Establishing and Maintaining Your Credit
Loans and Credit
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What’s involved in getting credit?
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If your application is not approved
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Maintaining a good credit history
Credit can be a valuable financial tool; it can make life more comfortable and long-term goals more attainable. We’ve prepared this information to help you understand the credit granting process so that you can establish a healthy credit rating. It’s important to establish and maintain a healthy credit rating because it’s one of the factors in determining the type and amount of credit you may be qualified for.
Your credit score is an assessment of your ability to fulfill the financial commitment of borrowing credit at a particular time, based on your financial history as reported to the credit bureau. It is important to remember that your credit score is dynamic. This means that it will change as your financial circumstances change.
While most financial institutions offer similar products and collect similar information during the approval process, credit granting policies will vary by product and from one credit grantor to the next.
Regardless of an institution’s credit granting policies, your overall credit rating will be one of the most important factors in determining if you're approved for credit at any given time.
Your credit score is determined by your credit history. Every time you apply for or receive credit, and every time you make or don’t make a payment on time, and use your credit you are building your credit history.
It is good practice to request the details of your credit report from the credit agencies periodically, to help you understand your rating and ensure that the information is correct. This is important because a strong credit record enhances your ability to get credit in the future, whereas negative reports such as overdue payments or non-payments, could make it more difficult for you to borrow or get credit in the future.
The credit granting process (which includes a review of your credit bureau history) can sometimes uncover aspects of your financial situation that you weren't aware of. Sometimes an application is declined due to a combination of marginally weak factors, not just one major factor. In cases like this, we can make suggestions that will improve your eligibility at a later time.
If you have a concern regarding the manner in which your application for credit was handled, please speak with the representative you have been working with. If your concern still remains, please refer to our "If you have a problem or concern" brochure, available at any branch, or online.
1 The Verified.Me by Interac service, including the Verified.Me by Interac app, is provided by a third party, Interac Corp. and its subsidiaries, and any use of the Verified.Me by Interac service is subject to the terms and conditions and privacy policy for the service.
Interac is a trademark of Interac Corp. Verified.Me is a trademark of SecureKey Technologies Inc. Used under license.
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Screen Text: Debunking credit score myths
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Speaker: Unlike an internet conspiracy theory, credit scores shouldn't be scary.
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Speaker: They indicate how well you manage your credit payments.
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Speaker: Having a good credit repayment history- which means you make at least your minimum payment and always make it on time - can help you achieve a higher credit score.
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Speaker: This in turn can help make it easier to get approved for credit for larger purchases – like your first home – in the future.
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Screen Text: Help make approvals easier
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Speaker: Making your payments on time applies to all your personal bills, including your phone bill and other utility bills.
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Speaker: Also, ensure that you only apply for credit products that you need and that you use them responsibly by staying within your credit limit.
Screen Text: Only apply for credit products you need
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Speaker: Finally, remember not to apply for credit multiple times over a short period because this too can negatively impact your credit score!
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Applying too often
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