🍁Credit Scores Explained 📊

Are you curious about how your credit score is determined in Canada🍁? Let’s break it down with emojis!

1️⃣ 💳 Payment History: 🕒 On-time payments = 😀. Late or missed payments = 😖. Pay your bills on time your payment history makes up 35% of your credit score!

2️⃣ 💰 Credit Utilization: 📈 Low credit card balances = 🌟. High balances = 🙁. Keep those balances in check, credit utilization accounts for 30% of your credit score.  The lower the balance, the better your score, and the higher the balance, the lower the score.

3️⃣ 📄 Credit History: 📆 Longer history = 👍. New credit = 🫤. Maintain a good credit history over time!  Credit History forms 15% of your overall credit score.

4️⃣ 💳 Types of Credit: 💼 Mix it up! Having different types of credit (credit cards, loans) can boost your score. 🔄 Credit Type makes up 10% of your credit score.

5️⃣ 📍 Recent Inquiries:  Opening too many accounts = 😫. Limit credit applications to avoid a drop in your score.  Credit checks can decrease your score and form 10% of the overall score.  However, when shopping for a mortgage your credit score should not be adversely affected if your score is checked multiple times in a two-week period.

Remember, your credit score is like a financial report card. Aim for those top marks to unlock better financial opportunities! 💯🎓

#CreditScore #FinancialWellness #Canada 🍁