Video Transcript:

Hey, this is Canadian Adrian wearing a T-shirt, today I am going to break Write down what is the credit score and how to improve your credit score in 7 steps For Canadians, these strategies will be aimed at Canadians, but the same Applying these seven principles to the principles in the United States will help anyone Build their credit score, even if they don’t have a credit history, say you are Students or new immigrants can also implement these steps completely on you You don’t need to rely on anyone else or I won’t discuss things It’s like piggy in this video let us jump into what is credit Score, why should I care? Credit score can measure your reliability Related to your credit, how is the risk someone lent you money A high credit score means you are more likely to pay off your debt So you have a greater chance of being approved for mortgages and Your credit score is a number between 300 and 900 and 900 The maximum credit score to become the best in the US is 850, but in Canada There are up to 900 different institutions with different views on what is a good result But this is a general consensus.

Anything above 780 is considered to be Excellent very good at 720 and 780 exhibition between 680 and 720 The average is 600 to 680, and the following if you treat 600 as a poor score Credit score higher than 700, you have a good record of getting along well with you Credit and debt repayment, etc. You will be able to use most credit cards Loans and mortgages, but if you have a bad score of 550 you will be considered Higher risk, so you may not get an approved loan if you get Approving them may charge you a higher interest rate to make up for this Higher risk plus they would not be willing to give them as much money as possible People with high credit scores but your credit score will not only come When you borrow money it works a bit like your driving record This is a general indicator of your financial situation Check your credit score when you apply. If your score is poor, go to work May damage your chances of getting this opportunity.

If you want to move, the job will be the same When entering a new house or apartment, the landlord will frequently check your credit limit If your score is high, you are more likely to pay your rent on time, So the landlord is more likely to choose you as a high-income tenant Credit score is very important, but it does take time to build, so It is important to always follow the step numbers of these seven steps of any stage of life One is to check your credit score is very important, because the first step In the process of solving the problem, realize that you have one in Canada and two The main credit bureau, everyone will calculate your score The difference is that the two boards are Equifax and TransUnion, you can apply for credit Equifax and TransUnion report directly, but they will charge you a fee For each request, I suggest you use a free service to check your credit To score, I recommend Credit Karma and Borrowell Credit Karma to give you one TransUnion calculates the credit score and Borrowell will calculate the score for you Calculate your score with Equifax TransUnion and Equifax Different, so you actually have two different scores and maybe one There is a big gap between them.

When you apply for a loan, you don’t know If the lender will use your Equifax score or your TransUnion score, so It’s always important to check them, so if you register two Credit Karma at the same time And Borrowell, you will have all base coverage Both services are completely free, they make money through advice or According to the following information, credit cards will be placed on you. Very similar, you will see a graph showing your score as a whole credit score Changes over time and your credit report lists all loans and credits Your archived cards and lists are included in all inquiries you make Applied for a new credit card or new loan, this credit report is you Really pay attention to what you want to make sure there are no errors In your report, all errors will occur at the time of your credit report May incorrectly say that you missed last month’s payment, or may include The car loan error you have never undertaken is hitting your score, If you never call to correct them, they will continue to hurt your score Not sure why this is so important to check your credit score Usually, you don’t have to check your daily score, but you need to develop Check every few months to see if the score is increasing, if any The error is called Equifax or TransUnion, they will correct it and then you will see Your credit score is also greatly increased without checking your shortcomings Every time you check your credit, you will get a credit score on Credit Karma or Borrowell Think this is a soft inquiry, it will not affect your credit score The second step is to stop paying cash and start using credit card When you pay by cash or debit, you only get any benefits Spend money, this does not help you build your credibility if You use a credit card every time you make a purchase, every time Paying your credit card bill in full will increase your credit score, which It makes sense when you use points Money, but if you use this money responsibly, you pay off the loan Every month you prove yourself reliable, so your credit score Increase if you spend 10,000 cash a year Only $10,000 is consumed, but if you spend $10,000 One dollar a year credit card earns 2% to 4% cash back That’s $200 to $400 in free cash, look at my past The top five free video cashback videos on Canadian credit cards, these are credit cards Card individuals and vulnerable groups designed for low-income people Credit score, so click on the pop-up upper right to view the video if you With higher income, you spend a lot of money, and then check my top five Canadian Premium Cash Back Credit Cards These cards provide an annual fee Higher cash back rate of up to 4%, so if you spend a lot of money The higher cashback rate makes up for the annual fee and I have to pay a lot Warning, although you have to control your cost use one of the advantages Cash is what you can't spend more than you have, but using a credit card can It’s easy to spend until you run out of credit You must track your expenses to make sure you only spend money What you can bear with my mindset is that using my credit card seems to be a debit card Even if I set a credit limit of $10,000, my own monthly limit is $1,000 because I Knowing that it is affordable to me Start without credit history and say you are a newbie in this country Can't get approved ordinary credit card, so you should Start credit card by applying for guarantee Same as regular credit card but you must provide an initial You can only start spending money after depositing, so if you get the approved first amendment Your credit card has a limit of $1,000 and you will have to pay them $500 or even A $1,000 deposit is required to use it before starting, and this deposit is used as Incidentally prove that you are trustworthy, the money is completely After canceling the card, it can be returned to use a normal credit card Take back this initial deposit, if you are a student, there are many Post a video of my top three with a credit card tailored specifically for you Student credit cards Canada will soon use credit cards Is the best way to start building your reputation, but now let’s take a look How to calculate your score in order to maximize your score Equifax and TransUnion uses a similar number to calculate the score, but this is The breakdown used by Equifax comes from Borrowell’s website, you can see The largest 35% of your credit score is your payment record, this is The third step is to always pay the bill.

If you have nothing, please be on time and in full The best way to increase your other content in this video Credit score is to always pay your bills and include your car loan on time Payment mortgage internet bill phone bill student loan utility and your Credit card statement (if you are late or you do not want to pay your entire statement balance You will pay a huge late fee, even 25% of your credit card, but your Credit scores will also suffer greatly even if you only miss one payment Your credit score may drop by as much as 90 points, which is why It is important to check your credit regularly to report errors In addition, if you miss a payment, the click will retain the report for up to six years When it comes to credit cards, always pay your monthly balance in full, but if you Never pay you so much money at least to pay the lowest fee If you list the payment on the statement just pay the minimum amount you will pay Still have to bear a huge 25% interest on your debt, but in At least your credit score won’t if you know you won’t Be able to pay the bill on time ignore it and hope the best Call them and ask if they can be extended before the due date You have been a loyal customer for many years and you have a good production history Your payment to the credit card company will understand that they will Willing to extend your due date by a week or two without affecting your credibility Credits had a credit card bill that should expire on Wednesday But I didn’t get my salary until Friday, so I called the credit card company in advance Time and explain the situation to them, they let me pay for a few days Delay is not counted as delayed payment and it never appears in my credit report Did not hurt my credit score the second thing you can do Raising your credit score is to reduce your credit usage Utilization accounts for 30% of the overall score, you want to keep this The utilization rate is as low as possible You have already spent the total available points, just because you Having a credit card limit of $10,000 does not mean you You should spend this full amount.


In fact, increasing your credit score is It’s best to keep your credit usage below 30% per credit card So, if you have a credit line of $2,000 on your credit card, but you have already This month spent $1,000, and 50% has been used up at any given moment You want this number to be less than 30% of the courses at the end of this month, you will Pay off your statement balance information to reduce your utilization to zero But the utilization rate is still 50% until you pay One month, this hurts you. One way to solve this problem is to ask If your credit limit increases, your credit limit increases to $5,000 You still owe the same amount of $1000, now you only use 20% Available credit, which will increase your credit card as long as your credit score is obtained The company offers to increase your credibility limit accept quotation not accept this Invite you to spend more money at the same cost, but now you have four More available points, so your utilization rate increases significantly Another thing you can do is use more credit cards to distract you Instead of owning a high Utilization value, you will have two or three cards with low utilization So your credit score will increase my heavy use Card to maximize my total cash back described in the video I used in the past A grocery card and a bill card Everything about purchases and a card otherwise my monthly expenditure is If I increase my credit limit between the multiple cards scattered at the top Each of these cards will have a very small utilization rate of less than 10% Since my second highest credit score The contributor to your credit score is your credit history, accounting for 15% Your score basically means the longer your score increases You already believe that it will take time to establish a credit score will not happen One thing you can do overnight to improve your credit history If you have two, cancel the old credit card you bought last year And you have been for five years Contribute more to your credit because in the past five years The card has proved that you are a reliable customer, if you cancel the old card You will lose a lot of benefits the gains gained over the years plus now The total available credit decreases instantly, so your credibility Utilization increases immediately, which can damage your credit score Basically you should not cancel your old credit card if you have more Keep the card for more than two years and use it to buy it every few months Keep active, if the card has no annual fee and no disadvantages The only reason to keep it open should the credit card be closed With an annual fee, if the feed is no longer reasonable, let us Say I have a $50 credit card annual fee that gives me 2% cash back Groceries, but now I signed a better credit card can give me 4% Getting 4% cash back for groceries like me was also discussed in the last video There is no reason to use my old card and new things are better in all aspects, mine The old card still costs me $50 per year, so it’s worth it in this case Cancel the old card, even if it did so slightly damage my credit score Prove that you are another way to be responsible for credit is to show You can handle many types of credits.

Having a good credit portfolio is much less More important than the first five steps but it still contributes 10% of your Overall score, which basically means that it is a good thing to diversify your form of credit Therefore, not only to get a score card, if it is good for your credit score You also have car loans to mortgage student loans and personal loans As long as you can pay each of these loans there are also monthly Telephone bills, Internet bills and utility bills will further increase your credit score The final factor accounts for 10% of your credit score is a credit inquiry I remember in the first step I said when you check your credit score Go on board, or you are softly inquiring about credit karma, this is indeed It will not hurt your credit score at all.

You can check your credit score every time Every minute, nothing will happen, but if you make a lot of effort Inquiry which will damage your credibility is a little difficult inquiry is Every time you apply for a new credit card to apply for a mortgage or If you make one or two loans, please apply for the loan within one month is difficult to check Notice it, for example, I applied for a new credit card last month This is a tough inquiry, but I only reduced my credit score by two points But if you apply for 10 different credits within a week of the card It could be your danger signal craving for money, that would May reduce your credit score by 20 or 30 points Inquiries account for only 10% of your total Houses or cars you might shop for are mortgaged everywhere Or car loan, if you do all these apply within two weeks Credit bureau will consider all these apps difficult Check, so your score will only drop by two or three points, so don’t Afraid to shop around, but be strategic and try to arrange all the time Application within two weeks, if you watched my previous video I like to apply for a credit card to take advantage of their generous registration Bonus if I don’t want to keep my cancellation card to avoid the annual fee But I suggest that if you plan to apply for a mortgage or mortgage Loan or find a new apartment within the next three months Can't afford any blow to credit score, so don't bother Apply for any new credit card until you guarantee that loan, but if you are Living a normal life, you usually don’t buy a house soon, you don’t plan to Any major life changes in the next few months for a few months, and then I said to apply these credits Card and use these to register your credit score which may drop bonus Three or four points, but this should not completely affect you Then you will get a free bonus of $200 to $300, so you There are seven steps to improve your credit score in Canada Regularly check your credit score for errors leading to cash loss The credit card payment you purchased pays all bills on time every month That is one of the most important credit utilization rates below 30% never Cancel old credit cards, don’t be afraid unless they come to charge an annual fee Hold various forms of credit and try to limit the number of hard queries If you follow the 7 steps below, your credit score will increase Month after month, this is just a question of time before perfection is reached 900 points Thank you for your attention and please make sure you like comments and subscribe You find this video is helpful to everyone.

Thumbs up comments really help me Create this channel and hit the icon that Bell notified me of the new video Every week, if you want to follow me on Instagram or Facebook @CanadianTShirt Click the description box below the link or click the link On my homepage, be sure to load in the next video I will break down What is DRIP and how to use DRIP to automate your investment growth Thank you all, I will see you again in Canada in the next episode T-shirt goodbye .

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