How to Build a Good Credit Score in Canada?

1. HowtoBuildaGoodCreditScoreinCanada? A credit score is a three digit number made the calculations in your credit report. A good credit score ensures lenders about your sincerity to manage your credits and encourage them to trust in you. CreditScoreRangeinCanada The credit score range in Canada is from 300 to 900. It is better to maintain a higher credit score. According to TransUnion, 650 is the best credit score Canada. From 575 to 649 your credit score can be considered as average and lenders can charge high-interest rate if they offer you a loan. If your credit score is 750 or above then you will not face any problem to get a loan or a . credit card in Canada FactorsthatAffectsYourCreditScore Paying your credits on time improve your rating. On the other hand paying late make an negative impact on score. Payment History Spending above 50% balance of your credit limit will negatively impact your rating. So always try to avoid the maximum spending. Utilization & Balances

2. Keep your credit card to maintain your credit history and earn more points. Don't close your account if you are planning for a loan in future. Credit History Plenty of credit inquiries and applications in a short time period show your desperation for financial help. So, avoid unnecessary inquiries. Credit Inquiries HowtoRebuildandMaintainYourCreditScoreinCanada? Sometimes, we are unable to pay our credits on time and our credit score goes down. But you can rebuild your credit again by following these simple steps: Lower your balances to less than 50% of your credit limit Make sure that your credit report is correct. Check all information carefully. Talk to your lender when you think you might miss a payment . Always pay on time. Open a secured credit card account. so you can gain positive points for your score. Visit: myratecompass.ca/news-tips for more information My Rate Compass Phone Email 1 Yonge St, Suite 1801 Toronto, On, M5E 1W7 info@myratecompass.ca 416-301-9695