How to repair your credit score in Canada
Practical steps to repair your credit score: fix report errors first, then payment history, utilisation and time.
1. Fix errors first
Get your free Equifax and TransUnion reports. Wrong late payments, balances on paid accounts, duplicate collections and accounts that aren't yours drag your score down for no reason. Dispute them in writing.
2. Pay on time from now on
Payment history is the biggest factor. Set up automatic minimum payments so nothing is reported late again.
3. Lower your utilisation
Try to keep card balances under about 30% of each limit. Paying before the statement date can help the reported balance.
4. Avoid new hard inquiries
Each credit application can cause a small, temporary drop. Space out applications.
5. Give it time
Negative items fade in impact and eventually drop off. Accurate items can't be removed early, but wrong ones can.
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General information only, not legal advice. Laws and bureau policies change.