opening a KOHO account will certainly not affect your credit score. We understand where the confusion might come from since KOHO is a financial services company that needs to authenticate your identity and check your Canadian credit file. However, since KOHO only performs a soft check and isn’t required to report it to the Canadian credit bureaus, it will not affect your credit score or history. 

With that said, if you are looking for a way to boost your credit score, KOHO offers a helpful credit-building feature that you can subscribe to on the KOHO app. All you have to do is download the app on your android or iPhone, open it, and follow this pattern: Click on Grow – Credit Building

Then, register to build your credit on the free-to-download account app. You can also use the app to get real-time insights into all your transactions. Moreover, you can use your KOHO account to send free e-Transfers, pay your bills, set up direct deposits, and set your savings goals. 
So, who can use the credit-building feature?
Currently, the app requires only two eligibility criteria:

• You need to have a fully verified KOHO account.
• Your account should have enough funds to cover the subscription fee that doesn’t include the Vault.

Important Note: This app feature isn’t currently available in Saskatchewan.

Here’s how the feature works to help you grow your credit:
If you want to grow your credit score, you will need to subscribe to Credit Building, and the program will take six months to help you grow your score without having to do anything. How will it do that? Well, once you register for the feature, the app will issue a no-fee, no-interest line of credit to you, which will be dedicated to credit building. This line of credit will be separate from your current available balance since you are not meant to spend it. Instead, you have to leave it to grow your credit. 
Each month, KOHO will automatically deduct a portion of these funds and report the activity to the credit bureaus. These automatic deductions will last six months, and the consistent activity will help boost your credit score.  

All you have to do for this process to remain smooth-sailing is to ensure that you have enough funds in your account every month to sufficiently cover the monthly subscription fee that KOHO will charge. The subscription charge will appear as CB Subscription Fee in-app. Moreover, KOHO will ask you to set a utilization rate that works for you. The platform recommends you set the rate at 30% so that you don’t have to worry about your credit score dropping. 
The KOHO app will take care of everything behind the scenes by making on-time payments to impact your credit score positively. KOHO allows you to use the credit building feature for a 6-month cycle. However, if you need to boost your score further, you can re-subscribe to the feature after it ends.