Knowing your credit score and actual credit status is vital to any financial decision. Either for a credit card, a mortgage, a credit line, or any kind of loan, such as an actual car lease, it is essential to be aware of it. In a recent study, Canada's credit market may be at risk of falling into a crisis due to the overall maximized status of the average consumer credit cards/lines related to the GDP of the country. If you kind of fall on this category, and even if you don't, knowing your score is the first step to start building up back your financial "prestige" and be more predictable with your economic future.
Know your Score Now
It will be the easiest and fastest way to "remember" who you are in front of a bank and start being responsible for it, today. If you don't pay bills on time, are lazy returning your debts and pay only interests, it will be harder for you to grow financially and arrive at a peaceful retirement age. Remember, we will all get old and die someday. Don't let debts drown you down.
Be responsible for your financial situation and start by getting your Free Equifax Credit Score right now with Borrowell Canada, our partner agency:
Know if it is Worth for You
If you are considering making a serious financial decision, like going after a new car, be aware of your credit score before doing anything else. Many people have been involved in disappointing situations like selling their current car and then going to a dealership to later figure out, the rates available for them are way higher than expected, just because they didn't know ahead.
I suggest you read about this topic, we have multiple articles about, but these will guide you to the basics you need to be aware of regarding this topic:
- Is 700 a Good Credit Score in Canada?
- Is it Worth to go On a Car Loan?
- Bad Credit Car Loans Canada: All You Need to Know
- New Car Leasing vs. New Car Financing: The Math
- Leasing is Better Than Financing Unless You Drive More than 385Km/week
- Leasing a Car for your Daughter/Son is the Best Way to Go
- Leasing a 350CAD/month SUV is the Same as Buying a 16.000 Used One
Play with the Alternatives
I would suggest anyone into getting a financial calculator. In the end, it is all that the world is about when it comes to finances. Financial Calculators are very helpful when studying options, predictions and even to prepare for a negotiation. I would say it has saved me tons of times to know ahead of a meeting, what different scenarios will result in the outcome of all possible interest rates: Would I be able to accept a 4.9%? Would a 1% interest rate work in my favor?
A while ago, at LeaseCosts we introduced an Equated Monthly Installment Calculator (also known as a Car Loan Calculator). I kindly invite you to play with it and study all possible outcomes from your future loan negotiation.