Ways to build your credit score

Strengthen your credit today, reach further tomorrow.

When you have strong credit, applying for mortgages, loans, and credit cards becomes easier and sometimes even cheaper.

Ways to build credit for everyone.

Depending on your situation, we offer classic and alternative ways to build your credit score with ease.

Specialized credit building

We’ve designed bespoke, low-risk ways to build credit no matter where you’re at. Specialized credit builders are a good fit if you’re:

Rebuilding credit after past challenges
Struggling to get approved for traditional lending products
Cautious and want more structure and safeguards

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Explore our credit builders

Classic credit building

The most basic ways to build credit are through regular credit cards or lines of credit. When used properly, by paying off what you owe regularly, you can build credit history and improve your score. These are a good fit if you:

Have healthy and consistent budgeting and spending habits
Feel good about paying off your balance every month and comfortably live within your means

Explore credit cards

Explore lines of credit

Give your credit a boost.

The traditional banking system around credit is tricky to navigate. You need to have good credit to be given credit, but you need to be given credit to build credit in the first place.

We’re solving that. If you’re struggling to get approved or rebuilding credit, we offer alternatives with: 

No credit check
No application fees
Lower risk compared to traditional borrowing
Options to build credit while earning interest, shopping on a credit card, or without making deposits

Meet with us to see if specialized credit builders are right for you. There’s no commitment. We’ll explore your options and decide what’s right for your situation together. 

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WHY GOOD CREDIT MATTERS

Want to own a home or start a business one day? Good credit makes you more likely to succeed when applying for lending.

Specialized credit builders fit for your routine.

I want to build credit while…

Saving and earning interest

With a secured loan and term deposit¹, you make deposits up to a set amount over a fixed period and receive it back with interest at the end. These regular deposits translate to a form of credit history.

How it builds credit:

On paper you’ll receive a 0% interest loan. You then make regular deposits, which are essentially treated as loan repayments, which demonstrate your ability to pay back credit. These regular payments translate into a form of credit history that build your credit score.

Unlike a regular loan, we aren’t lending you money directly. Instead money from the loan is automatically invested in a term deposit. That’s why at the end, you get all of your deposits back, plus interest, while building credit. 

What to expect: 

During set up, determine a schedule for making regular payments up to a set amount over a specific timeframe. Choose either $260 over 12 months, or $520 over 24 months.
Make regular payments according to the schedule.
At the end, receive back all of your payments with interest.

Shopping with convenience

Use a secured credit card² like a regular credit card to build credit with a controlled limit. With a secured card, your credit limit is based on the amount you deposit to a term deposit or savings account.

How it builds credit:

Using a secured credit card builds credit history based on your ability to spend with a structured limit.

Credit card best practices, such regular repayments, still apply and contribute to your credit score. 

What to expect:

Apply for a secured credit card, a version of any of our regular credit cards.³
Secure your credit by depositing a minimum of $500 into an eligible savings product.
Your credit limit is determined by how much you’ve put in the savings product.
Every month, pay off your credit card just like a regular one or be charged interest for unpaid balances.
Deposits in the eligible savings product earn and pay out interest as it normally would too.

Having access to extra cash without making a deposit

With a partially held line of credit³, access up to $150 if you dip below your deposit balance in your chequing account. Borrowing from and repaying this extra amount helps build your credit history.

How it builds credit:

Using a partially held line of credit can create a history of reliable repayment.

Also, because you’re only given access to 30% of the whole credit, it builds a history of a healthy credit utilization rate.

Both repayments and utilization rates are important factors in credit scores. 

What to expect:

Meet with us to set up a partially held line of credit with a maximum accessible value of $150.²
It is “partially held” because while the line of credit is technically for up to $500, you can access up to 30% of it.
Like a regular line of credit, you can borrow and repay the accessible amount as you need it.
For amounts borrowed, you’ll be charged {{Personaline}}% interest.
When you don’t borrow anything, there are no fees.

Book a consultation

Eligibility and FAQ.

To qualify for the specialized credit builders, you must:

Simply having these products does not guarantee any specific credit score improvement, future borrowing capacity, credit approval, or financial outcome.

Our credit builders are made to give you a channel to establish a history of borrowing within your means, and making timely payments. We report your usage and payment activity to Equifax Canada, who then uses it update your credit score.

It’s up to you to borrow responsibly. Missing or making late payments, can decrease your score.

Our credit builders are not meant to replace debt counseling, debt management, debt settlement, or debt consolidation. When you meet with us, we can help you gain clarity on your situation and provide options to consider.

Vancity is not responsible for delays, inaccuracies, or scoring changes resulting from actions taken by Equifax, other credit reporting agencies, or third-party lenders. Reporting timelines may vary.

Credit bureaus, like Equifax and TransUnion, calculate your credit score by looking at several factors that show how you manage credit.

Factors like paying on time, keeping balances low, maintaining a mix of credit products, and building a long credit history can all contribute to a stronger score.

Late payments, missed payments, defaults, collections activities, or account closures may negatively impact your score.

Understanding these factors can help you make informed decisions and build healthy credit habits over time.

Learn more about how credit scores are calculated

There is no cost to apply for these products.

As for monthly fees, secured term deposit/loan and line of credit do not have monthly fees and secured credit cards have options with and without monthly fees.

Missing or late payments can negatively affect your credit score and could remain on your credit report. Missing a payment could also result in you paying extra interest or fees.
Learn about interest-free grace periods and how credit card interest works

You may have no credit history if you’re new to Canada, young, or simply haven’t used something like a credit card or line of credit before.

You don’t need a credit history to open any of our specialized credit builder products or classic credit builder products like credit cards or lines of credit. They’re made to help you build a history!

Learn how to build your credit score and credit history

You can close a credit builder product at any time.

At closing, any outstanding balance will be paid from the secured portion of your funds first. Any remaining secured funds will be released to your main account.

Processing times and any fees are set out in the product agreement of the individual product you are using.

Get tailored advice.

Meet with our pros and get a plan for improving your credit today.

Book a call

Subject to applicable law, eligibility requirements, product features, terms, and availability are subject to change. Vancity reserves the right to approve, decline, modify, suspend, or discontinue products in accordance with applicable laws and internal policies.

¹ This is not a cash loan. No interest charges apply. Loan proceeds are held as security in the form of term deposit while repayment activity helps build credit history.

² Access a credit card using your deposited funds as collateral. View secured credit card details

³ $500 personal line of credit where $350 (70%) is held and $150 (30%) is available for use at standard personal line of credit interest rates. View line of credit rates

*Trademark of Visa Int., used under license

Ways to build your credit score

Ways to build credit for everyone.

Specialized credit building

Classic credit building

Give your credit a boost.

Want to own a home or start a business one day? Good credit makes you more likely to succeed when applying for lending.

Specialized credit builders fit for your routine.

I want to build credit while…

Saving and earning interest

Tell me more

Shopping with convenience

Tell me more

Having access to extra cash without making a deposit

Tell me more

Eligibility and FAQ.

Who is eligible for specialized credit builder products?

Are these products guaranteed to improve my credit?

What impacts credit score?

Are there fees to apply or monthly fees?

What if I miss a payment?

What if I have no credit history?

How can I stop using a credit builder?

Get tailored advice.