Your credit history is an integral part of the mortgage approval process because that history is a reliable indicator of how you will manage your mortgage and your finances in the future.

Your credit score provides a snapshot of your perceived lending risk at a particular moment in time. It can change from month to month, which provides a great opportunity for you to improve your score if you need to with the right credit behaviours.

How do you maintain a good credit score?

• Avoid a multitude of credit checks from lenders.
• Limit opening new credit accounts, especially if they consist of the same type of credit (for example, a multitude of credit cards.)
• Always pay your bills before the due date. Even slightly overdue payments leave a trace.
• Keep the balance on your credit line low (ideally 35% or less.)
• Maintaining the same address and workplace for long periods of time works in your favour. 
• Maintain an emergency fund for the unexpected such as loss of employment or decrease in revenue.

For a better idea of how your credit score affects your borrowing capacity, we invite you to browse the Equifax website.