Your credit rating is your best ally

By Laurent Fontaine

May 27 2008

Unless you’re independently wealthy and can pay for your home in cash, you’ll need to take out a mortgage. Before granting you a loan, your financial institution will conduct a credit check to determine your creditworthiness, which is reflected by your borrowing and repayment history.

In Canada, the three major credit reporting agencies are Equifax Canada, Northern Credit Bureaus and Trans Union Canada . You can order your report from any of the three agencies, however, be patient because the process takes time.

Keep in mind that it takes approximately six years for negative credit information to be erased from your file. However, you can improve your credit score by making at least the minimum payment on your credit card debts each month. If you have never had credit, apply for a card right away and start establishing a credit history.

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Your credit rating is your best ally
Unless you’re independently wealthy and can pay for your home in cash, you’ll need to take out a mortgage. Before granting you a loan, your financial institution will conduct a credit check to determine your creditworthiness, which is reflected by your borrowing and repayment history.