UK credit reports — what they are and how to improve your credit score

The basicsWhat is a credit report?

A credit report is a document that gathers information about your financial history from a
range of sources: credit and loans you have taken out, credit cards, whether you paid on time,
your current level of debt, and adverse entries such as county court judgments
(CCJs) or insolvency proceedings (for example an IVA). It also shows whether you are listed on
the Electoral Roll at a given address. Banks and lenders use this data to assess the risk of
lending to you.

BenefitsWhy is it worth checking your report regularly?

Checking your credit report regularly keeps you in control and lets you act before a small
error turns into a declined application. The four main reasons:

• Spotting errors — incorrect data can lower your score without good reason.
• Monitoring your creditworthiness — you can see how your decisions affect your credit score.
• Protection against identity theft — you quickly notice commitments you never took out.
• Preparing for important decisions — for example a mortgage, a lease or new credit.

Step by stepHow do you improve your credit score? (6 steps)

Improving your credit score is a marathon, not a sprint — but each of the steps below genuinely
builds your credibility in the eyes of lenders:

1. Pay on timeSettle every bill and instalment on time — this is the single most important factor affecting your score.
2. Watch your credit utilisationKeep your use of credit limits below 30% of the available amount.
3. Register on the Electoral RollGet yourself on the electoral register at your current address — it confirms your identity.
4. Don't apply for several products at onceAvoid multiple credit applications in a short period — each one leaves a mark on your history.
5. Keep your address details up to dateMake sure your address details are consistent and current with every creditor.
6. Build a positive historyFor example, a credit card with a low limit, repaid in full each month, gradually builds your credit history.

SupportAccess to your report with a trusted partner

HelpDo you need to check your report?

Understanding your own creditworthiness is the first step towards better financial decisions.
Our team will help you access your report, read it and pinpoint exactly what to improve before
you apply for a mortgage or credit. The first conversation is
free and with no obligation.