Rebuilding your credit
How credit scores work in Canada and the steady habits that rebuild them: on-time payments, low balances, and checking your reports.
There's no shortcut to rebuilding credit, and anyone who sells one is someone to avoid. There is a reliable path, though.
What your score is built on
According to the Office of the Superintendent of Bankruptcy, your credit score is based on:
- whether you pay on time
- how much of your available credit you use
- how long you've had credit
- the types of credit you have
- how many credit inquiries are on your file
Habits that help
- Pay every bill on time. Automatic payments help.
- Keep your balances below 30% of your available credit, as the OSB recommends.
- Check your free Equifax and TransUnion reports regularly, and dispute errors (FCAC).
- Be patient. The OSB says it takes time, so don't get discouraged.
The OSB warns that by law, no one can remove accurate negative information from your credit report sooner than normal.
Guides in this section
Our first in-depth guides for this section are being written and fact-checked now. In the meantime, start with the overview above or browse all guides.