7 surprising facts about your credit score

Having a solid credit history with a good credit score can open doors to lower interest rates and other benefits. But what exactly is a credit score and how can you improve it if it's lacking?

A credit score is a three-digit number that lenders use to assess your credit worthiness. The lower your score, the riskier you're considered. There are a variety of credit scores that use different formulas. Canadian credit scores range from 300 to 900 points and are produced by lenders and credit reporting agencies under different brand names, such as Beacon and FICO.

The exact formula that a credit bureau applies to calculate your score is a closely guarded secret. But the Financial Consumer Agency of Canada (FCAC) says top factors include your payment history, the percentage of your available credit that's in use, the length of your credit history, the types of credit you have used and the number of credit inquiries on your record.