
Each application = hard inquiry (-5 pts × 12 months). Five applications knocks you down ~25 points fresh out of the gate.
Myth. Paying in full BEFORE statement closes = lowest utilization = best score. Interest is wasted money.
Your secured/student card eventually becomes your oldest account. Keep it open (small monthly charge + autopay) even after you graduate to premium cards.
Most don't report to bureaus. The ones that do report short-term high-rate debt — neutral to negative impact.