What credit score do B lenders require?

Quick answer

There is no single score that answers this for every lender; the credit history behind the score and the rest of the file matter. This is a common question for Ontario borrowers whose finances do not fit a standard bank application. In this case, the useful starting point is the reason a conventional application may not fit and which lender type is designed to assess that exact issue.

There is no single B-lender cutoff

In practice, alternative lenders use different scorecards and may place different weight on the reason for poor credit, how recent it is, and whether the borrower has re-established payment history.

A score needs context

From an underwriting perspective, a borrower with a modest score caused by high utilization can be different from someone with recent unpaid collections or mortgage arrears.

Other strengths can matter

For this particular question, income stability, down payment or equity, property quality, and a reasonable debt picture may help support a file that does not meet prime credit standards.

What can improve the result

Consider a self-employed borrower whose tax returns show modest personal income because of legitimate business deductions. A B lender may have a program that evaluates the business more flexibly than a prime bank.

Documents to have ready

• A current credit report and explanation for major negative items
• Recent income documents and proof of employment or business activity
• Statements showing down payment, home equity, or existing mortgage balances
• A list of monthly debts and any amounts that will be paid out at closing