Moving to Canada is one of the biggest financial transitions you will ever make. From getting your Social Insurance Number to building credit from scratch, the Canadian financial system has its own rules, institutions, and timelines. This guide walks you through every step in the right order.
Step 1: Get Your Social Insurance Number (SIN)
Your SIN is the foundation of everything financial in Canada. You cannot open most bank accounts, work legally, or file taxes without it. Apply at a Service Canada office on your first or second day after landing. Bring your immigration documents (PR card, work permit, or study permit) and a government-issued photo ID.
Processing is usually same-day at a Service Canada office. You can also apply online if you have a valid immigration document with a machine-readable zone. Learn more at our complete SIN guide.
Priority Order for Newcomers (First Two Weeks)
- Apply for SIN at Service Canada
- Open a Canadian bank account
- Apply for a secured credit card
- Set up direct deposit with your employer
- Register for CRA My Account (taxes)
Step 2: Open a Bank Account
Canada has six major chartered banks — RBC, TD, Scotiabank, BMO, CIBC, and National Bank — plus dozens of credit unions and digital banks. Most major banks offer newcomer packages that waive monthly fees for the first year and do not require a Canadian credit history.
To open a bank account as a newcomer, you typically need:
- Valid passport or government-issued ID
- Your immigration document (PR card, work/study permit, COPR)
- SIN (optional at most banks, but helpful)
- Canadian address (or proof you are establishing one)
If you do not yet have a SIN or have just arrived, KOHO is an excellent starting point — it accepts newcomers with minimal documentation and has no monthly fee. Read our full bank account for newcomers guide.
Big 5 Banks — Newcomer Packages
Fee waivers for 6–12 months, dedicated newcomer advisors, multilingual support. Best for those who want branch access.
Digital Banks (KOHO, Wealthsimple)
No credit check, no SIN required to start, instant account. Best for immediate access before your SIN arrives.
Step 3: Build Your Credit Score
Your credit history from your home country does not transfer to Canada. You start with no credit score at all, which makes it harder to rent an apartment, get a phone plan, or eventually get a mortgage. Building credit takes 6–24 months of consistent behaviour.
The fastest path to a good credit score in Canada:
- Secured credit card: Deposit $300–$500 as collateral, use the card monthly, pay in full
- KOHO Credit Building: A $7/month subscription that reports to Equifax — no hard credit check required
- Secured line of credit: Available at most banks after 3–6 months of banking history
- Become an authorized user: A family member or friend in Canada can add you to their credit card
With consistent use, most newcomers reach a 680+ credit score within 12 months and a 720+ score within 24 months. See our detailed credit building guide for newcomers.
Step 4: Understand the Canadian Tax System
Canada uses a self-assessment tax system. Every year, you file a T1 personal income tax return with the Canada Revenue Agency (CRA) by April 30. As a newcomer, your first tax return covers only the days you were a Canadian resident during that calendar year.
Key tax facts for newcomers:
- Federal tax rates range from 15% to 33% depending on income bracket
- Provincial taxes are added on top of federal taxes
- You must report worldwide income from the date you became a Canadian resident
- Tax treaties with many countries prevent double taxation
- Common credits: Basic Personal Amount, GST/HST Credit, Canada Child Benefit
If you have foreign assets worth more than $100,000 CAD, you must also file a T1135 Foreign Income Verification Statement.
Step 5: Finding Housing in Canada
Housing is one of the biggest challenges for newcomers. Without Canadian credit history, landlords often ask for larger deposits or multiple months of rent upfront. The good news: many newcomer-friendly landlords and co-operative housing programs exist.
Housing Checklist for Newcomers
- Gather references from your home country (employer letters, bank statements)
- Offer 2–3 months rent upfront if you lack credit history
- Apply for CMHC's newcomer mortgage programs (after 1 year of residency)
- Check provincial rental assistance programs
- Consider credit union mortgages — often more flexible than big banks
See our complete housing guide for newcomers for rental and buying details.
Step 6: Government Benefits Available to Newcomers
As a permanent resident or citizen, you are entitled to several government benefits:
- Canada Child Benefit (CCB): Tax-free monthly payments for families with children under 18
- GST/HST Credit: Quarterly payments to help offset sales tax
- Provincial benefits: Each province has its own supplemental programs
- Employment Insurance (EI): After 420–700 hours of work, you qualify for EI if you lose your job
- Canada Pension Plan (CPP): Mandatory contributions from every paycheque, payable at retirement
Step 7: Immigration Status and Financial Rights
Your immigration status affects what financial products you can access. Permanent residents have virtually the same financial rights as citizens. Temporary workers and students may face some restrictions on mortgages and certain investment accounts.
Permanent Residents
Full access to banking, credit, mortgages, RRSP, TFSA, and all government benefits.
Temporary Workers
Full banking access. Limited RRSP. Can get mortgages with 20%+ down payment at some lenders.
Key Financial Accounts to Open in Canada
Once you have established your banking foundation, here are the registered accounts you should open as soon as possible:
- TFSA (Tax-Free Savings Account): All investment gains are tax-free. Available to residents 18+. 2025 contribution limit is $7,000.
- RRSP (Registered Retirement Savings Plan): Contributions reduce your taxable income. Best for those earning $50,000+.
- FHSA (First Home Savings Account): New in 2023, allows up to $40,000 tax-free for a first home purchase.
- RESP (Registered Education Savings Plan): If you have children, the government adds 20% through the CESG grant.
Sending Money Home (Remittances)
Many newcomers regularly send money to family abroad. Canadian banks charge high wire transfer fees ($15–$50 per transfer) and often use unfavourable exchange rates. Third-party services like Wise, Remitly, and Western Union offer much better rates.
Read our complete remittance guide to compare options and save money on every transfer.
Cross-Border Considerations (US Citizens / US Residents)
If you are a US citizen or green card holder moving to Canada, you face additional complexity. The US taxes its citizens on worldwide income regardless of where they live. You will need to file both Canadian and US tax returns. Key issues include FBAR reporting, FATCA compliance, and treatment of Canadian registered accounts (TFSA, RRSP) under US tax law. See our US-Canada cross-border banking guide.
Final Checklist: Your First 90 Days in Canada
- Apply for SIN at Service Canada
- Open a bank account (big bank newcomer package or KOHO)
- Apply for a secured credit card
- Register for CRA My Account at canada.ca
- Apply for provincial health insurance
- Set up Canada Post mail forwarding or get a Canadian mailing address
- Open a TFSA once you have banking set up
- Apply for GST/HST Credit when you file your first tax return
- If you have children, apply for Canada Child Benefit
- Review your PR card renewal date (valid 5 years)