Posts Tagged ‘Credit Score’

Teach kids early about money responsibilities

October 3rd, 2014 No comments

calculatorMany of us agree that it takes decades, if not a lifetime of trial-and-error to master sound money management – so let’s make it easier for our kids. November is Financial Literacy Month across the country and that presents an ideal opportunity for families to explore ‘teachable moments.’

“Attaining financial literacy is often one small step at a time, but each experience adds to our knowledge, skills, and confidence with day-to-day money decisions,” says Tony Garcia, president and CEO at ForestersTM, an international financial services provider known for its commitment to enhance family well-being. “Those skills are fundamental to the well-being of families – and of course, children do learn quickly by example.”

Since the average lifestyle today must deal with an increasing number of financial decisions at an ever-younger age, it is an eye-opener when Canadians admit to significant money challenges from reading financial statements, to managing credit cards, to planning for retirement.

Did you know, for instance, that 38 per cent of households say they do not follow a budget, according to an ABC Life Literacy survey conducted by Ipsos Reid1? This number won’t improve if children in those homes grow up to do the same.

“Parents are exacting on some things, like arranging for life insurance to replace lost income in the event of their death, but they may miss those little opportunities, like involving children in adding and subtracting household money,” Garcia continues. “The key to raising money-smart kids is to involve them in some of the day-to-day money decisions.”

Foresters, which provides its members with access to competitive scholarships and emergency assistance grants2, and is also known for building playgrounds and providing funding and volunteer opportunities for organizations like Ronald McDonald House Charities®, has posted some valuable tips (at for guiding children towards healthy financial habits, including:

  • Talk to young kids about the family grocery budget in the supermarket
  • Link their allowance to household chores so it shows the connection between money and work
  • Explain to teens the difference between needs and trendy ‘must-haves’
  • Ask for a contribution to their expenses (like cell phone bills and sports) if your teen has a part-time job
  • Demonstrate caution with a first credit card, explaining how interest is charged and the consequences of not paying the monthly balance
  • Show young adults how to manage their cash flow and stick to a monthly budget
  • Clearly define the repayment terms and conditions if you make them a loan.

What’s in a Credit Report

February 15th, 2009 No comments

What is used to calculate my score?


Your payment history, on your credit cards and loan repayments ie. Car loan, student loan. Missed payments are reflected on your credit bureau which impacts your credit score negatively.

Collections show up on your credit bureau ie. Cell phone and utility companies do not report monthly to your credit bureau however if you have a delinquent account with them they report the collection to the credit bureau.  I have also seen unpaid rents and unpaid family responsibility.

To obtain your credit score the scoring system looks how close you are to your credit limit.  Ie. If you owe more than 50% of your limit, slight impact on your credit score, if you owe more than 80% a greater impact.  I have seen a client’s credit scores go down 100 points as she was over the limit on her credit card.

The credit bureau also looks at how often you are looking for new credit and the length of time you have had credit.


For further information on your credit bureau or to order a free credit report which you will receive via Canada Mail visit  this form can also be found on my website


Written by: Charmaine Idzerda (AMP) Mortgage Broker

Verico Designer Mortgages Inc. 

Tel. 1.866.824.8057

Categories: Mortgages Tags: ,