Improving your Credit Score

Now that you know what your credit score and credit report are, and why they are important, we can talk about how to improve your credit score.

• Monitor your payment history, know when your payments are due, and make your payments on time
• Make at least the minimum payment if you cannot pay the full amount and talk to your lender ASAP if you think you are going to have an issue repaying
• Use all credit products wisely, do not go over your limit, do not take on more than you can manage and remember the needs vs wants, good debt vs bad debt
• The longer you hold a credit account and use it often, the better your score. This shows tenure and commitment from you as the borrower. Using it often means using it but making the payments on time, and not overextending yourself
• Limit the number of credit checks and applications that you seek. A high number of credit checks can appear as if you are seeking additional credit and trying to increase the amount of borrowed funds available to you.
• Hard Hits vs Soft Hits (and avoid hard hits)
o Hard: these appear on your report and go towards reducing your credit score. Application for credit (credit card, loan, line of credit), rental applications and some employment applications result in a hard hit
o Soft: usually do not affect your credit score and only you can see them. This could be you requesting your own credit report or if you hold existing lending products you may have signed an agreement for checks to update their records periodically 
• Having different types of credit products which shows you can manage the different features of credit cards, loans, lines of credit, etc.

We hope you will find this information valuable and will increase your financial confidence. You can always find these articles on our website

Karin Rimnyak, Certified Financial Planner®
Investment Advisor
Insurance Advisor, Action Financial Group Ltd.

David Dryburgh, Certified Financial Planner­®
Investment Advisor

Insurance Advisor, Action Financial Group Ltd.

Ian Barrie, Certified Financial Planner®
Investment Advisor

Insurance Advisor, Action Financial Group Ltd.

This information has been prepared by Karin Rimnyak who is an investment Advisor for iA Private Wealth. Opinions expressed in this email are those of the Investment Advisor only and do not necessarily reflect those of iA Private Wealth. iA private Wealth Inc. is a member of the Canadian Investor Protection Fund and the Investment Industry Regulatory Organization of Canada. iA Private Wealth is a trademark and business name under which iA Private Wealth Inc. operates.