UNDERSTAND how Credit Scores work | Guide for Canadians

[@beaviswealth]

📈📚 Join The Investing Academy ➤ bit.ly/theinvestingacademy Check out this Live Simulation of my Credit Score. Find out what makes your score go up and down, with real life examples. If you need to borrow money, take out a loan, apply for a mortgage.. these are the things you need to know. Enjoy.

[@Jimmy-vy8gy]

Thank you so much for making this video, Marc! As someone who doesn't have much financial literacy, these types of videos are REALLY helpful. I hope you & Brandon will/can do more of these types of videos. Thank you again for always sharing your guys' knowledge with us 🙏 I look forward to future videos 🥰🙇‍♂️

[@darrensmith6801]

Having an excellent credit score doesn't always get you the loan you need. My credit score is above 800, and I own my own business. Because I am a sole proprietor and do not own my home, I can't get a loan for anything. I can get credit cards with high credit limits, but can't get a loan.

[@beaviswealth]

Sorry to hear that, Darren. But your point is valid. The ultimate decision from the lender does factor in other things as well, which, even though your credit score is good, will result in them not lending you money. But at least with that strong credit score, once those other conditions are rectified, you should be ok. Thanks for watching and video and leaving your comment. - Marc

[@ArmaniV03]

Great beginner guide, I would love more info on credit score related topics :)

[@SaraDarvish-hm9jf]

Great information and clarification

[@pwong0227]

This is a good info video for new immigrants to build their score. Marc beat my score of 835 as I apply new credit cards to build my free aeroplan points.

[@gg2cool4u]

I love this BMO tool, thanks for demonstrating its flexibility and practicality when considering taking actions that may affect our scores!

[@beaviswealth]

You're welcome. Thanks for watching and have fun with your own simulations. - Marc

[@mattd2103]

Great video! Quick question: we recently paid off all revolving credit in our names, and now we're being dinged for not using any of our available balances. 🤣🙄

[@momo35444]

great video marc. thanks for the knowledge. really appreciate it.

[@Slimshady316]

Loved this video! Can’t wait for more personal finance videos from you, Marc.🙂What about opening multiple bank accounts? Does that impact credit score? I know a lot of people who open accounts for the promotions where they can earn $400-$500

[@deniselittle5558]

I have a few questions about this topic and hoping you might be able to answer. What about applying for some form of credit, getting the credit, paying said credit, but the company does not report to the credit bureau's. Does it affect your credit differently than if they do report to the bureaus? I have a hit on my credit report showing they enquired on my credit and have paid off the purchase over 9 months but since they did not report to the bureaus has it affected my credit score negatively that there was an enquiry - does it make it look like I was rejected for that credit? Another question I have - will it affect your score negatively, positively or neutrally if you pay your full balance before the credit card company reports to the bureaus each month - in other words they are always reporting a zero balance. Should you pay that balance right after they have reported rather than before? One more question: If you carried a largish balance for a couple months or more then suddenly paid it all off at once will this impact your credit score negatively or positively. Thank you for this video - it's nice to get this information from a reliable source.

[@albertalandlordswatch]

great video - thank you!

[@oduledamilola4703]

That you so much, this is helpful

[@juanperez-gh8bl]

An important topic in any country, of course, Credit Score can help even in another place, if you've a good credit history, migration programs can work better. "Un tema importante en cualquier país, por supuesto, el puntaje crediticio puede ayudar incluso en otro lugar, si tiene un buen historial crediticio, los programas de migración pueden funcionar mejor."

[@beaviswealth]

Gracias Juan. - Marc

[@roberttaylor3594]

that was very useful! I miss a payment from time to time ( twice a year?) by accident, haven't missed 30 days for...a long time. I will be more careful!

[@beaviswealth]

Thanks, Robert. If you miss by a few days, you might have to pay interest, but it won't affect your score until past 30 days. Keep it up! - Marc

[@roberttaylor3594]

@@beaviswealth going to send this to my daughter. I told her to take out a personal loan to build credit score…maybe some other old guy can convince her;)

[@beaviswealth]

😁 worth a try

[@GrayersDad]

If the money isn't needed then it might not be worth getting a loan just for the sake of trying to build your credit up because of the interest you'd pay. When it comes to loans avoid places like Fairstone, Easy Financial and other similar companies as if they were the plague. That would also go for those so called reverse loans that companies try to sell you on to help build credit. Cost to reward would never be worth the fees they charge.

[@xsrisky177]

i recently got a credit card and wanna learn how to properly gain score, how much of my limit (for me 2000 by default) should i use? should i ask for a higher amount to have a bigger buffer on what i spend versus dont on the limit or should i leave it etc etc?

[@ange1omartin]

Is there a negative impact on my credit score every time I check using my bank app?

[@Adrian-cn5rk]

Question, for your inactive credit cards, wouldn't the issuer close those accounts? Or do they remain usable indefinitely?

[@beaviswealth]

I've had cards that have been open for well over 10 years, and they still remain active. I literally haven't used them. I know the banks will close bank accounts, but I think they'll just let the cards stay on the books hoping one day you'll start using them. - Marc

[@mikeyoung7640]

What if you have no interest in getting a loan or anything you just want credit cards because of the rewards and you don’t need a loan for anything at all? Also, how long does hard inquiries affect your chances ofgetting new credit cards?

[@justinpharand8454]

I closed a mostly worthless (to me) credit card recently. I've heard closing credit cards has a negative effect on credit score, it that true? I never missed payments or anything. Just switched to better cards.

[@jeanpineda8381]

Hello if I get my score in trans union is it affected for my credit score or lower my score pls advise tnx

[@djayjp]

Records includes Consumer Proposals

[@beaviswealth]

Thanks for mentioning that. Cheers. - Marc

[@captainblando]

I think income will trump a bad credit score

[@teraborne]

I am DOOMED.

[@jayr8134]

Hi Marc, why would someone like you care so much about their credit scores? I mean you are 60 and retired, so you would've accumulated a decent nest egg and would be free of larger debts (otherwise who could retire). Isn't credit and credit score meant for people who would like to borrow at some point in time, so if you don't have such plans, then why care🤷

[@beaviswealth]

That's an insightful question, Jay. I agree that having a strong credit score is more valuable to a younger person, but I care for two main reasons. One, I keep track of my report to ensure I catch any identify theft activity, which is rampant these days. Two, and to a somewhat lesser degree, even now I don't rule out taking on debt for investment purposes. Either in my margin account or as a personal investment in a business of some sort. Opportunities do present themselves from time to time, and although I have no interest in taking on any signficant risk, I am open to using leverage in this manner. Hope that makes sense, and thanks for watching and asking your question. - Marc

[@jayr8134]

@@beaviswealth thanks Marc👍

[@djayjp]

Condo in Vancouver for $300k 😂

[@beaviswealth]

LOL.... that's a 10% down payment, I should have said. 😂- Marc

[@djayjp]

@@beaviswealth Haha