Learn what a credit report is

A credit report is a detailed list of your credit information and personal information about you. Your credit report shows your history of paying bills, and borrowing and paying back money. It is used to calculate your credit score. Your credit score is supposed to predict if you will be able to pay back what you owe and make payments on time. Credit reports are also called “consumer reports”.

Consumer reporting agencies prepare credit reports. Equifax and TransUnion are the two main consumer reporting agencies in Canada.

Credit agencies get information from businesses you have dealt with. They also get information from public records. These include things like court records, marriage records, and property registration records.

Credit agencies must use the best information about you they can find. For example, if the hydro company says you owe them money, they should give the agency copies of your unpaid bills to prove this.

Credit score

Your credit score is a three-digit number. The credit agency figures out your score with a mathematical formula that is based on the information in your credit report. You get points for things that show that you use credit responsibly. You lose points for things that show you have a hard time managing credit. Your credit score is supposed to predict how likely you are to pay back your debts.

Your score can range from a low of 300 points to a high of 900 points.