Your credit score is fluctuating for a variety of reasons.
Your credit score can have significant or insignificant fluctuations monthly, and these fluctuations can be from a variety of reasons.
- Differences among the credit bureaus: TransUnion and Equifax are the two credit bureaus in Canada and might use different scoring systems, which can lead to fluctuations.
- Aging of negative info: with time, negative information isn’t as relevant to your score, and is no longer calculated, which could improve your score.
- Payment history: your payment history plays a huge part in calculating your score. Late or regular payments will affect your score monthly
- Debt to credit ratio: also known as credit card utilization. The higher the rate of your credit limit used, the lower your credit score is. The lower your usage, the higher your score.