What a good credit score is in Canada, what affects it, and how to improve yours — a clear guide. A higher score means easier approvals and lower rates.
Your credit score is a three-digit number that sums up how reliably you handle credit. In Canada it ranges from 300 to 900, and lenders use it to decide whether to approve you and at what rate. Understanding what your score means — and the handful of things that move it — puts you in control of better borrowing. This guide explains it all.
A credit score is a number calculated from your credit report that predicts how likely you are to repay borrowed money. Canada's two credit bureaus, Equifax and TransUnion, each produce a score, and it can differ slightly between them because not every lender reports to both. The higher the number, the lower the risk you appear to lenders — and the better the rates and approvals you'll get.
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Your score isn't fixed — it updates as your credit behaviour is reported, usually monthly. That means the steps you take to improve it show up over time, which is encouraging if you're working your way up.
Canadian credit scores run from 300 to 900. While each lender sets its own cut-offs, the general bands are:
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A score of around 660 or higher is widely considered good. But even with a lower score, income-based lenders still consider you — so a number in the fair or poor range doesn't mean you can't borrow.
A few factors, in roughly this order of importance, determine your score:
The two you control most day to day are payment history and utilization — nail those and the rest tends to follow. The Financial Consumer Agency of Canada has more on how scores are calculated.
Raising your score comes down to consistent habits:
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If you're starting out or rebuilding, our credit building guide walks through the exact steps, including secured cards.
You can check your own credit score for free through many Canadian banks and free apps, and through Equifax Canada and TransUnion Canada. Checking your own score is a soft inquiry — it never lowers it, so look as often as you like.
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Monitoring your score helps you see progress and catch problems early. And when you're ready to borrow, Loanspot matches you with options based on your whole profile — income included, not just your score — with no impact to your credit to compare.
The questions Canadians ask most.
Scores range from 300 to 900, and around 660 or higher is generally considered good. 720+ is very good and 800+ is excellent, earning the best rates and easiest approvals.
Payment history is the biggest factor, followed by credit utilization (keep it under 30%), length of history, credit mix and new inquiries. The first two are the ones you control most.
Pay every bill on time, lower your balances, keep old cards open, limit new applications, and dispute any errors on your report. Improvements build month over month.
No. Checking your own score is a soft inquiry with no impact. Only hard inquiries, when you apply for credit, can lower it slightly.
Yes. Income-based lenders consider your ability to repay, not just your score, so fair and poor scores are still considered — often at higher rates while you rebuild.
Not every lender reports to both bureaus, so the data behind each score can differ slightly, leading to different numbers. It's normal and worth checking both.
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