What a credit score is

A credit score is a number calculated by a credit reference agency — in the UK, primarily Experian, Equifax and TransUnion — that summarises the information in your credit file. Lenders use it, alongside their own internal data and scoring models, to assess how likely you are to repay a debt. There is no single universal credit score that all lenders use.

What affects your score

  • Payment history: missed or late payments have a significant negative effect and stay on your file for six years
  • Credit utilisation: keeping utilisation below 30% of your credit limit is generally positive
  • Electoral roll: being registered to vote at your address confirms your identity and address history
  • Credit age: older accounts with good payment history are positive
  • Recent applications: multiple applications in a short time can suggest financial difficulty

Checking your score

All three agencies offer free access to your credit file. Experian offers a free basic service; ClearScore provides free Equifax data; Credit Karma provides free TransUnion data. Check your file regularly for errors — they do occur and can be corrected.