A couple of tips on how to build up credit score

[don_mar 18]

I thought I would share my experience with you in case you face the same challenge 

 

When I was going to get a mortgage after I moved to the US I had no credit score. My credit union (First Tech) suggested that I should have at least 2-3 credit card. I tried to get a credit card through BMO US branch but it went no where. If you have other Canadian banks in your area, you might be able to get a credit card. I was told it would take 2 months to have a credit score. I ended up getting a secured credit card with the credit union. You just need to have a deposit in your account that you can’t touch. Then I found out you could also get an American Express credit card with your Canadian credit score. You need to make sure to use your SIN in your application. I got one without issue, $5000 limit.

 

For my mortgage, the credit union has a special program for immigrants like us. If my employer offers relocation, and most employers here do a thorough background check, they could utilize that to give me a loan. My job didn’t officially offer relocation assistance, but my boss is kind enough to reimburse me 6k for moving. I asked him to write an email to the credit union and it was accepted. I got my mortgage.

 

After all this my credit score has been going up to the level similar to my Canadian one. 

 

Everything is tough in the beginning but you will get through it, so keep your spirit up and enjoy your life in a new country.

[waterlooengineer 30]

Thanks for the tips! 

Just curious, would it help if we proactively open an American Express credit card account while still being in Canada? 

Could that credit account be linked to our social security in US once we land there as an immigrant?

[chancecody 125]

Thanks for the tips. I’d like to add other tips as well:

 

1. Your USC spouse will likely have a good credit score. Ask your USC spouse to add you as authorized user on one or two credit cards that he/she has established with good track record over the past several years. No SSN required to add as authorized user with Capital One. Once the intending immigrant is in the US and has SSN, call the bank and link your SSN. The good credit history of the cards where you are an authorized user will become part of your credit score and reports in the US.

 

2. I bank with RBC Cross Border Banking for many years before moving to the US. You have an opportunity to get an RBC Credit Card and Line of Credit for RBC Bank Georgia. They use your Canadian credit history and SIN to establish credit relationship with them. Once you have an SSN when you are in the US, call them and tell them this number. The RBC Bank Georgia credit card and line of credit will appear on your credit reports in the US.

 

These two approaches mean you can build your credit before you even arrive. No secured card required! The authorized user and RBC US account while in Canada will set you up for success and once you have the SSN, it will backdate the history for you! You will have a great credit score and report when you enter the US!

Edited November 24, 2021 by chancecody

[don_mar 18]

On 11/22/2021 at 5:23 AM, waterlooengineer said:

Thanks for the tips! 

Just curious, would it help if we proactively open an American Express credit card account while still being in Canada? 

Could that credit account be linked to our social security in US once we land there as an immigrant?

I don’t think it helps. They would just use your Canadian credit score to issue you a card. They have increased my limit twice in the past few months. You may get a higher limit if you are an existing customer.

[mam521 2,063]

On 11/22/2021 at 7:23 AM, waterlooengineer said:

Thanks for the tips! 

Just curious, would it help if we proactively open an American Express credit card account while still being in Canada? 

Could that credit account be linked to our social security in US once we land there as an immigrant?

Yes, this works, too.  Many people have done it.  

 

As @chancecody stated, the cross border banking through RBC and TD are really quite comprehensive and allow you to essentially work both systems.   I think there is an element of pride associated with qualifying for your own cards by demonstrating a great past credit history.  It's also nice to deal with a somewhat familiar banking family when everything is initially a bit strange in the US.

[ADW & JOP 146]

Fastest way to build your credit score is by being added as an authorized user to a spouse (presumably with a good credit score) on a credit card that has been established for a long time. Your credit score automatically ties in with  your spouse’s credit score and you get the credit history. My FICO score is near 800 in less than 2 years. I also got a secured card with Capital One that was automatically reimbursed and turned into an unsecured card 6 months later with timely payments. The problem with these credit cards is that your credit limit is relatively small and credit history is too new.

 

You can also see if you build a relationship with a bank in the US. I put my savings into HSBC, became a “premier” customer and received a credit card with a high credit line and a 30-year jumbo mortgage loan at < 3% when the rates were still above 3%.

[Kai G. Llewellyn 838]

On 12/7/2021 at 1:07 AM, ADW & JOP said:

Fastest way to build your credit score is by being added as an authorized user to a spouse (presumably with a good credit score) on a credit card that has been established for a long time. Your credit score automatically ties in with  your spouse’s credit score and you get the credit history. My FICO score is near 800 in less than 2 years. I also got a secured card with Capital One that was automatically reimbursed and turned into an unsecured card 6 months later with timely payments. The problem with these credit cards is that your credit limit is relatively small and credit history is too new.

 

You can also see if you build a relationship with a bank in the US. I put my savings into HSBC, became a “premier” customer and received a credit card with a high credit line and a 30-year jumbo mortgage loan at < 3% when the rates were still above 3%.

Seconding this. My husband added me on as an authorized user and my score was 750 literally overnight.