Janice Lozano
International students in Canada can get a credit card, but there are a few things to keep in mind. Firstly, international students must obtain a Social Insurance Number (SIN) from Service Canada, which requires authorization to work while attending school. Some banks, like Scotiabank, offer special packages for international students that include a credit card with no annual fees and rewards. When choosing a credit card, it's important to consider your spending habits and select one that suits your needs, such as a card with travel rewards or cash back options. Additionally, building a good credit history early on can make it easier to borrow money in the future, so it's essential to use credit cards responsibly and make timely payments.
| Characteristics | Values |
|---|---|
| International students can get a credit card in Canada | Yes |
| Requirements | Must obtain a Social Insurance Number (SIN), which requires permission to work in Canada |
| Best cards for international students | Scotiabank StartRight Program, TD International Student Banking Package, BMO CashBack Mastercard - Student |
| Other good options | RBC ION+ Visa, CIBC Student Card |
| Benefits | Building credit history, making purchases, earning rewards |
| Downsides | Risk of overspending, interest charges, late payment fees |
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What You'll Learn
- International students need a Social Insurance Number (SIN) to get a credit card in Canada
- Some Canadian colleges accept credit card payments for tuition
- Students can choose between rewards cards and cash back cards
- Students can get a credit card with no income or credit score
- Students can build their credit history by using a credit card responsibly
International students need a Social Insurance Number (SIN) to get a credit card in Canada
International students in Canada can get a credit card, but they must first obtain a Social Insurance Number (SIN) from Service Canada. A SIN is a nine-digit number that acts as a gateway to numerous benefits, including legal employment, access to government programs and benefits, and eligibility for Canadian tax credits. It is fundamental to working in Canada and accessing Government of Canada programs and services. International students who are authorised to work in Canada need a SIN, including those working on or off-campus.
To apply for a SIN, international students must have a valid study permit or a valid work permit. They must also provide documents that state their legal status in Canada, such as a confirmation of enrolment from their school or a job offer letter. Additionally, they must provide proof of identity, such as a birth certificate or driver's licence, and proof of address, such as a utility bill or lease agreement. It is recommended that students apply for their SIN using the online application, which can be completed within 5 business days.
Once international students have obtained their SIN, they can apply for a student credit card. Many credit card providers in Canada offer specific student credit cards that cater to students with little to no income or credit history. These credit cards often feature low (or no) income requirements and can help students build their credit score. Some banks, such as Scotiabank, offer student credit cards with no annual fees and rewards on everyday purchases.
Therefore, it is essential for international students in Canada to obtain a Social Insurance Number (SIN) to access various benefits, including the ability to apply for a student credit card and build their financial future.
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Some Canadian colleges accept credit card payments for tuition
International students can get a credit card in Canada, but they must first obtain a Social Insurance Number (SIN) from Service Canada. This is only possible if they are authorized to work while attending school. Many of the big banks in Canada, such as Scotiabank, CIBC, and BMO, will extend $1,000 worth of credit to students with a SIN who have recently arrived in the country. TD will only approve a secured card application, while MBNA and Tangerine require a form of Canadian ID, such as a driver's license.
Some Canadian colleges and universities accept credit card payments for tuition, but it is not a common practice. This is because schools incur merchant processing fees for each credit card transaction, which could amount to millions of dollars if all students paid with credit. In some cases, a third-party payment site, such as Plastiq, can be used to make a credit card payment on behalf of the school.
If a college does accept credit card payments, it will likely charge a convenience fee of between 1% to 3% to cover the processing fees. This can add up, especially for higher bills. For example, a $10,000 tuition bill with a 3% processing fee would result in an extra $300 in fees.
One example of a credit card that can be used to pay tuition is the Triangle MasterCard, which allows bill payments and has several educational institutions on its list of payees. However, the reward for using this card is only 1% in Triangle cash, which can only be used at Canadian Tire, SportChek, or Mark's.
Before using a student credit card for tuition, it is important to check what credit card fees apply and explore alternative payment methods, such as direct deposit or cheque. Additionally, due to lower spending limits, students may not be able to use a student credit card to pay their tuition even if their college accepts credit card payments.
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Students can choose between rewards cards and cash back cards
International students in Canada can get a credit card, but they must first obtain a Social Insurance Number (SIN) from Service Canada. This requires authorization to work while attending school. With a SIN, banks like Scotiabank, CIBC, and BMO offer credit cards with limits of up to $1,000 for students.
Students can choose between rewards cards and cash-back cards. Rewards cards offer perks like travel points, purchase assurance, extended protection insurance, and budgeting tools. For example, the RBC ION+ Visa is a rewards card that offers elevated Avion points on everyday purchases like groceries, dining, and gas. It also provides mobile device insurance and savings on fuel at Petro-Canada.
On the other hand, cash-back cards offer a percentage of spending back, like the BMO CashBack Mastercard - Student, which provides returns on purchases from grocery stores and supermarkets. This card has no annual fee and no income requirements, making it ideal for students.
Students should consider their spending habits and priorities when choosing a card. Rewards cards are suitable for those who want to earn points, while cash-back cards are better for those who want a percentage of their spending returned. Additionally, some cards have annual fees, so students should evaluate if the rewards and perks are worth the cost.
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Students can get a credit card with no income or credit score
International students in Canada can get a credit card, but they must first obtain a Social Insurance Number (SIN) from Service Canada. This is only possible if they are authorized to work while attending school. With a SIN, banks like Scotiabank, CIBC, and BMO offer credit cards with a limit of up to $1,000 for students. TD Bank will only approve a secured card application.
Students can get a credit card without a regular income or credit score. Student credit cards are designed for students, so they are lenient with financial and income eligibility requirements. Students can declare their monthly allowance, scholarship money, or grants as income. Student credit cards are a great way to build a good credit score and history.
Some of the best student credit cards in Canada include the BMO CashBack Mastercard - Student, which has no annual fee and offers returns on everyday essentials. The RBC ION+ Visa is another option, offering elevated Avion points on categories like groceries, dining, and gas. The card has a monthly fee, but it is rebated for students with an RBC Advantage Banking account.
If you are unable to meet the income requirements, you can consider getting a cosigner, applying for a secured card, or becoming an authorized user on someone else's credit card. Secured credit cards require a refundable deposit and are easier to qualify for. They are a good way to build credit without a regular income. The Discover It® Student Cash Back Credit Card is a popular option, offering cashback, no annual fees, and a welcome bonus.
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Students can build their credit history by using a credit card responsibly
International students in Canada can get a credit card, but they must first obtain a Social Insurance Number (SIN) from Service Canada. This requires that they are authorized to work while attending school. With a SIN, banks like Scotiabank, CIBC, and BMO offer credit cards with limits of up to $1,000 for students new to Canada. TD offers a special international student package that includes a bank account and credit card.
Students should consider their spending habits and choose a card that suits their needs. Some cards offer rewards such as travel/rewards points or cash back, often with no annual fee. Other cards have low annual fees but valuable perks like mobile device insurance and fuel savings. Students should also consider whether they want to earn points or get a percentage of their spending back through a cashback card.
Students should also be aware of the risks of overspending when getting their first credit card. It may be a good idea to start with a secured credit card, which functions like a regular credit card but requires an initial cash deposit that can be used by the provider if the bill goes unpaid. Prepaid cards are another option, as they provide the flexibility of cashless payment without the risk of debt since you are not borrowing money.
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Frequently asked questions
Yes, international students need a SIN to get a credit card in Canada. You can only get a SIN if you are authorised to work while attending school.
Scotiabank offers a credit card with a limit of up to $5,000 with no annual fees and 2x points on groceries, Cineplex, Home Hardware and more. TD also offers a special international student banking package that combines bank accounts and credit cards.
Student credit cards in Canada offer perks such as cash back, travel rewards, and discounts—ideal for those with little to no income. They are also a great way to build your credit history and make purchases easily.
