本文发表在 rolia.net 枫下论坛OK, say your credit rating is ruined -- perhaps your business failed or your spouse/partner defaulted on some debt and, although you had signed as a guarantor, you were unable to repay and the financial institution (lender) had to write off the balance.
First, you can easily find out how bad it really looks by checking your credit file with either of the two credit bureaus in Canada. Simply contact them and request a copy of your file.
Generally, the credit rating of your debt falls into a simple pattern based on a zero-to-nine coding system. For example, a credit card debt, known as 'rotating' credit (since, in theory, you charge to the card and then repay it, and then charge again, thus rotating debt on and off the card) may carry a rating of R1. This means that the credit is paid as required (either in full or the minimum payment) as it is billed every 30 days. An example of a poor rating on a credit card would be R3, meaning that your payments are about three months behind.
Instalment debt is rated using an I-code. I1 means the loan is paid properly, while I3 means you are three payments overdue. Both R9 and I9 are the worst possible ratings in these categories, and indicate that the debt has been written off. Even showing a history with a couple of R3s or R4s is often enough to cause many lenders to decline a loan, insist on additional security or ask you for a co-signer.
And, yes, we Canadians certainly do run delinquent balances on their credit cards. According to the Canadian Bankers Association, at the end of 1999, about 333,000 bank credit cards were overdue 90 days or more. Further poor payment patterns can also be seen with retailer-sponsored credit cards such as The Bay and Canadian Tire.
While there are often extenuating circumstances surrounding a poor payment record, the system does not necessarily take this into account. Much of the information you will find is automatically generated and reported to the credit bureaus regularly. So if your credit card is running at R6 because you have been in the hospital, only the debt lag will be reported and recorded on your bureau -- the circumstances are left for you to explain. It is important to maintain a good credit rating, and if yours has fallen victim to catastrophic job loss or some other such influence, it makes perfect sense to try to repair it.
Of course, if you were one of the 75,000 Canadian consumers who declared bankruptcy in 2000, then you will need to wait until your bankruptcy is discharged before you can start borrowing again. On the other hand, many consumers may not have declared bankruptcy, nor does it make sense for them to do so. Rather, they have simply been chronically late with payments and now have trouble qualifying for another loan or a credit card.
First, beware of the frequent ads for 'instant credit' or 'credit rescue' -- there have been many instances where desperate consumers have applied through one of these ads only to find the 'administration fee' or 'application fee' of $200 or $300 is lost, and no loan or credit is forthcoming. Most direct lenders do not charge for an application. As the saying goes, there is no free lunch -- no one can wave a magic wand and absolve the credit history you have established. You are the only one who has the ability to fix your problems. Here are some tips to help you do so:
* Talk to the lender at your financial institution to see specifically what steps you can take, together, to rehabilitate your credit-worthiness.
* Pay off any credit cards you still have and re-establish a 'current' footing with them.
* See if your bank will give you a credit card with a very low limit ($300 to $1000); if it will, use the card wisely and make sure it is always paid on time. This will indicate that a trend has passed and a good credit history is being established.
* You may be able to obtain a credit card from the bank or even a small bank loan by having a friend or relative co-sign for the application. Repay the loan quickly to begin showing positive reports to your file.
* Perhaps you could get a credit card from the bank by providing the bank with cash equal to the amount of the credit limit they will grant you (if you think a bank credit card is unnecessary, try arranging a rental car or hotel accommodations without one).
* Learn about the most common 'credit criteria' that lenders use to grant credit, and attempt to position yourself as well-established as possible. For example, stability factors such as how often you move or change jobs are quite important.
* If you are married or in a partnership relationship and have a spouse or partner with poor credit, you can insist that your credit bureau files be kept separate so that your good credit rating does not become tainted. In this case, assuming you did not sign for any of the delinquent debt, it is important to keep a close tab on your credit bureau file to ensure that none of the credit problems get moved into your file by accident. You may also wish to confine your future borrowings and credit cards to your name alone, rather than setting up any joint debts.
* If you can afford to do it, you might even consider borrowing a small loan at the bank (say, $1,000) and repaying it over a year. You can use the borrowed money for an investment and pledge the investment vehicle (term deposit, Canada Savings Bond, mutual fund, etc.) as collateral for the loan. Most bankers are quite approachable with this strategy, and some or all of the interest cost on the loan will be tax-deductible for you, depending on the nature of the investment purchased.
Once you have re-established a credit-worthy name, continue to use credit wisely and cautiously -- remember, a good credit rating is a valuable component of your overall financial health. Your credit rating can be the key to that new home, new car loan or lease, the renewal of some forms of insurance, and in some cases, it can even determine your status for a new job.
Demonstrating a lack of credit-worthiness can ultimately be very expensive, as you will be categorized as a higher risk by the lender, and likely be charged a higher interest charge. Conversely, a good credit rating can save you a lot of money in the long run.更多精彩文章及讨论，请光临枫下论坛 rolia.net