Your credit score in Canada is based on the information in your credit report. According to the Financial Consumer Agency of Canada (FCAC), improving your score comes down to consistent, responsible credit use over time.
Here are the key actions that matter.
1. Pay Your Bills on Time
Payment history is a major factor in your credit report.
Late or missed payments can lower your score. So, paying on time consistently can help strengthen your credit profile.
2. Keep Your Credit Use Low
Using a large portion of your available credit may negatively affect your score.
If possible:
Avoid maxing out credit cards
Pay down balances
Keep some unused available credit
Lower usage relative to your limit is generally viewed more favourably.
3. Limit Credit Applications
Each time you apply for credit, a lender may check your credit report.
Too many applications in a short period can lower your score. Apply only when necessary.
Checking your own credit report does not affect your score.
4. Maintain a Longer Credit History
A longer credit history gives lenders more information about your borrowing behaviour.
Closing older accounts may affect your available credit and history length, depending on your situation.
5. Review Your Credit Report for Errors
The Government of Canada recommends checking your credit report regularly.
If you find incorrect information, you can dispute it with the credit bureau.
You can request your credit report for free from Equifax Canada and TransUnion Canada.
The Bottom Line
According to official Canadian government guidance, building a stronger credit score involves:
Paying on time
Keeping balances manageable
Applying for credit carefully
Maintaining credit history
Monitoring your credit report
There is no instant fix. Improvement happens gradually through consistent financial habits.
DISCLAIMER: This article is for informational purposes only and is not intended as legal or financial advice
