6 Ways to Improve your Credit Score
7th March 2025
What is a credit score?
A credit score is a number that shows how reliable you are when borrowing money. Think of it like a trust score—lenders use it to decide whether to lend you money. In the UK, scores usually range from 0 to around 999, depending on which credit reference agency—like Experian, Equifax, or TransUnion—is being used.
Why does your credit score matter?
Your credit score isn’t just about getting a loan. A higher score makes it easier to get approved for a mortgage, rent a flat, or even set up a mobile phone contract. Some utility providers and insurers also check your credit history when setting up payments. While a low score might not stop you from doing these things, it can mean fewer options or stricter conditions.
How is your credit score calculated?
Credit reference agencies look at many factors to calculate your score, including:
- Your payment history—Do you pay your bills on time?
- How much credit do you use—Are you close to your credit card limit?
- The length of your credit history—How long have you had a bank account, loan, or credit card?
- Recent credit applications—Have you applied for lots of loans or credit cards in a short time?
6 simple ways to boost your credit score
If your score isn’t where you want it to be, don’t worry—there are ways to build it up over time. Let’s break it down step by step:
1. Get on the electoral roll
Registering to vote helps lenders confirm your name and address, which makes it easier for them to approve your credit applications. If you're not registered, they might struggle to verify your identity, which could lead to delays or even rejection. You can sign up on the official government website: Register to vote – gov.uk.
2. Start building a credit history
If you've never borrowed money before, banks and lenders don’t know if they can trust you to pay them back. To build a good credit record, you can:
- Apply for a credit-builder credit card and use it for small purchases, paying off the full balance each month.
- Set up a mobile phone contract in your name and make regular payments.
- Open a bank account and manage it well.
For more details, check out this guide on how to build your credit history.
3. Pay bills on time and keep your credit use low
Set up direct debits for regular bills like rent, utilities, or credit card payments to avoid forgetting.
Also, don’t max out your credit card each month. Using less than 30% of your credit limit is a good idea. For example, if you have a £1,000 limit, keep your balance below £300.
4. Avoid applying for too much credit at once
Every time you apply for credit (like a loan or credit card), lenders run a credit check on your credit file, which can lower your score if done too often. If you're just checking your chances of approval, look for a lender that offers a soft search—this won’t affect your score.
You can check if a lender uses a soft or hard search before applying:
- Soft search: Won’t affect your score and is used for eligibility checks.
- Hard search: A full credit check that leaves a mark on your credit file.
You can find more about soft vs. hard credit checks here.
5. Check your credit report for mistakes
Errors on your credit report—like wrong addresses, old financial links, or missed payments that weren’t late—can unfairly lower your score. Check your report regularly. You can check your report for free on sites like Experian, ClearScore, and Equifax.
6. Be careful with joint accounts
If you have a shared mortgage, loan, or overdraft with someone, their financial habits can affect your credit score too. If they have bad credit, it could pull your score down. If you're no longer financially linked to someone, you can ask credit agencies to remove the connection from your file.
How long does it take to improve your credit score?
Raising your credit score takes time—there are no instant fixes. Small changes, like paying bills on time or keeping your credit usage low, may show positive results within a few months. Bigger improvements, like clearing old debts or correcting mistakes, might take longer. The key is consistency.
Last thoughts
Improving your credit score is about making smart, steady choices. Whether it’s registering to vote, keeping your credit card balance low, or paying your bills on time, these small steps add up. Don’t stress if it doesn’t change overnight—stick to the basics, check your report regularly, and keep going. Over time, you’ll see your score improve.