How to Fix Bad Credit in Toronto

Bad Credit

Table of Contents

Living with bad credit in Toronto is not fun. It can impact every aspect of your life and finding ways to fix your bad credit is an important part of your financial well-being.

People with bad credit may find it harder to:

  • get loans
  • find a place to rent
  • get credit cards
  • get mortgages and
  • in some cases – find employment.

If they are able to get loans, or credit – they may end up paying higher than standard interest rates.

What is Bad Credit?

Bad credit refers to a poor credit rating or poor credit history.

On our Credit Rating and Credit History information page we discuss what a credit rating is, how it is determined and some of the things you can do to build a good credit history.

Basically, a credit rating is an evaluation of your credit history by your creditors, who pool your credit information.

The two main companies in Canada that gather credit information are Equifax and Trans Union. As well as creditors, Equifax and Trans Union receive information from collection agencies, banks and the Government (re the status of Bankruptcies and Proposals).

In addition to the amounts you have borrowed or have available to you, creditors report on:

  • when you miss or are late with payments,
  • when your debts have gone to collection, and
  • when you have been denied credit.

Your bank will also report on any NSF cheques you have issued.

Can Bad Credit in Toronto be Fixed?

Yes – but it takes time and effort. Even the worst credit rating can be turned around – in time. However, it means making and keeping a commitment to using credit wisely.

Start by getting a copy of your credit history from Equifax and Trans Union. Check it thoroughly and report any errors you find.

Then commit to:

  • Making all your payments in full and on time – every time.
  • Getting and keeping your spending under control.
  • Paying down your debts as soon as possible – make getting out of debt a priority.
  • Avoiding over use of credit – develop a cash-is-better attitude.
  • Checking your credit history every year to make sure there are no errors.

Will a Bankruptcy or Consumer Proposal Ruin a Credit Rating?

Usually, by the time a person files for bankruptcy or a consumer proposal, their credit rating is already very poor.

The good news is, once a first-time bankruptcy is successfully completed, it will only remain on a credit history for six to seven years. Once a consumer proposal is successfully completed, it will only remain for three years.

If you are considering bankruptcy or a consumer proposal, you need to speak with a Licensed Insolvency Trustee. We will examine your financial situation and discuss all of your options with you.

Take Your First Step Towards A Debt Free Life

If you are overwhelmed by debt, call us at 1-844-962-9200 to book a FREE, confidential appointment. We will review your financial situation in detail and discuss all of your options with you. Alternatively, you can fill out the form below and our team will reach out to you. 

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Jerry was professional and was easy to deal with
Debbie Asquith
00:09 29 Nov 22
I was quite nervous and a little embarrassed that I needed financial advice. I met with Jerry Janiec and he was very helpful. He made me feel comfortable and explained everything in easy to understand terms so that I understood what my options were. I would recommend David Sklar & Associates for anyone in my position.
Melissa Blackburn
19:53 17 Nov 22
I was fortunate enough to be referred to David Sklar & Associates Inc. by a family member. Now in the10th month of a Consumer Proposal process, I am very impressed with the organization, professionalism and impeccable customer representation that I have experienced. To this effect, I amparticularly thankful to Jerry Janiec and Rhoda Lewis for their excellent work.
Suzanna Vaclavik
12:21 16 Nov 22
Recently dealt with Christine at David Sklar & Assoc. and worked out a Consumer Proposal to put forth to my creditors for my Credit Card debt. She was very courteous, professional and put me at ease with a proposal that I can afford on a monthly basis, which will eliminate my debit in a reasonable timeframe. I would recommend Christine and this firm in a heartbeat. Very happy with the service and attention I got !!
Patrick Kovanchak
01:59 15 Nov 22
Excellent customer service. Special thanks to Olga for being prompt and helpful. She’s a star. Bibi is helpful as well. Great agency to work with.
Fady Tadros
19:28 14 Nov 22
After seeing your commercial play on CP24, I realized that it addressed all the questions and concerns I had about my financial situation. It all started with my one phone call to your office. I had the extreme pleasure of working with Cori Naron at your St. Clair West office in September 2022. She took the time to explain what my options were knowing that it was a very stressful situation with my debt load. She made me feel at ease with my decision to file a consumer proposal and outlined the benefits to me. She is thorough and her attention to detail is outstanding. While it takes a little while to reap the benefits of making this hard decision, she took the time to reassure me that it was in my best financial interest. Well done David Sklar & Associates for having such an amazing representative at your company and for allowing me to "get a fresh start"!
David
14:31 14 Nov 22
Very highly perfection individual, well executed and greatly knowledgeable in his work, which guided me me the right decisions making opportunities. Thank you.Sincerely, Peter Romasz
Peter Romasz
20:18 13 Nov 22
Trina Powell was very helpful and made the process very easy. Thanks again for all your help.
Jennifer Hager
17:59 06 Nov 22
Jerry is a caring, trustful, knowledgeable and competent Sklar associate. He understood my needs and quickly went to work on my behalf. Ever indebted to David Sklar and Associates and especially to Jerry for his professionalism and caring approach.
David Craig
19:31 31 Oct 22
Jerry Janiec is very knowledgeable and very helpful everything he explained to me was straightforward and very easy to understand. I'm very pleased to be working with Jerry to become debt free. I will definitely be recommending to any friends or colleagues your services.Thank you again for helping me get on the road to be debt free. 5 Stars is well deserved.
Christopher Rakobowchuk
17:41 27 Oct 22
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