Last updated: September 2026
Credit scores in Canada run from 300 to 900, and the credit score range you land in decides whether a lender says yes, what rate you pay, and sometimes whether a landlord hands you the keys. This guide explains where each band starts, what the difference costs in real dollars, and what moves a score up.
Canadian Debt Relief is an independent Canadian guide to debt relief options — consumer proposals, debt management plans, debt consolidation and bankruptcy — for people who want to understand their choices before they talk to anyone.
What is the credit score range in Canada?
The credit score range in Canada is 300 to 900, and a higher number means lenders see you as lower risk. The Financial Consumer Agency of Canada (FCAC) says in its 2026 credit report and score basics page that scores “usually range from 300 to 900” and are built from your credit history and habits: how long accounts have been open, whether you pay on time, how close you sit to your limits, and how often you apply for new credit.
Canada has two credit bureaus, Equifax and TransUnion, and each calculates its own score, so the two numbers rarely match. Equifax Canada’s 2026 guide to good credit scores sets the bands most lenders reference: below 560 is poor, 560–659 is fair, 660–724 is good, 725–759 is very good, and 760–900 is excellent. TransUnion uses the same 300–900 scale with slightly different cut-offs; the band matters more than the exact digit.
What does a high credit score get you?
A good or excellent credit score (660 and above) gets you approved at posted bank rates instead of subprime rates, a difference of five to twenty percentage points on an unsecured loan.
What does a low credit score cost you?
A fair or poor credit score (below 660) costs you higher rates, smaller limits and more declines, and on a $20,000 loan the gap can exceed $14,000 in interest over five years.
Who should focus on raising their score now?
You should focus on your score if you are within about 40 points of the next band and expect to borrow in the next 6–24 months. Consistent changes can move a score one band in six to twelve months.
- Sit in the fair band (560–659) and plan to apply for a mortgage, car loan or consolidation loan next year.
- Carry balances above 30% of your limits but can pay them down within a few months.
- Have one or two late payments from a rough patch that is now over.
Who should not obsess over their score?
You should stop chasing points if your unsecured debt is more than you can repay in three to five years on your current income. A debt solution will raise the score faster than another year of minimum payments.
- Are using new credit to pay old credit, or paying only minimums on $15,000 or more.
- Would need a 25–35% bad-credit loan to “consolidate”, which rarely improves the score or the debt.
- Are weighing a consumer proposal or bankruptcy; read our consumer proposal FAQ first, because the credit impact is shorter than most people fear.
How much does your credit score band change a loan payment?
On a $20,000 five-year personal loan, the credit score band changes the monthly payment from about $405 at an excellent score to about $647 at a poor score, a difference of roughly $14,500 in total interest. The rows below use typical 2026 Canadian rates; the last row is often the faster route back to good if the debt itself is unpayable.
How do you check and improve your credit score in Canada?
You can check both of your credit reports for free and expect visible movement in three to six months if you fix the biggest factor first, which for most Canadians is utilization.
- Pull both reports for free. Equifax and TransUnion must give you free access to your own report, and checking it is a soft inquiry that, as FCAC’s 2026 guidance confirms, does not affect your score.
- Dispute anything wrong. Our guide to credit repair services in Canada shows how to do this yourself for free.
- Get every card below 30% of its limit. FCAC recommends using “less than 30% of your total credit limit”; utilization updates every statement cycle, so this is the fastest lever.
- Automate at least the minimum payment. Payment history is the most important factor, and one 30-day late payment can cost 50–100 points in the good band.
- Stop applying for credit for six months. Hard inquiries stay on your Equifax report for 3 years and TransUnion for 6, per FCAC’s 2026 retention rules. If you must borrow, read how to improve your chances of approval first.
- Keep old accounts open. Closing a paid-off card usually hurts; see should you keep unused credit cards open.
- If the debt is the problem, deal with the debt. A debt management plan through a non-profit credit counselling agency is removed 2 years after you finish paying, and a consumer proposal 3 years after your last payment, often sooner than years of minimums.
Not sure whether to rebuild your score or deal with the debt first?
Frequently asked questions
What is a good credit score in Canada?
A good credit score in Canada is 660 to 724 on the 300–900 scale, according to Equifax Canada’s 2026 bands; 725–759 is very good and 760 or higher is excellent. Most banks price unsecured loans at standard rates from about 660 upward, and the best mortgage offers usually start in the 700s. A 660 does not guarantee approval, because lenders also weigh income and existing debt.
Why are my Equifax and TransUnion scores different?
Your Equifax and TransUnion scores differ because each bureau uses its own scoring model and may not hold identical information; a 20–40 point gap is normal. Some lenders report to only one bureau, and FCAC’s 2026 guidance notes even inquiry retention differs: 3 years at Equifax, 6 at TransUnion. Since a lender chooses which bureau to pull, check both reports for errors rather than worrying about the gap.
How long does it take to move from a fair to a good credit score?
Moving from fair (560–659) to good (660+) typically takes six to twelve months of on-time payments and utilization below 30%, assuming no new negative items. Paying a $6,000 balance on a $7,000-limit card down to $2,000 can add points within one or two statement cycles because utilization is recalculated monthly. Late payments stay on your report for up to 6 years under FCAC’s 2026 retention rules, so the score keeps improving as they age.
Does a consumer proposal ruin my credit score permanently?
No. A consumer proposal is removed from your Equifax and TransUnion reports 3 years after you pay off the debts in it, or 6 years after you sign it, whichever comes first, according to FCAC’s 2026 retention rules. On $20,000 of unsecured debt, a proposal typically settles for $7,000–$10,000 paid over 60 months at roughly $120–$170 a month with no interest, and many people rebuild into the good band with a secured card before it even drops off. Only a Licensed Insolvency Trustee can file a consumer proposal or bankruptcy; our role is to help you understand the option before you speak to one.
Can I get a loan in Canada with a credit score under 600?
Yes, you can get a loan with a score under 600, but usually from a subprime lender at 20–35% interest rather than a bank. On $20,000 over 60 months, a 29.99% rate means about $647 a month and $18,800 in interest, compared with about $455 a month at a good-score bank rate. Before taking that loan, compare our guide to loans with bad credit in Canada; a debt management plan or consumer proposal often costs less and repairs the score sooner.
After 20 years of structuring multi-million dollar corporate debt facilities and corporate turnarounds in investment banking, Marcus now leads Canadian Debt Relief to apply those exact same balance-sheet optimization frameworks to Canadian household debt.
