Let’s talk credit scores!

We recently debunked some myths around whether a credit check is bad for your score and we discussed the benefits of a good credit score for loan approval. So how do we know if we have a good credit score in Canada?. Let’s discover what your credit score says about you and your spending habits. 

What is a credit score?

credit score is a unique three-digit number that reveals a lot more about you than you think. In Canada, credit scores range from 300 up to 900 points, which is the best score. According to TransUnion, 650 is the magic middle number. If you have a score above 650 this will probably qualify you for a standard loan, while a score under 650 will likely make it difficult for you to get new credit. But what does your score mean?  

Generally, your credit score is a tell-tale sign of how well you manage your money. Your score lets potential creditors know how much of a risk you are and if there’s a chance you won‘t pay back your loan or credit card. Following this, many people believe that the higher the bank balance, the higher the score. Whereas having a good income may be extremely beneficial, it doesn’t exactly showcase how good you are at paying back loans or credit card debt or budgeting. Let’s learn more about the different credit score ranges in Canada. 

 No credit score =no credit history

So, if you don’t have a credit score yet, don’t worry – this generally indicates you have no credit history. This applies to people who have just opened their first bank account, or someone who is new to Canada. It’s important to touch base with your bank in order to find out what you can do to begin building credit.  

300 to 600 (Poor)

Unfortunately, if you fall into this range, you have an extremely poor credit history. It may be a case you have missed a few loan payments, are nearly at your credit limit or in a consumer proposal or bankruptcy. 

If your score is in this range, you will find it difficult to obtain any credit product from your bank. But don’t worry, there are always ways to improve your score. The first step would be to contact a professional who can help advise you on what areas to focus on to improve your score. Our MyMarble Premium’s Score-Up credit boosting technology can help you improve your credit score so you can plan for a positive financial future. Find out how it works here. 

601 to 657 (Fair) 

Whereas your credit score is ok in this range, it will still make obtaining financial products a lot more expensive in comparison to someone with an excellent score. For example, a borrower will face high interest rates in this category compared to someone with a pristine score. This score also makes borrowers ineligible for some of the perks that come with credit cards, such as cashback and rewards.  

658 to 719 (Good)  

If you’re in this category, congratulations. It’s not easy maintaining a good credit score so you must have worked hard in tracking your spending and paying off your bills on time. Borrowers who have a good score are unlikely to have trouble obtaining financial products and usually get favourable interest rates.  

So what does this credit score say about you? You’re financially responsible and with the right coaching, you have the potential to improve your credit score even further. Learn how you can go that extra mile and increase your score with MyMarble Premium here 

 720 to 900 (Excellent)  

This is the prime category to be in. You’re a perfect contender for any financial product due to your lack (or zero) late payments on your credit report. You regularly pay off your balances in full. You also will have a low credit utilization across all lines of credit. Most Canadians with excellent credit enjoy rapid approval for their credit card and loan applications. In addition, they receive the lowest interest rates available, high credit and loan limits, and access to great premium credit card rewards and perks. The financial world is open for business to anyone with an excellent score, and it’s definitely something to be proud of.  


Marbles Financial empowers Canadians to achieve their financial goals with MyMarble, Canada’s best virtual financial fitness trainer. Got a financial goal? MyMarble will help you reach it by providing you with personalized recommendations on how to improve your credit, better your budget and eliminate debt slowly.