how to check your credit score for free in Canada
you can see your credit score for free, and checking it yourself does not harm it.
that last point stops a lot of people. checking your own file is a soft enquiry and has no effect on your score. only a hard enquiry, made by a lender when you apply for credit, is visible to others and factored in.
Canada has two credit bureaus
Equifax Canada and TransUnion Canada. they hold separate files, and the information does not always match, so it is worth looking at both.
both are legally required to give you a free copy of your credit report on request, by mail or online. the score is a separate product they normally charge for, though both offer free score access through their own consumer services.
several banks and card issuers now show a free score inside their app, and a number of free services do the same. any of them is fine for tracking the direction you are moving in.
report and score are not the same thing
your report is the record: accounts, balances, payment history, enquiries, collections, and any bankruptcy or proposal.
your score is a number calculated from that record, usually between 300 and 900 in Canada.
the report is the more useful of the two, because it is where errors live and where you can see what is actually pulling the number down.
what to look for
- accounts you do not recognise, which can mean identity theft
- balances that are wrong, or paid debts still showing as owing
- late payments you did make on time
- a proposal or bankruptcy dated wrongly, which matters because the date determines when it comes off
- hard enquiries you did not authorise
errors are common and you can dispute them with the bureau directly, free.
what moves a score
payment history is the largest single factor. one missed payment hurts more than most people expect.
utilisation, how much of your available credit you are using, comes next. under 30% is the usual guidance.
age of accounts, which is why closing your oldest card is usually a mistake.
mix, and this is where a car loan helps: an instalment loan alongside revolving credit is a better mix than revolving alone.
before you apply for a vehicle
look at your report first, so nothing surprises you. if there is an error on it, disputing it before you apply is far easier than explaining it afterwards.
and if the number is lower than you hoped, see rebuilding your credit. it is a common situation and it is workable.