Fifty-Nine Per Cent of New Canadians Say Better Access to Credit Would Improve Their Living Experience, Finds TD
By Lauren Hinton · 12 August 2025
As Canadians continue to navigate evolving economic realities, a new TD survey shows that newcomers who arrived in Canada within the last five years face challenges when it comes to the country's credit system. Among new Canadians surveyed who have applied for credit, three in five (59 per cent) agree they would have a more positive living experience in Canada if they had better access to credit and 79 per cent say it is difficult for newcomers to start building a credit history.
Although these challenges are widely reported across the new Canadian community, it does not appear they are due to lack of understanding around the need for credit. According to the survey, 68 per cent of new Canadians say they were familiar with credit scores before arriving and 92 per cent believed it would be important to build a credit history here.
When asked what types of credit new Canadians have applied for, the top three were credit cards (92 per cent), car loans (18 per cent) and mortgages (13 per cent) according to consumers surveyed.
"For newcomers beginning their lives in Canada, getting off to a strong financial start can be incredibly challenging without access to the credit they need," said Muhammad Kara, Associate Vice President, New to Canada, Everyday Advice Journey, at TD. "We recognize just how critical it is for new Canadians to build a credit history as they establish themselves and set the foundation for their future here."
Credit challenges raise concerns
Despite their understanding of the importance of credit scores, new Canadians have identified significant barriers to entry around developing a strong credit history.
The survey found 80 per cent of new Canadians had applied for credit since arriving and, among them, 82 per cent surveyed faced challenges during the application process. These challenges included a limited knowledge of credit card rewards programs (35 per cent), a lack of knowledge of the Canadian financial system (31 per cent) and only being able to qualify for a lower credit limit/loan amount, which was not sufficient for their needs (31 per cent).
These barriers can cause stress and unease, with two-thirds (66 per cent) surveyed who have applied for credit expressing they are concerned about their Canadian credit history.
The impacts of a new credit reality
One-in-five (22 per cent) new Canadians surveyed who applied for credit do not feel they have enough access to it to maintain a comfortable lifestyle.
Because of a lack of access to credit, new Canadians surveyed have identified:
- Increased financial stress or anxiety (29 per cent)
- Limited ability to take out loans (28 per cent)
- Higher interest rates (27 per cent)
- Difficulty securing housing (27 per cent)
- Inability to save or invest for future goals (24 per cent)
- Credit cards with credit limits up to $15,000 with no credit history required: Available for eligible Canadian permanent residents, foreign workers and international students including those without a credit history (Canadian or foreign).
- Newcomer banking packages: Customized banking solutions to meet everyday banking needs, including credit cards, with up to $1,930 in value for the New to Canada Package and up to $690 in value in the International Student Banking Package.
- Support throughout the newcomer journey: Access newcomer specific financial educational resources in over 10 languages, plus in-branch support at 1,100+ locations nationwide – with extended hours, weekend availability and service in 50+ languages.
- Conditions apply. Offers end November 5, 2025.
Companies in this story: TD Bank Group
People in this story: Muhammad Kara