Checking your credit scores and reports regularly is a healthy financial habit all Canadian borrowers should have. This will allow you to make sure all the information on your report is correct and even monitor for signs of identity fraud.
However, if you’ve checked your credit score before, you may have noticed that it differs slightly depending on the source you check. Why is that? And why do you have more than one credit score in the first place?
Key Points
| Can you have more than one credit score? | Yes, you may have more than one credit score. |
| Why do you have different credit scores? | There are multiple reasons your credit scores are different on different sites including, different credit scoring models, mistakes on your credit report, and discrepancies in data with each credit bureau. |
Why Is My Credit Score Different On Different Sites?
In Canada, you can check your credit score from the two major credit reporting bureaus, your bank, or a third-party credit score provider. It’s possible that you would see different credit scores from each of these different sources. There are several reasons for this:
Multiple Credit Scoring Models
There are a few types of scoring models, and depending on which model the credit bureau or credit score provider is using, your credit score may differ. Further, while five common factors are used to calculate all credit scores, different scoring models may give slightly different weight to each factor.
Difference In Lender Reporting
Not all lenders and creditors report to both credit bureaus, and some may not report at all. That means the information included in your Equifax and TransUnion credit report can be different. This discrepancy in information can lead to different credit scores.
Information Reported At Different Times
If you check your credit score at different times in the month, you will likely see a discrepancy because of the variance between when certain information is reported. Lenders and creditors may report information to each credit bureau at different times. This means one of your credit scores may be more up-to-date than another.
Fragmented Credit Reports
If your credit file becomes fragmented, it means that it’s incomplete. There could be multiple gaps of missing information in your file. Individuals who go by a different name than their original birth names tend to have fragmented credit reports. This occurs because the credit bureau has failed to combine your information related to both names, causing fragmented records.
What Is A Credit Bureau And How Do They Get Their Information?
A credit bureau is a company that collects information from lenders and creditors about a consumer’s credit history. They also collect information from courthouses and the office of the Superintendent of Bankruptcy. This information is used to compile a consumer’s credit report, which the credit bureaus will share with authorized third parties, like lenders and employers, in order to help them assess the consumer’s creditworthiness.
What Type Of Information Is Reported To The Credit Bureaus?
The two credit bureaus do not always receive the same information, since not all lenders and creditors report to both credit bureaus, as mentioned. In fact, some don’t report your credit information to either bureau, depending on their policies and preferences. In general, the credit bureaus will collect the following types of information:
- Personal details, such as your name, address, and employment.
- Credit tradelines, which show details about your credit account on your credit report.
- Credit inquiries, which happen when a lender or other entity checks your credit file.
- Public records, such as bankruptcies, consumer proposals, or accounts in collection.
Which Credit Bureau Is Most Important?
Between Equifax and TransUnion, neither bureau is better than the other. However, one bureau could be more favourable to you on an individual basis.
Since both credit bureaus have their own credit scoring model and have different information on you, the way they calculate your credit scores will differ. This typically results in one credit bureau scoring you higher than the other.
Where Can I Check My Credit Score?
You can check your credit score with a few resources, including the following.
Credit Bureaus
As mentioned, you can pull your credit file and check your credit score with one of the credit bureaus in Canada. With Equifax, you can check your credit score for free. If you live in Quebec, you can also get your TransUnion credit score for free, while all other Canadians are required to pay a monthly subscription fee to access their TransUnion credit scores.
How To Check Your Equifax Credit Score For Free
You can check your credit score for free with Equifax in the following ways:
- Online: Create an Equifax account online to access your credit score.
- Mail: Fill out this form and mail it to the following address:
- Equifax National Consumer Relations | Box 190, Station Jean-Talon | Montreal, QC, H1S 2Z2
How To Check Your TransUnion Credit Score For Free
If you live in Quebec, you can get your TransUnion Consumer Disclosure with your credit score for free by mail or in person.
If you live outside of Quebec, your TransUnion credit score and credit report are available as part of a subscription-based service, which costs $24.95 per month ($4.95 for the first month).
Banks
Canada’s Big Five banks offer credit scores for free to their clients:
| Bank | Credit Score Access |
| CIBC | TransUnion CreditView Dashboard via CIBC mobile app |
| RBC | TransUnion CreditView Dashboard via RBC online banking |
| BMO | TransUnion CreditView Dashboard via BMO online banking or mobile app |
| Scotiabank | TransUnion CreditView Dashboard via Scotiabank online banking or mobile app |
| TD Bank | Equifax credit score via Interac verification service |
Online Third-Party Resources
A handful of online resources are available that allow Canadians to check their credit scores for free. Here are a few of the top resources to check out:
| Cost | Credit Score | Credit Report | ||
 | Free | Yes | Yes | Visit Site |
 | Free | Yes | Yes | Visit Site |
 | Free | Yes | Yes | - |
Will Checking My Credit Report Hurt My Credit Score?
No, pulling your own credit reports will not have a negative effect on your credit scores. This type of credit check is known as a “soft inquiry”, which does not impact your score because it’s not related to any credit application. Plus, these inquiries are only visible to you on your credit report.
On the other hand, “hard inquiries” can negatively impact your credit score. These inquiries refer to credit checks conducted by lenders who check your credit report and score as part of a loan application process. Hard inquiries are visible to lenders and creditors and can cause your credit score to dip temporarily, though the effect is typically minor.
How Often Should I Check My Credit Score?
You should check your credit score on a regular basis. A good rule of thumb is to check your score at least once a year, especially since you’re entitled to your free report from the credit bureaus. That said, how often you should check your credit score depends on your situation and goals.
On a regular basis: You should pull your credit report regularly to make sure there are no mistakes and to stay up-to-date on your current credit health.
Before applying for a loan: It’s a good idea to check your score before applying for a loan, such as a mortgage, car loan, or credit card. This will help you better understand your ability to qualify for a loan and even negotiate better terms if you have a strong score.
If you’re trying to improve your score: If your credit score is on the lower end, you may be taking steps to improve it. If so, checking your score more frequently can help you keep track of your progress.
If you suspect fraud: Reviewing your credit report will give you a chance to spot any signs of fraud or identity theft. If you notice anything suspicious, you should report it to the credit bureaus immediately.
Bottom Line
Having multiple credit scores is very common. While it may seem problematic if one is lower than the other, in reality, it’s simply a result of the variance in the credit reporting processes and systems. It’s always a good idea to monitor both reports and check your credit scores on a regular basis to see where you stand at any given time.
