How to Improve your Credit Score in Canada
Many Canadians suffer from a bad credit score, but few know how to improve it. Don’t let credit bureaus bully you and have your bad credit history keep you from financial assistance anymore. Deposit My Cash Now will walk you through the steps needed to improve your credit score in Canada today.
What is a Credit Score ?
A credit score is a number attached to your credit that reveals your payment history and calculates how likely you are to pay back bills on time. Equifax lists a good credit score as one between 670 and 800.
Why Improve Your Credit Score in Canada?
Learning how to improve your credit score in Canada is vital, as a bad credit rating can keep you from buying or renting a house or car. It also lessens your likelihood of loan approval, and if you do get a loan, it increases your interest rates.
What is the Average Credit Score?
The average Canadian credit score is 650, but this can vary from area to area. This is below the recommended limit for good credit, making the need to improve credit vital for many Canadians.
How to Check Credit Scores in Canada
Equifax is one of the major credit reporting agencies and a great way for Canadians to check their credit score with a free online credit report. They also provide helpful information on how to improve credit scores in Canada.
How to Improve Your Credit Score in Canada?
The best ways to improve your credit score in Canada are:
- Making payments on time
- Avoiding your credit card’s credit limit
- Extending your credit card’s life for a longer credit history
- Keeping multiple credit cards
- Getting a secured credit card
- Consolidating your debt
Along with those overall tips, here are some tips you can follow today to improve your credit score in Canada:
Know What Affects Your Credit Score
Every transaction has a reaction, and a creditor will look at it all. The most common factors that affect your credit score include:
- Your payment history
- Your debt
- The length of your credit history
Pay Bills on Time, Every Time
Paying bills on time is vital for keeping your credit score healthy, as late payments can drastically reduce your credit number. Lenders like Deposit My Cash Now offer short-term loans with no credit check that can help you avoid having insufficient funds (NSF’s), keep your bank account in the green, and improve your credit score all in one.
Keep Your Credit Utilization Below 35 Percent
Don’t overspend. Keep your credit spending below 35% of your total credit limit to improve your credit rating.
Pay Off Your Debt
Keep yourself debt-free and never miss a payment. Debt consolidation services offered at Deposit My Cash Now can help turn all your outstanding debts into a single lump sum, making payments easier to make.
Only Take Out Credit That You Need
Never over-borrow or over-spend. A pro-tip is to use a credit card only for easily paid off small purchases, like gas or groceries.
Keep tabs on all aspects of your account, and track how much you spend versus how much you earn. Keep it balanced and check back regularly. Remember to put something into savings whenever possible.
Contact Deposit My Cash Now’s experts today to improve your credit score
If an unplanned emergency financial crisis arises, instead of letting your situation getting worse, apply for a short-term emergency loan! With our help, you can easily improve your credit score in Canada. If you have any questions, Deposit My Cash Now experts are here to help you.
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