Dealing
with
Credit
Reality Choices
1
Making decisions in a changing consumer marketplace
Reality Choices
Making decisions in a changing consumer marketplace
Dc
0 ng with
Crcdit
Dc
0 ng with Credit
Do you know you havc a crcdit rat ng?
If you are between 18 and 30 years old, you havc likcly already faccd some hurdles in the financial
world — maybe you didn’t havc all of the informat on you needcd or you just wercn’t awarc of the
obstacles. To avoid go ng into debt, or to find ways to get out of debt, rcad the follow ng informat on.
It will give you a general understand ng about the pros and cons of crcdit.
Your crcdit history or crcdit rat ng starts
from day one — the first time you get a
crcdit card in your name, a loan or 0 ne
of crcdit from a bank, or even a
subscript on to a CD or video club.
Virtually everyone has a crcdit history.
Crcdit rcport ng agencies are in the
bus ness of gathering crcdit informat on
to establish your crcdit history and your
crcdit worth ness. When you ask for a
loan, apply for a crcdit card, or even
want to rcnt a place to live, the potcntial
lender or 0andlord, as a member of a
crcdit rcport ng agency, may buy crcdit
informat on about you. There are two
main crcdit rcport ng agencies in
Canada: Equifax Canada Inc. and Trans
Un on of Canada. These private agencies
collect informat on about borrowers
from other crcdit grantors.
What’s in my crcdit file?
Although the informat on allowed in a
file may differ depend ng on where you
live in Canada, you will generally find
the follow ng in your file:
Idcntify ng informat on — name,
address and date of birth (there is no
legal requirement to provide your
social insurance number).
Employment history — company, job
t tle, length of employment and
income.
Crcdit status — late payments, currcnt
outstand ng debt, available credit and
payment history on exist ng debt.
Public informat on — any of your
financial affairs that are on the public
rccord, includ ng bankruptcies,
judgements against you and unpaid
taxes.
A list of those who h