Credit Tips: Understanding and Improving your Credit

Credit Tips: Understanding and Improving your Credit

What is a Credit Report?

A credit report is the primary tool that lenders use to establish a borrower’s creditworthiness. An Individual’s credit report includes personal identification information as well as financial information such as a record of payment history on all credit facilities, on cell phones, and if there have been any collections or past bankruptcies. It also reflects current outstanding balances and maximum credit limits. Additionally, the credit report shows how many times the borrower has applied for new credit. All this information influences a borrower’s credit score.

In Canada, there are two credit reporting agencies, Equifax and TransUnion; however, not all credit providers report to both agencies and the details between reports can vary. In addition to a borrower’s credit profile, lenders often make decisions based on employment, indebtedness compared to income level, and the ability to easily make payments from month-to-month for a sustained period. When considering an application, Canada Guaranty will review both credit reports to ensure they have a complete picture of the borrower’s credit history.

Clink on the links below to learn more:

https://rem.ax/2I2AHgk

https://rem.ax/34Ru0GZ

 

Related posts

Canadian Housing Market 2021

CANADIAN HOUSING MARKET OUTLOOK 2021 - RE/MAX Canada RE/MAX Canada is anticipating healthy housing...

Continue reading

Holiday Cheer Starts With Acts of Kindness

ACTS OF KINDNESS Small 'Acts of Kindness' are easy to do and they will brighten the lives of...

Continue reading

RE/MAX ‘Quest for Excellence’ Bursary Program

What is the 'Quest for Excellence' program?  This program was established by RE/MAX of Western...

Continue reading

Join The Discussion