Canadians with stronger financial literacy are better able to make more informed borrowing decisions and are more likely to save money, have a budget and keep their finances on track. As a result, they generally have higher credit scores and lower levels of debt, which makes it easier to achieve the following:
Accessible credit - With a good credit score (<660) and an overall healthy financial situation, Canadians will be able to access a variety of credit products from banks, credit unions or lenders.
Higher loan amount - In addition to a healthy credit score, a person’s current debt level is an important factor their lenders will consider when setting borrowing limits. The lower a borrower’s debt level, the more they’ll be able to borrow.
Lower rates - The ability to qualify for lower rates can help Canadians save hundreds if not thousands of dollars in interest. By adopting better financial habits and improving their credit scores, more Canadians will be offered lower interest rates.