In Canada, a poor or "bad" credit score is generally considered to be anything below 560 to 575 on a scale of 300 to 900. Scores in this range (often categorized as 300-574 or 300-599) indicate a high-risk borrower to lenders, making it difficult to qualify for loans, credit cards, or rentals.
In Canada, credit scores range from 300 to 900, 900 being a perfect score and 300 the lowest. According to data from a 2022 survey, the average credit score in Canada is 672, and 694 in British Columbia. Your credit score is used by lenders to determine what kind of borrower you are.
What Does It Mean To Have A 650 Credit Score In Canada? A 650 credit score in Canada is considered 'fair', though it's just slightly below the 'good' credit score threshold. With a score around 650, you may still be able to get a loan with a traditional lender, though you may have more difficulty.
Key takeaways:
In Canada, a score of 660+ is good, and 760+ is excellent. Higher scores unlock better rates, loan terms, and premium credit products. Scores vary by bureau and model — Equifax, TransUnion and FICO® use different methods, and lenders often rely on FICO Scores.
In Canada, according to Equifax, a good credit score is usually between 660 to 724. If your credit score is between 725 to 759 it's likely to be considered very good. A credit score of 760 and above is generally considered to be an excellent credit score. The credit score range is anywhere between 300 to 900.
Yes, you can likely get a $50,000 loan with a 700 credit score, as this falls into the "good" credit range (670-739) that unlocks better rates, but approval also hinges on your income, debt-to-income (DTI) ratio (ideally below 36%), and overall credit history, with lenders looking for stability and repayment ability, so prequalifying with multiple lenders helps compare terms.
According to the latest FICO report from 2024, approximately 41.1% of Canadian consumers fall into the highest credit score tier of 800 or above. This group demonstrates excellent credit profiles, consistent repayment of debt, low utilization, and a diverse credit mix.
Yes, it is technically possible to get a 900 credit score in Canada, but it's very rare—and you absolutely don't need 900 to qualify for great rates and approvals. Most lenders consider you “excellent” well before 900.
A 784 FICO® Score is above the average credit score. Borrowers with scores in the Very Good range typically qualify for lenders' better interest rates and product offers. 25% of all consumers have FICO® Scores in the Very Good range.
Because $30,000 is a large amount some lenders have strict eligibility requirements for loan applicants. This could mean needing a credit score of 650 or higher and a DTI at or below 36%.
It's partly true: most negative items like late payments and collections are removed from your credit report after about seven years, but the underlying debt often still exists, and bankruptcies (Chapter 7) last 10 years, so your credit isn't entirely "clear" but mostly refreshed from old negatives. The 7-year clock starts from the date of the original delinquency, not when you paid it off or sent to collections, and the debt itself can still be pursued by collectors.
The 2-2-2 credit rule is a guideline for building strong credit, suggesting you should have two active credit accounts (like cards or loans) for at least two years, with consistent on-time payments for those two years, often with a minimum credit limit of $2,000 per account, to demonstrate financial responsibility to lenders, especially for mortgages. It's a benchmark to show you can handle credit well over time, reducing lender risk and improving approval odds for major loans.
When moving to the U.S., your credit information and report will stay in Canada and won't follow you. That means you'll need to build your credit from scratch in the U.S. The good news is that there are simple steps you can take to build credit in the U.S.
Yes, you can likely get a $50,000 loan with a 700 credit score, as this falls into the "good" credit range (670-739) that unlocks better rates, but approval also hinges on your income, debt-to-income (DTI) ratio (ideally below 36%), and overall credit history, with lenders looking for stability and repayment ability, so prequalifying with multiple lenders helps compare terms.
Canadian credit score averages
FICO: 760 in 2024 (down 2 points from 2023) Borrowell: 672 in 2022 (based on 2 million members)
It's impossible to have a 900 credit score, as both FICO and VantageScore models only go as high as 850.
How does my income affect my credit score? Your income doesn't directly impact your credit score, though how much money you make affects your ability to pay off your loans and debts, which in turn affects your credit score. "Creditworthiness" is often shown through a credit score.
An 800 credit score is considered "exceptional" and, while not extremely common, it's achieved by a significant minority: roughly 23-24% of U.S. consumers have scores of 800 or higher, meaning nearly one in four people falls into this top tier, though far fewer (around 1.5-2%) hit a perfect 850. This level of credit is excellent for securing the best loan rates, requiring consistent on-time payments, very low credit utilization, and a long credit history.
580 to 669: Fair Credit Score
Individuals in this category are often considered “subprime” borrowers.
Building Credit History: If you use your credit card responsibly, paying bills on time can help build and improve your credit score. This can be beneficial if you're looking to apply for a mortgage, car loan, or even a better credit card down the line.
While your credit scores may dip from paying off debt, that doesn't mean you should ever ignore what you owe. The drop to your credit scores when you pay off debt is unlikely to be permanent. It's always a good idea to keep up with your debt payments and repay what you owe.