Last updated: October 2026
A good credit score in Canada is 660 or higher on the 300 to 900 scale used by Canada’s two credit bureaus, and 725 or more is where the best interest rates usually start. This guide explains what “good” means to a Canadian lender, what moves a score, and how to get from fair to good within about a year.
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 a good credit score in Canada?
A good credit score in Canada is 660 to 724, according to the ranges published by one of Canada’s two credit bureaus: poor is 300 to 559, fair is 560 to 659, good is 660 to 724, very good is 725 to 759 and excellent is 760 to 900.
The Financial Consumer Agency of Canada explains in its guide to credit report and score basics that a score is a three-digit summary of your credit report, and that each lender sets its own cut-off. In practice, 660 opens the door to standard cards and car loans, 680 is a common minimum for an insured bank mortgage, and 725 or higher brings the lowest rates. For every band in detail, see our guide to the credit score range in Canada.
What affects your credit score the most?
Payment history and credit utilization together drive roughly two-thirds of a Canadian credit score, with length of history, credit mix and recent inquiries making up the rest. The FCAC’s guidance on improving your credit score recommends keeping balances below 35% of your available credit and paying at least the minimum on every account on time.
Payment history counts for about 35% and utilization about 30%: one payment 30 days late can cost a good score 50 to 100 points and stays on your report for six years, and a $7,000 balance on a $10,000 limit (70% utilization) is where scores drop fastest. Length of history, credit mix and new inquiries make up the remaining third, which is why keeping unused credit cards open usually beats closing them.
What does a good credit score get you?
A good credit score gets you approved more often and charged less: the gap between a fair-score and a good-score borrower on a five-year loan in Canada is often four to eight percentage points of interest.
What are the downsides of chasing a higher score?
The main downside of chasing a higher score is paying interest to look good: carrying a balance never helps your score, and keeping an expensive loan open just to “build credit” costs real money.
Who should focus on their credit score right now?
You should focus on your credit score if your debt payments are manageable and you plan to borrow in the next 6 to 24 months.
- Pay all your minimums on time but your score is stuck between 580 and 660
- Plan to apply for a mortgage, car loan or consolidation loan within two years
Who should deal with their debt first?
You should deal with the debt itself first if your unsecured debt is more than about 40% of your annual take-home pay or you can only make minimum payments.
- Are using one card to pay another, or taking payday loans to cover bills
- Would need to borrow more just to keep up — a consumer proposal or debt management plan will likely do more for your score in three years than any credit-building trick
How much does a good score save on a $20,000 loan?
On a $20,000 five-year personal loan, a borrower with a 700 score typically pays about $5,000 less in total interest than a borrower with a 610 score. The rates below are typical of 2026 Canadian bank and alternative-lender quotes; see our guide to how loan interest is calculated for the math.
How do you get a good credit score in Canada?
You get a good credit score in Canada by paying every account on time for 12 consecutive months while keeping each card below 35% of its limit; for most people in the fair range, that alone adds 60 to 100 points within a year. The steps below are in the order they actually happen.
- Pull both of your credit reports for free. The FCAC confirms you can order your report from both credit bureaus at no charge.
- Dispute anything that is wrong. A paid-off account still showing a balance, or an account that is not yours, can be removed with a written dispute.
- Set every minimum payment to automatic. Automation removes the one way most good scores get damaged: a forgotten $40 minimum.
- Get every card under 35% of its limit, then under 10%. If you only have cards, add one small no-fee secured product for credit mix.
- Stop applying for new credit for six months. Keep old accounts open and expect the good range at month 12 to 24.
The bottom line
Not sure whether to rebuild your score or tackle the debt behind it first?
Frequently asked questions
What is the average credit score in Canada?
Published averages for Canada vary by source and scoring model, from the high 600s to around 760, which is why 660 to 724 is called “good” rather than “great.” Lenders price by band, so 660 is still enough for most mainstream credit.
How long does it take to go from a 600 credit score to 700 in Canada?
Moving from a 600 credit score to 700 in Canada typically takes 12 to 24 months of on-time payments with balances under 35% of your limits. Paying a card down from 90% to 30% can add 40 to 60 points within two statement cycles.
Does checking my own credit score lower it in Canada?
No, checking your own credit score in Canada does not lower it, because a self-check is a soft inquiry that lenders never see. Only hard inquiries from credit applications affect your score.
Will a consumer proposal ruin my credit score permanently?
No, a consumer proposal does not ruin your credit score permanently; it typically drops your score into the 500s while active and is removed from your credit report three years after your final payment, or six years after filing, whichever comes first. On $30,000 of unsecured debt, a consumer proposal typically settles for $10,000 to $15,000 over 60 months at roughly $170 to $250 a month. Only a Licensed Insolvency Trustee can file one; see our guide to who can file a consumer proposal in Canada.
Is a 650 credit score good enough for a mortgage in Canada?
A 650 credit score is usually not good enough for an insured mortgage from a major Canadian bank, which generally looks for 680, but it can qualify with some credit unions and alternative lenders at a higher rate. On a $400,000 mortgage, that gap is often one to two percentage points, or roughly $230 to $460 a month.
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.
