Your Credit Score

The Credit Score is a numerical representation of your current and past credit and can range between 300 (the lowest score representing the worst) and 900 (the highest score representing the best). There are currently two reporting agencies operating in Canada, Equifax and TransUnion. Equifax’s credit score is called the Beacon while TransUnion’s credit score is called Empirica, but both scoring models are based on the FICO (Fair Isaac Company) model in the United States.

Credit scoring has an enormous impact on your financial picture. For a lender, your credit score plays a significant factor in the decision to lend you money, and in determining the terms and conditions of your loan.

Debt Service Calculator

This calculator will help you compare the level of your monthly debt and housing expense payments to your gross monthly household income. Your Mortgage Professional will perform this assessment when qualifying you for a mortgage.

Mortgage Terminology

Deciding which type of mortgage is right for you will depend on what you can afford. Prepayment privileges are another important part for borrowers to consider. These arrangements allow you to pay money against the principal, reducing the total amount of interest you'll ultimately pay.

Amortization refers to the time period in which the mortgage is assumed to be paid. A common amortization period is 25 years. This means interest and principal payments are set as if you were paying the amount borrowed over a 25 year payment schedule. Obviously, the shorter the amortization period, the less interest you will pay. Learn more about arranging mortgage options available and get familiar with mortgage terminology.

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