You've likely heard that the big six banks have offered to work with Canadians, on a case by case basis, to defer mortgage payments, loans and credit card payments.
But the big question is, will this hurt your credit score?
For an answer, I checked in with Julie Kuzmic, Director, Consumer Advocacy at Equifax Canada Co.
Julie states:
The bureaus aren’t allowed to make unilateral changes to the data that is reported to us. We are dependent on the lenders and creditors to report the data accurately. In this time of Coronavirus, any lenders or organizations which report account data to credit bureaus are responsible for sending us information in alignment with the commitments they have made to their customers. In other words: if your lender has given you permission to make late payments without penalizing you, they should not be reporting your account to the credit bureaus as overdue.
Credit files are now available for free instantly on both Equifax and TransUnion’s websites. Highly recommend that people check their credit files to make sure their accounts are reporting accurately. Don’t hang up with your bank after arranging new payment terms and then look for the information right away on your credit file. It could take 30 days before the next update is sent to your credit file.