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Canada Credit Report & Score Guide

the credit reports and the credit scores in Canada. The two credit bureaus in Canada are the Equifax Canada and the TransUnion Canada. The credit score in Canada ranges from 300 to 900 (the "Equifax Risk Score" and the "TransUnion Credit Score"). The good credit score is 660 to 724; the excellent credit score is 760 to 900. The free credit report is available from the Equifax (by the mail) and the TransUnion (online) — the "consumer disclosure" — the "free credit report once per year". The free credit score is available through the "Credit Karma Canada" (the TransUnion score) and the "Borrowell" (the Equifax score). The payment history is the most important factor at 35% of the credit score. The credit utilization (the "credit card balance divided by the credit limit") is 30% of the credit score — the recommended utilization is below 30%.

Credit Bureaus

• Equifax Canada: The "Equifax Risk Score" — the "300 to 900 credit score". The Equifax is the largest credit bureau in Canada. The Equifax provides the "consumer disclosure" (the "free credit report by the mail" — the "Equifax credit report request by the phone or the mail").
• TransUnion Canada: The "TransUnion Credit Score" — the "300 to 900 credit score". The TransUnion provides the "free credit report online" (the "TransUnion consumer disclosure"). The TransUnion is the second-largest credit bureau in Canada.
• Credit report contents: The "personal information" (the "name, the address, the SIN, the date of birth"), the "credit accounts" (the "credit cards, the loans, the mortgages, the lines of credit"), the "public records" (the "bankruptcy, the consumer proposal, the secured loan, the court judgments"), the "credit inquiries" (the "hard inquiries" — the "soft inquiries"), and the "collections" (the "collection accounts" — the "debt collection").

Credit Score Factors

• Payment history (35%): The "on-time payments" — the "late payments" — the "missed payments" — the "defaulted accounts". The payment history is the most important factor. The late payment stays on the credit report for 6 years (the "6-year reporting period").
• Credit utilization (30%): The "credit card balance divided by the credit limit". The recommended utilization is below 30% (the "utilization ratio" — the "available credit"). The high utilization above 50% decreases the credit score.
• Credit history length (15%): The "average age of the credit accounts" — the "oldest credit account" — the "newest credit account". The longer the credit history, the better the credit score.
• Credit mix (10%): The "diversity of the credit accounts" — the "credit cards, the loans, the mortgages, the lines of credit". The more diversified the credit, the better the credit score.
• New credit (10%): The "hard inquiries" — the "new credit applications". Each hard inquiry reduces the credit score by 5 to 10 points (the "inquiry impact"). The multiple inquiries within 14 to 45 days are treated as the "rate shopping" (the "single inquiry").

Credit Score Ranges

• Poor (300-559): The "bad credit" — the "subprime credit". The approval for the new credit is unlikely without the "secured credit card" or the "co-signer".
• Fair (560-659): The "below-average credit". The approval is possible but the interest rates are high (the "subprime rate").
• Good (660-724): The "average credit". The approval is likely with the "standard interest rates".
• Very good (725-759): The "above-average credit". The approval is likely with the "preferred interest rates".
• Excellent (760-900): The "top-tier credit". The approval is guaranteed with the "best interest rates" and the "premium card offers".

For the credit cards and the card types, see our Credit Cards Guide →. For the debt management and the credit repair, see our Debt Management Guide →.