Neo Financial Enhances Services to help Canadian Newcomers Establish Credit Profiles

CALGARY, Alberta & WINNIPEG, Manitoba , May 23 /Businesswire/ - Neo Financial announced that the Neo Secured Credit card, along with all Neo credit card products, will now report to Equifax Canada, in addition to its existing reporting to TransUnion®, giving Canadians a full credit profile for broader lender acceptance. The Neo Secured Credit card is an accessible way to build credit history².

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Neo Secured Credit reports into two of Canada’s major credit bureaus while offering cashback rewards at over 12,000 partners. (Photo: Business Wire)

The addition of credit reporting to Equifax Canada complements existing TransUnion reporting, ensuring both major credit bureaus in Canada can help Neo Secured Credit card holders build a financial foundation. As new Canadians work to create roots in this country, credit history is critical. Finding a home or vehicle can be difficult without a successful credit check. With a quick approval process and cashback on everyday purchases, new and existing Canadian residents will receive immediate and tangible benefits with the Neo Secured Credit card.

“We’re thrilled to be offering Canadians, particularly newcomers or those looking to improve their credit profile, an easy way to earn cashback, and establish credit history” said Andrew Chau, CEO and Co-Founder at Neo Financial. “The Neo Secured Credit card is needed now more than ever. Both new and existing Canadians are constantly playing catch up. It can be stressful trying to balance everyday needs while trying to build credit without credit history, especially for newcomers to Canada. At Neo we’re focused on improving the Canadian financial experience and reducing financial stress wherever possible.”

According to a Statistics Canada report released in 2023 looking at Survey of Financial Security (SFS) data from 2016 and 2019, all immigrant families, regardless of years in Canada, were less likely than Canadian-born families to have access to lines of credit (other than home equity line of credit). The same SFS data also revealed that approximately 26% of credit-invisible economic families were immigrants. Immigrant families that had been in Canada for less than two years were disproportionately credit invisible; their invisibility rate was 14.8% compared with 7.5% for Canadian-born people.

Neo Financial gives Canadian residents more power over their financial future and provides options for those concerned about building credit. In addition to supporting Canadians with better ways to establish their credit history through the Neo Secured Credit card, Neo is committed to supporting those same Canadians in other parts of their financial journey, including the ability to graduate to the standard Neo Credit card and having access to Neo High-Interest Savings, Neo Money™ card, and Neo Mortgage options.

The addition of Equifax Canada reporting will be available on all Neo Credit cards including the Neo Secured Credit card, the standard Neo Standard Credit card, the Hudson’s Bay Mastercard—powered by Neo, the Tims® Credit Card—powered by Neo, and the Cathay World Elite® Mastercard® – powered by Neo.

For more information on the Neo Secured Credit Card, visit www.neofinancial.com/credit/secured.

About Neo Financial

Neo Financial is a technology company building a more rewarding financial experience through reimagined spending, savings, investing, and mortgages. Founded in 2019 by the co-founders of SkipTheDishes, Neo has raised more than $299 million in funding and has been recognized as the top tech startup in Canada by LinkedIn. Neo is headquartered in Calgary and Winnipeg, and is backed by top-tier investors across North America.

Through partnerships with leading financial institutions, Neo provides members with safe and secure ways to spend (Neo Credit), save (Neo Money™), invest (Neo Invest™), and get a mortgage (Neo Mortgage). Neo for Business powers financial solutions for Tim Hortons, Cathay, Hudson’s Bay, and over 12,000 other partners across the country. To learn more, visit neofinancial.com.

Disclaimers

¹ As awarded on December 5, 2023 by votes cast for best credit cards by Savvy New Canadians

² You may build your credit score when you make payments in full and on time each month.

Neo Credit and Neo Secured Credit cards are issued by ATB Financial pursuant to license by Mastercard International Incorporated.

The Neo Money™ card is a prepaid Mastercard® issued by Equitable Bank pursuant to license by Mastercard International Incorporated. The Neo Money™ card is powered by the Neo Money™ account, which is provided by Concentra Bank.

The Neo High-Interest Savings account is provided by Peoples Bank of Canada.

Neo Mortgage Services Inc. Licenses - Ontario FSRA #13444, British Columbia MB600606, Alberta, Saskatchewan 510903|512351, Manitoba, Newfoundland & Labrador #2207NE1151, New Brunswick, Nova Scotia #20213000380|20223000521, PEI.

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