Best credit cards for newcomers from the Philippines

The picks

1. Best all-round pick

Scotia · Amex

Scotia Amex Gold Scene+

FreshCo, Sobeys, and Safeway are Empire banners, so grocery spend earns 6x Scene+. No foreign transaction fee also removes the 2.5 percent surcharge on peso-billed purchases and Philippine websites.

Watch out: Amex acceptance is patchy at Filipino specialty grocers. Keep a Visa in the wallet for those.

Annual fee

$120

Welcome bonus

25,000 - 45,000 pts

Minimum spend

$2,000 - $7,500

First-year value

$330

RatehubFull details in the comparison table

2. Best pairing with remittances

Simplii · Visa

Simplii Financial Cash Back Visa

No annual fee, no income floor, and it sits inside Simplii, whose Global Money Transfer service advertises no transfer fee on sends to the Philippines. Keeping the card and the transfer rail at one bank simplifies the monthly routine.

Watch out: No transfer fee is not the same as no cost. Check the exchange rate against a provider like Wise before you send.

Annual fee

$0

Welcome bonus

Up to 20% cashback (up to $100) in the first 3 months

Minimum spend

None

First-year value

$100

Compare on RatehubFull details in the comparison table

3. Best cash back on essentials

CIBC · Visa

CIBC Dividend Visa Infinite

4 percent on groceries and gas, first year free, on a Visa that every merchant takes. Straight cash back with nothing to redeem.

Watch out: Visa Infinite needs $60,000 personal or $100,000 household income. The CIBC Dividend Platinum is the fallback below that.

Annual fee

$120

Welcome bonus

10% up to $2,000 + $50 PAP

Minimum spend

-

First-year value

$250

RatehubFull details in the comparison table

4. Best for trips home

Scotia · Visa

Scotia Passport Visa Infinite+

No foreign transaction fee and lounge passes, which matter on a Manila itinerary that connects through Taipei, Tokyo, or Singapore.

Watch out: The $150 fee is charged in year one. If you fly home less than once a year, the no-fee options win.

Annual fee

$150

Welcome bonus

25,000 - 35,000 pts

Minimum spend

$2,000 - $40,000

First-year value

$200

RatehubFull details in the comparison table

Getting approved with no Canadian credit history

Canadian lenders score you on a file that starts empty the day you land. That is a timing problem, not a credit problem, and every large bank runs a program built around it.

Apply through the newcomer program by name rather than the general application form. The general form runs a standard credit decision and will decline a thin file that the newcomer stream would have approved.

• Scotiabank StartRight, RBC Newcomer Advantage, CIBC Welcome to Canada, TD New to Canada, and BMO NewStart all issue unsecured cards to people with no Canadian credit file.
• Bring your permanent resident card or work permit, passport, SIN, and proof of a Canadian address. Some branches also accept a credit report from your home country to support a higher limit.
• Your first limit is usually $1,000 to $5,000. It grows on request after six to twelve months of on-time payments.
• A secured card, where you post a deposit equal to the limit, is the fallback if a newcomer program turns you down. It reports to the bureaus the same way.

Keep remittances off the credit card

Funding a transfer with a credit card is normally coded as a cash advance. That means a fee plus interest from the transaction date, with no grace period, which erases any cash back you earned.

Send from chequing instead. On the Canada to Philippines corridor the advertised fee is often zero and the real cost is the exchange margin, so compare providers on pesos delivered for a fixed Canadian amount.

• Quote the same amount at two providers on the same day. The spread between them is your saving.
• Weekend sends often price worse because the rate is held over the close. Sending mid-week is usually cheaper.

Groceries are the category that pays

FreshCo, Sobeys, Safeway, IGA, and Foodland all sit under Empire, which is why the Scotiabank Gold Amex pays its top rate there. A household spending $900 a month on groceries earns about $650 a year in Scene+ at 6x.

Filipino specialty grocers are usually independents on Visa or Mastercard terminals. That is the case for carrying a second card rather than a reason to skip the Amex.

Getting to Manila on points

Air Canada does not fly to Manila, so Aeroplan gets you there on Star Alliance partners: EVA Air through Taipei, ANA through Tokyo, Singapore Airlines through Singapore, and Air China through Beijing.

Partner award seats open in waves rather than sitting available, so set a date range instead of a fixed date and book as far ahead as the schedule allows.

The habits that build your score fastest

Payment history and utilization drive most of a Canadian credit score. Pay the statement balance in full every month, and keep the balance you carry at statement time under about 30 percent of your limit.

One card used well beats three cards used carelessly. Add a second card once the first has six months of clean history, not before.

• Set the full-balance autopay the day the card arrives. A single missed payment costs more than a welcome bonus is worth.
• Do not close your first card once you upgrade. Length of history counts, and the oldest account anchors it.
• Check your report free at Equifax and TransUnion. Errors on newcomer files are common because names get transliterated inconsistently.

Questions, answered

Related guides

• Best credit cards for newcomers to Canada

  The cards Canadian banks approve without a Canadian credit file, ranked by what they pay in year one.

• Best credit cards for newcomers from India

  Cards that skip the 2.5 percent rupee surcharge, pay on grocery spend, and reach Delhi on Aeroplan.