What’s In Your Credit Report And How It Affects You

We often hear about credit reports and their importance, but many individuals remain unaware of the specifics. This article aims to demystify this essential financial document and shed light on its impact on your life.

Understanding Your Credit Report

A credit report can be likened to an autobiography that narrates your history with credit. It’s a comprehensive document that records your financial behavior related to credit, from credit cards and personal loans to various credit lines and retail financing options. All this information is compiled by credit reporting agencies, such as TransUnion and Equifax in Canada.

Contents of Your Credit Report

Your credit report is not merely a list of your credit cards or loans. It’s a treasure trove of information that paints a picture of your credit health. This section delves into the nitty-gritty of what your credit report comprises.

Personal Information

Your credit report begins with your basic information, such as your name, address, gender, and marital status.

Credit History

This is the heart of your credit report. It details all your credit-related activities, including:


  • Opening dates of accounts.
  • Credit Limits.
  • Outstanding balances.
  • Payment timeliness.
  • Missed payments.
  • Over-limit instances.


Public Records and Other Information

Your credit report also contains information that could potentially affect your creditworthiness, including:


  • Court judgments.
  • Bankruptcy or Consumer Proposal filings.
  • Secured loans like mortgages or auto loans.
  • Accounts referred to collection agencies.
  • List of entities who’ve inquired about your credit report.


Credit Score: The Magical Number

Along with your credit report, you also receive your credit score—a number ranging from 300 to 900 in Canada. This score is calculated based on various factors in your credit report and indicates your creditworthiness, with a higher score being better.

The Impact of Your Credit Report

Understanding your credit report is only half the battle; knowing its influence on your financial life is equally vital. Here are a few ways your credit report affects you:


Credit Applications: Whenever you apply for new credit, lenders scrutinize your credit report and score to determine your creditworthiness.

Rent Applications: Landlords often review your credit report before approving your lease application. A poor credit score could cost you that dream apartment.

Credit Report Errors: Mistakes on your credit report could lead to credit rejections. Hence, it’s crucial to review your report annually and report any discrepancies to the credit bureaus.

Understanding Credit Usage: Regularly reviewing your credit report can help improve your credit habits, leading to a better credit score over time.


Struggling with debt and its impact on your credit report can be stressful. However, with the right knowledge and guidance, you can navigate these challenges successfully. Remember, understanding what’s in your credit report and how it affects

Find Your Personal Debt Relief Solution

Licensed Insolvency Trustees are here to help. Get a free assessment of your options.

Discuss options to get out of debt with a trained & licensed debt relief professional.