What lenders look at besides the score
Credit score matters, but it is one input. Lenders also read the report itself: how recent a missed payment was, whether a collection is paid, how close your balances sit to their limits, and whether there is a consumer proposal or bankruptcy and how long ago it was discharged.
Two people with the same score can get very different answers. A score pulled down by high credit card utilization is treated far more gently than one pulled down by a recent mortgage arrears or an unpaid judgment.
The three lender tiers
A lenders
Banks, credit unions and monoline lenders with the lowest rates and the strictest credit and income rules.
B lenders
Regulated alternative lenders that accept bruised credit or non-standard income, usually with a lender fee and a rate premium.
Private lenders
Short-term, equity-driven lending used to solve a specific problem, with the highest rates and fees.
The exit plan
B and private mortgages are meant to be temporary. The plan should name the date and the conditions for moving back to an A lender.
What it typically costs
Alternative financing costs more than an A mortgage - a higher interest rate, and usually a lender fee and broker fee expressed as a percentage of the loan. Those fees are disclosed in writing before you sign anything, and in Ontario mortgage brokerages are required to present them to you clearly.
Down payment or equity expectations are also higher. Many B lender programs want 20% down or 20% remaining equity on a refinance; private lending is priced off the equity left in the property.
No one can promise you an approval or a particular rate before your credit, income and property are reviewed, and this page does not do that.
Rebuilding toward an A lender
Pay on time, every time
Payment history carries the most weight. A clean twelve months changes the conversation.
Drop your utilization
Keeping revolving balances under roughly 30% of the limit lifts scores faster than closing accounts.
Keep accounts open
Closing an old card shortens your credit history and can lower the score.
Clear collections
A paid collection still shows, but unpaid items block most A lender approvals outright.
Leave room before applying
Multiple applications in a short window add inquiries. One organized submission is better.
Review before renewal
Start the A lender conversation about four to six months before the alternative term ends.
Where to start
Send in the online application with your real numbers, including the credit issues. A file that is described accurately up front goes to the right lender the first time, which protects your credit report from unnecessary inquiries.
Next step
The online application takes about five minutes. Once it is in, we book a short call to go over your goals, your timeline and the options that actually fit.