Understanding Your Credit Report

Step-by-step guide

1. 1

   Get your free credit report

   Order free reports from Equifax and TransUnion annually. Online: Borrowell (Equifax) or Credit Karma (TransUnion) for free access anytime. By mail: Request official report free once per year.

2. 2

   Review personal information

   Check name, address, SIN, employment. Errors here can mix your file with someone else's. Dispute incorrect info immediately through credit bureau's dispute process.

3. 3

   Check account details

   Review all credit cards, loans, and lines of credit. Look for: accounts you don't recognize (fraud), wrong balances, incorrect payment history. Dispute errors with proof.

4. 4

   Understand inquiry and collections

   Hard inquiries (credit applications) stay 3 years. Too many hurt your score. Collections are serious—pay them and negotiate to have them removed. Negative items fall off after 6-7 years.