When you arrive in Canada you have no credit history here, and a landlord or a mortgage lender will want to see one. To build credit in Canada you don’t need tricks. These are the habits the Financial Consumer Agency of Canada (FCAC) recommends. Checked October 3, 2026.
1. Pay on time, every time
Your payment history is the most important part of your credit score. Set up automatic payments for at least the minimum, so a busy week never becomes a late payment.
2. Use less than 30% of your limit
The FCAC suggests using less than 30% of your total credit limit. On a card with a $1,000 limit, that means keeping the balance under $300. A practical habit: look at each card against its own limit, not only at the total.
3. Let your history get older
Lenders want to see a long and stable history. Keeping your first account open and active may help.
4. Don’t apply everywhere at once
Too many credit applications close together can make lenders think you are urgently seeking credit.
5. Have more than one type of credit
Over time, a mix helps: for example a credit card, a car loan or a line of credit. Only borrow what you would borrow anyway.
Why this matters for housing
- Renting: landlords may ask for a credit check. In Ontario a lack of credit history should not be counted against you. See what landlords can ask.
- Buying: a lender looks at your credit history as well as your income. See mortgage pre-approval.
Sources (official pages, checked October 3, 2026)
- Financial Consumer Agency of Canada – Improving your credit score
- Ontario Human Rights Commission – Human rights for tenants
Programs and limits change, often at budget time. Confirm the current rules on the official page before you rely on them.
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General information only – not financial, legal or mortgage advice. Please consult a licensed professional about your own situation.