“The loftier the building, the deeper must the foundation be laid.”
— Thomas à Kempis

Look at any skyscraper and it’s easy to focus on what you can see. But long before the glass, steel and impressive design, there was a plan—and a great deal of work happening below ground.

Building—or rebuilding—your credit is surprisingly similar. The everyday decisions may not seem significant at the time, but together they create a financial foundation that can support future plans, whether that’s buying a home, refinancing a mortgage, financing a vehicle or making another major purchase. So, if your future plans are still a year or two away, what can you be building today?

Survey the site: know where you’re starting. Before construction begins, you need to understand the ground you’re working with. Your credit report provides a similar starting point, showing your accounts, balances and payment history. Reviewing your reports regularly can help you spot errors or unfamiliar activity before you’re in the middle of a financing application. Checking your own credit report does not hurt your credit score, and in Canada you can access your reports from Equifax and TransUnion.

Pour the foundation: make payments consistently. A skyscraper needs a foundation capable of supporting everything above it. With credit, your payment history is an important part of that foundation. Paying bills on time helps establish a record of responsible credit management. If you can’t pay your credit card balance in full, making at least the required minimum payment on time (or early!) is important. Like concrete, consistency becomes stronger when it’s built up over time.

Leave room in the structure: manage your available credit. Engineers don’t design a building to operate permanently at its absolute limit. Your credit deserves some breathing room too. Regularly carrying balances close to your credit limits can affect your credit profile. The Financial Consumer Agency of Canada suggests trying to use less than 30% of your total available credit.

Add floors thoughtfully: be selective about new credit. A taller building isn’t necessarily a better building—and having more credit isn’t automatically better either. Applying for several credit products within a short period can result in multiple credit inquiries. Rather than adding accounts simply to try to build credit faster, think about whether the credit actually serves a purpose in your overall financial plan.

Maintain what you’ve built. Strong buildings require ongoing maintenance just like healthy credit habits do. Review your credit reports periodically, keep an eye on balances and think carefully before closing a long-standing account or applying for something new.

There’s no need for perfection. The goal is to build a consistent track record over time.

To summarize the key aspects of building strong credit, I suggest using this blueprint as your guide:

• Know the site: Review your credit reports and understand your starting point.

• Strengthen the foundation: Make payments on time and keep balances manageable.

• Allow breathing room: Avoid regularly using a large portion of your available credit.

• Build with purpose: Apply for new credit thoughtfully rather than simply adding more.

• Maintain the structure: Check in on your credit regularly, especially as future financial plans get closer.

Remember, your credit score isn’t the whole building. When it comes to mortgage financing, lenders consider more than a single number, and the score you see may not even be identical to the score a lender uses. Your credit is one part of your broader financial picture. That’s also why it can be helpful to talk about your plans before you’re ready to make a move. If buying a home, renewing or refinancing a mortgage is somewhere on the horizon, an earlier conversation gives us time to look at the overall structure and identify anything that may deserve attention.

The goal isn’t to build perfect credit overnight. It’s to create a stronger foundation, one good habit at a time, so when the next opportunity comes along, you’re better prepared for whatever you’re ready to build next.

If you’re thinking a year or two ahead, I am always happy to help you understand how your credit and mortgage planning can work together.  Reach out anytime!

Sources: Financial Consumer Agency of Canada (FCAC), Credit Reports and Scores; Improving Your Credit Score; Checking Your Credit Report for Errors and Fraud. Credit bureau and lender practices can change, and individual circumstances vary.