Credit Scores indicate Risk Levels to Lenders
There are 2 separate credit score reporting agencies in Canada.
Equifax and Transunion are private companies and are the sources for which lenders determine the worthiness of your credit.
Equifax & Transunion Credit Scores are measured with an numberical range of 280 to 850, where the higher score indicates a reduce risk to lenders.
There is also credit score called FICO Score, this scoring is specifically designed for US lenders and not particularly relevant in Canada.
|Credit Score||Borrower Rating – Lender Risk Level||Borrowing Outcome|
|300-400||Bad Credit – Very High||Suitable for only High risk lenders, lenders will demand unsustainably high rates of interest|
|400-580||Poor||Likely denied credit from normal financial institutions, suitable candidate for high interest alternative lending sources|
|581-650||Below Average||Approval more likely from normal financial institutions, contingent on security associated to loan and stability of income of borrower.|
|651-710||Average||Approval likely with normal and premium lenders with moderate to average interest rates.|
|711-750||Above Average||Approved by all lenders at competitive interest rates|
|751 – 850||Excellent – Very Low||Desireable and sought after client for all lenders, will come with aggressive offers to attract premium clients.|
Suffering from cronic bad credit? We will sit down with you and discuss how we can get your debt and credit back in the black.
Call us today at 604.392.5300 or schedule an appointment for a no-cost consultation with Sheila.