Financial Assistance for Immigrants in Canada: What You Need to Know

Whether you are immigrating to Canada on your own or are preparing to help a friend, family member or coworker immigrate, knowing the sources of financial assistance available will be helpful. There are programs that provide financial assistance to immigrants in Canada, which can help with the relocation process.

Financial Landscape for Immigrants

You will have the opportunity to enjoy some benefits after immigrating to Canada, but you may face some challenges as well.

If you enter the country as a permanent resident, you will be eligible for: Some of the same rights and privileges. As a Canadian citizen born in Canada. At the same time, you will face financial challenges such as:

• I am looking for a job
• Building your credit history
• Navigating the Canadian Banking System

Even if you have credit history in your home country, this data usually cannot be transferred to your new situation within Canadian borders. However, there are ways to transfer your credit history from another country using tools like Nova Credit.

Are there financial benefits for immigrants in Canada?

Yes, immigrants coming to Canada can often qualify for financial assistance programs. Many of these resources are the same as those available to any other Canadian resident who meets the eligibility criteria.

Your eligibility for certain government financial benefits in Canada depends on your residency status. But which status best describes you (or the person you sponsor)?

Types of residence for immigrants to Canada

Canada issues government financial benefits to eligible individuals with the following residency statuses:

• Permanent resident. This would describe you if you intend to stay in the country and have residential ties within it.
• Refugees. This would be your situation if you were fleeing hardship or conflict in other countries. For example, the government added Resources on Financial Support for Ukrainian Refugees in CanadaAs a refugee, you may be a temporary or permanent resident depending on your status.
• Temporary resident. This describes you if you only intend to stay in Canada for a specific period of time but need (or apply for) resident status for the duration of your stay. You may apply for temporary residence if you are studying at a Canadian college from abroad, are employed by a company operating in Canada, or already have a temporary resident permit. Many visitors hold avisit visa(also known as a temporary residence visa) and is valid for six months.

Canada Revenue Agency (CRA) in general A person is considered a newcomer to Canada in the first year of his residence..

Types of financial assistance for immigrants in Canada

Some of the financial support programs that immigrants to Canada may be eligible for include:

Canada Child Benefit (CCB)

If you are caring for a legal dependent under 18, you may be able to apply for: child benefit in canadaThis is a tax-free monthly payment to families that helps manage the economic costs of raising a child. If you share custody with another parent who is not part of your household, Each parent will receive 50% of what they would have received. They are received if they have full custody.

Are newcomers eligible for CCB?

Yes. Newcomers can apply for the Canada Social Security Benefit once they have a Social Insurance Number (SIN) from Service Canada. However, temporary residents must have lived in Canada for at least 18 consecutive months and have a valid permit before they can apply for this benefit.

Qualify for CCB

Eligibility criteria for newcomers to Canada include:

• You live with a child under 18 years of age.
• You are primarily responsible for the care and upbringing of the child.
• You are a resident of Canada for tax purposes.
• You or your spouse or common-law partner must be one of the following: a Canadian citizen, permanent resident, protected person, temporary resident who has resided in the country for the previous 18 months and has a valid 19th-month permit (some exceptions apply to permits marked “Does not confer status” or “Does not confer temporary resident status”), or a person registered (or entitled to register) under Indian law.

Goods and Services Tax/Harmonized Sales Tax (GST/HST) Credit

This is a tax-free quarterly payment. Helping individuals or families with low and modest income Reimbursement of the GST or Harmonized Sales Tax they pay – This may include additional funds from provincial or territorial programs. These funds are paid four times a year (or paid as a lump sum) and are available to Canadian residents. Applicants must:

• Be a resident of Canada for income tax purposes.
• You must be at least 19 years old or, if you are under 19, have a spouse or common-law partner or be a parent living with their child.
  • Both must be true for the applicant for the month before the CRA makes the payment and at the beginning of the month in which the CRA makes the payment.
• GST/HST payments are typically made in July, October, January and April of each year. So, to get payments in October, you must be a Canadian resident who is 19 years of age or older (or have a spouse/common-law partner or parent of a child you live with) in September and early October.

Canada Worker Benefits (CWB)

This is the Benefit for those who work But you have a low income, which you can claim when you file your tax returns. This benefit has two parts: a basic amount and a disability supplement. Eligibility for the basic amount means meeting all of the following conditions:

• Earn income from work and have a net income below the net income level set for your state or province.
• Be a resident of Canada year-round.
• Are you aged 19 or over on December 31 or living with your spouse (or common-law partner) or child (which means you or your spouse’s child who is under 19 and living with you on December 31 – and is not entitled to CWB).

Some exceptions that would make you not qualified For CWB include::

• Enroll as a full-time student at a designated educational institution for more than 13 weeks in a year unless, on December 31, you have a qualifying dependent.
• They are detained in a prison or similar institution for a period of not less than 90 days during the year.
• You do not have to pay taxes in Canada because you are an officer or servant of another country, such as a diplomat, or a family member or employee of such a person.

Refugee Services

These services are provided by Support for moving to Canada Under these services, newcomers to Canada can receive language assessments, attend language classes, have their professional qualifications recognized (allowing skilled workers to find new work in their trade more easily), and learn about various community services.

Programs include:

These programs are specifically designed to assist refugees and can be used in addition to other programs that provide financial assistance to permanent residents of Canada.

Community and non-profit organizations

Immigrants can turn to community services and non-profit organizations that provide financial support to newcomers to Canada. These include:

These organizations are committed to upholding the rights of refugees, as well as providing resources and education to newcomers to Canada.

Financial Education and Culture Programs

Other programs aim to improve the financial literacy of newcomers to Canada, such as:

These programs help immigrants integrate into the Canadian financial system and maintain healthy financial habits.

Regional Support Programs

Some support programs are unique to each province. Here are some examples of provincial support initiatives that provide financial assistance to immigrants in Canada:

These are just some of the benefits and services that a newcomer to Canada may want to apply for. However, it should be noted that some benefits, such as the GST/HST and the Canadian Income Tax, are available when you file your first tax return, not before.

These benefits are calculated based on your income in the previous year and are intended to help low-income families and individuals. Ask your tax professional if you qualify for these programs.

Anna Guglielmi, Credit Counselor, Credit Canada Bank

What immigrants need to apply for financial assistance

The Canadian government offers financial assistance to newcomers and permanent residents in Canada. If you or someone you know is preparing to move to Canada as a permanent resident and would like to access the various financial assistance programs for immigrants, it is best to have all your documents/forms (both foreign and Canadian) available to speed up the process.

Travel documents include:

• Birth certificates
• Passports and other travel documents
• Valid Canadian Temporary Resident Visas
• Additional certificates (marriage, adoption, divorce, death) proving relationships with family members
• Immunization/vaccination records
• Proof of funds or financial support– Bank accounts, cash, certified checks, bank drafts, money orders, or a written statement from a friend or family member (sometimes referred to as a letter of financial support for a visitor visa to Canada)

When applying for financial benefits as an immigrant, it is useful to have other documents to verify your identity, health and business skills – such as:

• Driver’s license and driving record documents (if applicable)
• Educational documents (diplomas, grades, and school records, if applicable)
• Business/professional certifications and licenses from accredited organizations
• Letters of recommendation from employers
• Medical records (prescriptions, test results, and other health information useful for disability claims)

If you are sponsoring an immigrant to Canada and writing a letter of financial support for them, it can help ease their transition to the country and can also ensure that immigration officers are satisfied that the immigrant has adequate support from friends/family (i.e. you).

Building Credit From the Start for a Newcomer to Canada

When planning your move to Canada, one key element of the settling-in process can be overlooked: building credit. Having a good credit score is crucial for securing some types of jobs and when applying for a mortgage or rental home. So, it’s time to start building credit as a newcomer to Canada!

Do you have questions about how to build credit or Debt repayment In Canada? Contact one of our certified credit counselors for answers! Our credit counseling is confidential, non-judgmental and free.

We look forward to helping you build a debt-free life in Canada.

This blog is sponsored by easyfinancial.

in Easy Financial We believe everyone deserves fair access to credit, and since our founding we have worked with customers like you to make that happen. We provide financial relief and a second chance when banks are not an option.

We choose to see beyond your current situation and look toward your future potential which includes improved credit and financial stability.