November 01 2022
How can a car loan help build credit?
Not many people know that financing a car can actually improve your credit score and the trust you build with lenders. Credit scores in Canada are calculated based on five components: Credit Mix (10%), New Credit (10%), Length of Credit History (15%), Amounts Owed (30%), Payment History (35%). A number then gets calculated between 300 and 900, which is your overall credit score. It’s important to remember that these five components are calculated differently (although they’re calculated together to determine your overall score). For example,...
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