Now is the perfect time to start to assess your personal situation and create a path to help you get into your own home sooner. When starting your journey to home ownership, it is important to know your credit score and understand how you can improve it.


The credit score is also referred to as a FICO Score and is a mathematical formula. The credit score is used by most companies and banks to see if you are a good credit risk or not. Equifax and Trans Union will crunch the numbers from the credit report, and determine a number somewhere between 300 and 900, or even no number or R for Rejected. A score over 680 is considered very good.



Certain Public Records will show on your credit report and can greatly effect your score for the set reporting timelines. Some important one’s to be aware of are:

Bankruptcy: A bankruptcy automatically purges six years from the date of discharge in the case of a single bankruptcy. If the consumer declares several bankruptcies, the system will keep each bankruptcy for fourteen years from the date of each discharge. All accounts included in the bankruptcy remain on file indicating “included in bankruptcy” and will purge six years from the date of last activity.

Voluntary Deposit: Orderly Payment of Debts, Credit Counselling. When voluntary deposit – OPD – credit counselling is paid, it will automatically purge from the system three years from the date paid. 

Registered Consumer Proposal: When a registered consumer proposal is paid, it will automatically purge three years from the date paid.

Judgments; Seizure of Movable/Immovable, Garnishment of Wages: These items will automatically purge from the system six years from the date filed.

Secured Loans: A secured loan will automatically purge from the system six years from the date filed. 

Collection Account: A collection account under public records will automatically purge from the system six years from the date of last activity.

With your credit score being responsible for a large part of approval with any loan or mortgage, everyone needs to be personally accountable for understanding their score, maintaining its accuracy and actively working towards improving it. If you are looking for more ways to improve your score, or would like information on how your current score would effect your mortgage approval, contact me.

Bailey Coats

Mortgage Broker

Lic. #316964

Straightforward Mortgages Across The Lakeland & Surrounding Communities

Each Mortgage Centre office is independently owned and operated.

The Mortgage Centre We Connect 

Head Office:

#21 - 201 McLeod Ave
Spruce Grove, Alberta

T7X 2K6

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