Unpaid Parking Tickets and your Credit Score
How Do Unpaid Parking Tickets Impact My Credit Score?
Countless things impact your credit rating in Canada.
Everything from defaulting on bill payments to loans yet to be discharged appear.
It is no surprise that one of the concerns which crawls onto your credit report – and thereby affects your score – is an unpaid ticket.
It is natural to forget about a parking ticket now and again; however, what most people fail to consider is the lasting impact of this forgetfulness.
Parking tickets appear on your windshield, end up in your glove compartment, and fall by the wayside.
Even if you have every intention of paying them off, they can sneak up on you.
Sometimes, during income tax season, the government will seek to collect these amounts owing.
This highlights them as paid and removes the issue.
However, in situations where this doesn’t happen, often the only way to figure out whether you have such a debt on file is to investigate your credit report personally.
There are several services available for little to no cost which offer you the opportunity to look into your credit report.
If you see a parking ticket, ensure it is rightfully yours.
If not, proceed with contesting the ticket itself.
In most situations, the ticket will actually be yours and it is entirely your onus to get it paid.
Typically, you can proceed with payment in many different ways ranging from credit card payments over the phone, online transactions, and mailed cheques.
Once you paid the ticket, double check that there aren’t any other outstanding amounts due or interest or fees which accrued.
If there are, pay them promptly.
Finally, seek to have it removed from your credit report by contacting the creditor directly: the city.
Once it disappears from your report, the score will organically rise.
Generally, try not to accrue tickets and use the experience as a way to make better parking choices in the future.
This is a great first step to improving your overall credit score.