Check Your Credit Score And Tips To Improve It.

A credit score is a simple numeric value assigned to a person. It represents your ability (through past payment history) to repay a loan. Many lenders take this credit score into account when making credit decisions and adding new borrowers to their list. So if you really need a loan, a good credit score plays a very important role and determining factor.
Everyone is entitled to have access to their credit report. You can get it from two credit bureaus in Canada. These are:

  • Equifax Canada
  • TransUnion Canada.

To get the correct information, you must cross check the report with both the bureaus. You can also find more details online regarding your credit report. However, in this process, you need to send in proper identification along with basic background information. You can also access your credit online but with a small fee of course.

Need to Improve your Credit score? Here are some tips:

  • Pay your bills on time. If you find any difficulty remembering on your own, you can set up payment reminders.
  • Paying bills on time is the biggest contributing factor of your credit score. Considering an automatic payment where the money will be debited from your bank account automatically is the best thing you can do to avoid late or missed payments.
  • Try to fully pay your credit card bills by the due date. If you are not able to pay the full amount due to some reason, you must pay the minimum amount mentioned in your monthly credit card settlement.
  • Being responsible for how to use and manage your credit is important if you want to maintain good credit.
  • Avoid canceling a credit card you have been using for a long time.
  • You should stop using your credit card so often. If you can’t do so you should at least use it responsibly. You should try to keep the balance below the limit so that you never go over the credit limit on your card. A high credit card balance has more impact on your credit score.
  • Try to make the least number of credit applications as your score gets reduced every time a new lender checks your credit report.
  • You can create a budget according to your needs and lifestyle. Make sure this budget doesn’t affect your credit score.
  • Check your credit report. You can check it for errors on yearly basis

 

No one can convert a bad credit into a good one overnight. Give it some time, have some patience, follow the above suggestions and use your credit card very carefully and you will rebuild your credit score in no time.

 

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