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Understanding Your Credit

Your personal credit is serious business.  Unfortunately, credit is complicated and it can easily be taken for granted.

Most of us pay our bills on time every month so we assume we don't have anything to worry about.  My concern and most often discussed issue regarding credit is over-use; specifically with credit cards.  Simply paying the minimum on your credit card every month will keep your card in good contractual status; however, if the balance on your card is close to it's limit you're likely harming your overall credit score.  My advice is simple - keep paying the bill and pay extra if you can (pay it in full every month is the best advice I can offer) but never ever allow your balance to exceed 80% of the credit limit because if you do, you're negatively affecting your credit score.  Simply said, overuse signals risk and the greater the risk the lower your credit score will be.

I don't know many people who can pay cash for a new home or a new car so unfortunately, we're at the mercy of our credit.  It's important to understand your credit, how to maintain good credit and to know your credit score.  That way you'll never be surprised...

One of the best, most informative and non-biased resources available regarding credit is the Financial Consumer Agency of Canada.  They have an excellent website and it's actually quite interesting and informative.  Take a look and if you'd like to discuss your credit in person or explore your options regarding purchasing a home, refinancing your current home to get a better deal or pulling out equity to buy something nice, call me.  My expertise and experience is available any time.

Chris Marriner, B.Mgt, AMP
CENTUM Professional Mortgage Group Inc.
403-380-4413 Office
1-888-200-3372 Toll Free
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