So what’s the big deal about credit scores and why are credit scores important? Well, the big deal is that your credit score communicates a lot about you to very important people, such as:
Banks and credit lenders
What Does Your Score Mean For You?
Your credit score can determine whether or not you get:
A job offer
Approved for a mortgage
Approved for a car loan
A rental apartment in an area you love
Competitive insurance rates
A cell phone contract
A credit card, line of credit or bank loan
That’s right, three digits in the range of300 to 900 can determine the options you have for those things that are most important to your daily life!
Good Money Habits = A Good Credit Score
Repayment Habits Are Crucial to A Good Credit Score.
Where Do You Fall On The 1-9 Scale?
In your credit report each credit item will have a letter and a number. The letter describes the type of credit item it is, like a mortgage (M) or revolving/recurring credit (R), which includes credit cards. The number tells people looking at your credit report how timely you are paying those items. Your lenders will rate your accounts on a scale from 1-9 indicating whether or not you’re paying those items as agreed to, and to what extent.
It’s important to pull your credit report at least once a year to know where you stand, credit-wise, especially when you consider how much power your credit score has over major events in your life, such as buying a home, a car, or paying for your education.
You can contact Equifax or TransUnion to get a copy of your credit report, but it won't include your score. You'll have to pay extra for that. Or you can get your credit score for free during a with us.
Got My Report. Now What?
If you have a recent copy of your credit report and there are credit items in there that are either in collections or you're having difficulty paying, you can fill out our Free Debt Assessment or call us 1.800.267.2272to book a free appointment with one of our certified credit counsellors.
They will review any debts you owe, as well as your monthly expenses, and then discuss different options you might have depending on your financial goals - whether it’s getting rid of your debt, improving your credit, buying a home within a few years, or all of the above.
Quick Tips on How To Build Great Credit
Pay all your bills on time!
Review your credit report at least once a year. If it contains incorrect information contact Equifax or TransUnion directly and notify them immediately.
If you have missed payments, get current and stay current. Even making minimum payments is better than no payments.
If you have accounts that are in collections but you can start making payments towards these accounts, make sure you contact your original creditor(s) and ask them to pull your file back.
Don’t bounce cheques! Your bank can report this information to credit bureaus.
Pay off debt rather than shift it to other accounts.
Don’t apply for too much new credit in a short amount of time.
Apply for a secured credit card. A secured credit card is a credit card you make a deposit on, with your own money, before you start using it.
We Offer Free Counselling on Building Credit!
Introducing Credit Canada's Free Credit Building Assessment!
Why Get A Credit Building Assessment?
No matter where you're headed in life, chances are, you'll need the credit to get there. Our credit building counselling is designed to help you build your credit so you can achieve your life's goals.
So, What's Included?
You'll work one-on-one with a certified Credit Counsellor who will teach you how to:
Access your free credit report from Equifax and TransUnion
Access your credit score
Understand your credit report
Manage and prioritize debt to increase your credit score
Sign up for a secured credit card to start rebuilding your credit immediately
Manage your budget to effectively pay off debt
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Start rebuilding your credit and increasing your score today!