Skip to main content
YieldMaple
Open menu

money management

KOHO Credit Building Review 2026: Is $10 a Month Worth It?

By Alex Francisco Updated Figures checked 5 min read

How does KOHO Credit Building work, and what does it cost?

KOHO Credit Building costs $10 a month before plan discounts and reports on-time payments on a $225 no-interest line of credit to Equifax and TransUnion, with no deposit and no hard credit check. Plan discounts are 30% off on Extra and 50% off on Everything (no discount on Essential). KOHO reports an average score gain of +74 points, but only for users who started at a score of 450 or under and used both Credit Building and Secured Credit Building for 12+ months with on-time payments, and says Credit Building is not a credit repair tool, and no improvement in credit score is guaranteed. YieldMaple checked KOHO's Credit Building page on October 7, 2026.

  • KOHO Credit Building costs $10 a month before discounts: 30% off on Extra and 50% off on Everything (no discount on Essential).
  • KOHO issues a $225 Credit Building line of credit at 0% (a no-fee, no-interest line of credit), with guaranteed approval, with no deposit, no hard credit check and no application.
  • KOHO reports your Credit Building payment activity to both Equifax and TransUnion, per its Credit Building page on October 7, 2026; the score shown in the app comes from Equifax.
  • KOHO suggests keeping utilization under 10%, and there is no need to withdraw funds; you set a utilization rate at the start of each billing cycle.
  • KOHO reports an average score gain of +74 points, based on users who started at a score of 450 or under and used both Credit Building and Secured Credit Building for 12+ months with on-time payments.
  • If you draw on the line, the minimum payment is $67.50, or the full balance if you owe less, due 30 days after you draw on the line, then every 30 days while you owe a balance.

— YieldMaple, figures checked against official sources on October 7, 2026.

KOHO Credit Building is a subscription that gives you a small, no-interest line of credit and reports your on-time payments to Equifax and TransUnion. It is aimed at Canadians with no or thin credit history (newcomers, students) and people rebuilding. This review covers what it costs on each KOHO plan, how the line works, what KOHO’s own results claim actually measures, and how it compares with a secured credit card. It is general education, not financial advice.

YieldMaple checked KOHO’s Credit Building and newcomers pages on October 7, 2026: Credit Building is still $10 a month before plan discounts, with guaranteed approval, with no deposit, no hard credit check and no application.

KOHO Credit Building at a glance

KOHO Credit Building: key terms (checked October 7, 2026)
KOHO Credit Building: key terms (checked October 7, 2026)
Feature KOHO Credit Building
Price before discounts $10 a month (better on this row)
Plan discounts 30% off on Extra and 50% off on Everything (no discount on Essential)
Credit limit $225
Interest 0% (a no-fee, no-interest line of credit)
Approval guaranteed approval, with no deposit, no hard credit check and no application
Credit bureaus Equifax and TransUnion

Sources: koho.ca/credit-building, koho.ca/new-to-canada and KOHO's legal terms.

In plain sentences: KOHO Credit Building costs $10 a month before discounts, and the discounts are 30% off on Extra and 50% off on Everything (no discount on Essential). The line is $225 at 0% (a no-fee, no-interest line of credit), with guaranteed approval, with no deposit, no hard credit check and no application. KOHO reports your Credit Building payment activity to both Equifax and TransUnion.

How does KOHO Credit Building work?

KOHO opens a small no-interest line of credit in your name and reports your monthly payment record on it to Equifax and TransUnion.

KOHO describes the product as a dedicated tradeline (a line of credit) with no interest, on which you make monthly payments on time. The mechanics:

  1. You subscribe to Credit Building in the KOHO app, with guaranteed approval, with no deposit, no hard credit check and no application.
  2. KOHO issues a line of credit of $225 at 0% (a no-fee, no-interest line of credit).
  3. There is no need to withdraw funds; you set a utilization rate at the start of each billing cycle. KOHO suggests keeping utilization under 10%, which on the full limit means using under $22.50.
  4. If you draw on the line, the minimum payment is $67.50, or the full balance if you owe less, due 30 days after you draw on the line, then every 30 days while you owe a balance.
  5. KOHO reports your Credit Building payment activity to both Equifax and TransUnion, and the score shown in the app comes from Equifax.

Because it is a real line of credit with a limit, it can show a payment history, an account age and a utilization rate on your credit file. KOHO itself says the biggest score factors are payment history (35%) and credit utilization (30%), per KOHO.

How much does KOHO Credit Building cost?

KOHO Credit Building costs $10 a month before discounts, less on the Extra and Everything plans.

KOHO planPlan price (yearly billing)Credit Building price
Essential$0 a month if you deposit your paycheque or add at least $1,000 each month$10 a month
Extra$12 a month when billed yearly$7 a month
Everything$14.75 a month when billed yearly$5 a month

The discounts are 30% off on Extra and 50% off on Everything (no discount on Essential). At full price, a year of Credit Building costs $120. On the Extra plan, plan plus Credit Building comes to $19 a month, so the discount only saves money for people who want Extra’s other features anyway. KOHO says a free 30 day trial on all KOHO plans.

Does KOHO Credit Building actually improve your credit score?

It can, through on-time payment history reported to Equifax and TransUnion, but KOHO does not guarantee any score change.

KOHO’s headline figure is an average gain of +74 points. The footnote matters: that average covers only users who started at a score of 450 or under and used both Credit Building and Secured Credit Building for 12+ months with on-time payments. People starting from a higher score, or using Credit Building alone, are not in that group. KOHO also states that Credit Building is not a credit repair tool, and no improvement in credit score is guaranteed, and that missed payments can hurt your credit score.

On timing, KOHO’s newcomers page says it takes 6+ months to establish a credit score, and years to build excellent credit. KOHO does not publish a date for the first report appearing on your credit file.

KOHO Credit Building vs a secured credit card

The main alternative for credit builders is a secured credit card, where your own deposit backs the limit.

KOHO Credit Building vs the Secured Neo Mastercard (checked October 7, 2026)
KOHO Credit Building vs the Secured Neo Mastercard (checked October 7, 2026)
Feature KOHO Credit BuildingSecured Neo Mastercard
Deposit needed None (better on this row) Security funds from $50
Approval guaranteed approval, with no deposit, no hard credit check and no application guaranteed (conditions apply), because your own security funds back the limit
Credit bureaus Equifax and TransUnion Equifax and TransUnion
Interest 0% (a no-fee, no-interest line of credit) 19.99% to 29.99%, depending on Neo's assessment of your application on balances carried
Monthly cost $10 a month No subscription
Card for everyday purchases No (a small line of credit) Yes (better on this row)

Sources: koho.ca/credit-building and Neo's Secured Mastercard pages. Neo figures from YieldMaple's October 2026 check of Neo's site.

In plain sentences: KOHO Credit Building needs no deposit, while the Secured Neo Mastercard needs security funds from $50. KOHO reports to Equifax and TransUnion, and Neo also reports to Equifax and TransUnion. KOHO’s line charges 0% (a no-fee, no-interest line of credit), while Neo charges 19.99% to 29.99%, depending on Neo's assessment of your application on balances you carry. KOHO charges a subscription; the secured card is a real card you can use for purchases.

KOHO also sells a separate Secured Credit Building product: a deposit of $50 to $500, a limit equal to your security deposit, and a bundle fee shown in the KOHO app when you sign up (KOHO doesn't publish it on its website). The deposit is not insured by CDIC and its interest is kept by KOHO, so the deposit earns you nothing.

For readers with no Canadian credit history who want a real card instead, credit cards for people with no credit history covers newcomer and secured options, and the Neo Financial review covers Neo’s cards in detail.

What doesn’t KOHO Credit Building fix?

KOHO Credit Building does not remove past negative items or guarantee any score change; it adds one positive account.

  1. Past negative items stay. Collections, missed payments or a bankruptcy already on your file are not removed; KOHO says the product is not a credit repair tool, and no improvement in credit score is guaranteed.
  2. The in-app score is Equifax only. KOHO reports your Credit Building payment activity to both Equifax and TransUnion, but the score it shows you comes from Equifax, so a lender that pulls TransUnion may see a different number.
  3. Little added value with a strong file. Someone who already has several credit accounts in good standing gains little from one more small line.
  4. Other missed bills still count. On-time KOHO payments do not offset missed payments on other credit accounts.

How to sign up for KOHO Credit Building

  1. Open a KOHO account in the KOHO app. KOHO says you just need your Social Insurance Number to get started.
  2. Pick a plan. Credit Building discounts are 30% off on Extra and 50% off on Everything (no discount on Essential).
  3. Register for Credit Building in the app (KOHO’s page points to Credit, then Register).
  4. Set your utilization at the start of each billing cycle; KOHO suggests keeping it under 10%.
  5. Keep money in your KOHO account for the subscription and any payment due, so every payment is on time.

Editorial pick

KOHO Credit Building

Sign up for KOHO Credit Building → (opens in a new tab)

Common KOHO Credit Building mistakes

  1. Drawing on the line and missing a payment. There is no need to withdraw funds; you set a utilization rate at the start of each billing cycle; a missed payment can hurt your credit score.
  2. Expecting quick results. KOHO’s own average of +74 points is measured over 12+ months, and KOHO says it takes 6+ months to establish a credit score, and years to build excellent credit.
  3. Reading the headline number as typical. That average covers only users who started at a score of 450 or under and used both Credit Building and Secured Credit Building for 12+ months with on-time payments.
  4. Treating it as a substitute for paying other bills. Missed payments elsewhere still hurt your file.

Who KOHO Credit Building fits

KOHO Credit Building is a legitimate way to add a positive account to your Equifax and TransUnion files for people starting from zero or rebuilding, at $10 a month before plan discounts.

It fits readers who:

  • Are new to Canada with no Canadian credit history
  • Are rebuilding after past credit problems
  • Want a credit account without a card to spend on
  • Already bank with KOHO and are on the Extra or Everything plan

It fits less well for readers who:

  • Already have several credit accounts in good standing
  • Can manage a secured or newcomer credit card, which works for everyday purchases
  • Prefer not to pay a monthly subscription

For the wider KOHO account, see the KOHO review and whether KOHO is safe.

Frequently asked questions

How does KOHO Credit Building work?

KOHO gives you a dedicated tradeline (a line of credit) with no interest, on which you make monthly payments on time. The line is $225 at 0% (a no-fee, no-interest line of credit), and KOHO reports your Credit Building payment activity to both Equifax and TransUnion. There is no need to withdraw funds; you set a utilization rate at the start of each billing cycle; KOHO suggests keeping utilization under 10%. You pay the monthly subscription of $10 a month before plan discounts.

Does KOHO Credit Building actually build credit?

It adds a line of credit with on-time payment history to your credit file at Equifax and TransUnion, which is what credit scores are built from. KOHO reports an average gain of +74 points, but that figure covers only users who started at a score of 450 or under and used both Credit Building and Secured Credit Building for 12+ months with on-time payments. KOHO also says Credit Building is not a credit repair tool, and no improvement in credit score is guaranteed, and that missed payments can hurt your credit score.

How much does KOHO Credit Building cost?

KOHO lists Credit Building at $10 a month before plan discounts. The discounts are 30% off on Extra and 50% off on Everything (no discount on Essential). The Extra plan itself costs $12 a month when billed yearly, and Everything costs $14.75 a month when billed yearly, so the total depends on which plan you are on. The line of credit charges 0% (a no-fee, no-interest line of credit).

Is KOHO Credit Building worth it?

It is built for people with no or thin credit history, such as newcomers and students, and for people rebuilding. For them, a no-deposit line with guaranteed approval, with no deposit, no hard credit check and no application is hard to find elsewhere. For someone who already has several credit accounts in good standing, one more small line adds little. KOHO itself says Credit Building is not a credit repair tool, and no improvement in credit score is guaranteed.

KOHO Credit Building vs secured credit card?

KOHO Credit Building needs no deposit and reports to Equifax and TransUnion, but it is a small line, not a card for everyday spending. A secured card such as the Secured Neo Mastercard needs security funds from $50, also reports to Equifax and TransUnion, and charges 19.99% to 29.99%, depending on Neo's assessment of your application on balances you carry. Some people use both.

Will KOHO Credit Building hurt my credit score?

Only if payments are missed. KOHO says missed or late payments can hurt your credit score. If you do not draw on the line, there is no balance to repay. If you do, the minimum payment is $67.50, or the full balance if you owe less, due 30 days after you draw on the line, then every 30 days while you owe a balance. Keeping money in your KOHO account for any payment due protects the on-time record.

Does KOHO Credit Building report to TransUnion?

Yes. KOHO's Credit Building page says KOHO reports your Credit Building payment activity to both Equifax and TransUnion, and its newcomers page repeats that both bureaus receive your payment history. The credit score shown in the KOHO app is a different matter: it comes from Equifax only, so a TransUnion score can differ from the number in the app. YieldMaple checked both KOHO pages on October 7, 2026.

How long does it take KOHO Credit Building to show up on my credit report?

KOHO does not publish a first-reporting date on its Credit Building page. On its newcomers page, KOHO says it takes 6+ months to establish a credit score, and years to build excellent credit. Its average-gain figure of +74 points is measured over 12+ months of on-time payments, so KOHO frames this as a long-run tool rather than a quick fix.

Can newcomers to Canada use KOHO Credit Building?

Yes. KOHO's newcomers page says you can open an account without Canadian credit history and that you just need your Social Insurance Number to get started. Credit Building has guaranteed approval, with no deposit, no hard credit check and no application. KOHO reports your Credit Building payment activity to both Equifax and TransUnion, which starts a Canadian credit file, and a free 30 day trial on all KOHO plans.

Related posts

Post

Is KOHO Safe? CDIC, Trust Structure & Risk Explained (2026)

Is KOHO safe? KOHO is not a bank. Funds are safeguarded by Peoples Trust, and only Earn Interest balances are CDIC-eligible, up to $100,000 per member institution.