Thursday, 29 July 2010
 

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Establishing & Protecting Your Credit

  1. Pay bills on time.
  2. Don't obtain too much credit.
  3. Always pay the minimum payment, at least.
  4. Watch your credit limits carefully.
  5. Don't apply for too much credit, several inquiries to your bureau could mean you are a "credit seeker".
  6. Maintain an address, don't move around too much, and make sure you let your creditors know you have moved.
  7. Monitor your credit bureau report. You can phone directly to Equifax Canada to ensure your information is current.
If you have not yet established your credit rating or need to re-establish your credit and have an RO or R9 rating you can visit your bank and explore options to establish/re-establish your credit.

One of the most common is to apply for a debit card which is similar to a credit card. A debit card is a credit card where you give the bank a preset amount of $500 or more which you can then use as security for a credit card for the same amount.
After an agreed upon time frame where you have faithfully paid your monthly bills you can apply for a regular credit card.
If you are re-establishing your credit rating you should know exactly what is on your credit rating. Check your credit rating with Equifax then contact all of your creditors and explain your intent to re-establish your credit rating and negotiate a suitable repayment plan. Remember that it is natural and normal to want to run and hide when you have a bad experience with your credit rating, however the best thing you can do is to talk to them and work out a suitable plan, even if it is a short-term situation. Creditors can be your best partners in business and in establishing your credit rating!


If you would like to improve and/or maintain your credit rating there is help available through the Credit Counseling Society of BC 1-888-527-8999, or the Credit Counselors of BC 604-434-6399, both of whom provide free confidential financial counseling, budget planning, alternatives to bankruptcy, credit rehabilitation and can arrange with creditors a debt management program.

 
 

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