#3 Improving your Credit Score - Quick wins

Whatever your score.

If you remember back to Lesson 1 where the bank said “there isn't amagic number”, this is because lenders don’t just take the number from the CRA’s. They take the entire history and use their own models.

They will also put your through some identity checks, this helps give themconfidence that you are who you say you are. The more credit accounts that arevisible on your credit file the more comfortable they are that you are you.

The more accounts you have on record also give them more confidence that the data on you is accurate. For example, if someone has proven five timesthat they can take out a loan and repay it on time, they are less of a risk than someone who has done it once.

Whether you have no score, a low score or a good score you couldstill be declined because you don’t have enough credit accounts.

Let us walk you through some really simple ways you can boost yourcredit worthiness, to help overcome some of these hurdles.

Task #3 Get on the Electoral Roll.

The electoral roll isn't just for voting. It helps prove you're you, and if you're not on it lenders may struggle to identify you or reject your application all together.

Keep in mind that being registered at the same address for a while shows stability, which lenders love. Lots of different addresses can look bad, so if you move a lot for work, register a single 'base' address if you can (your parents house is a good one).

  • Are you already on the electoral roll? That’s great! You’re onestep ahead.
  • If you you’re not on it and you're eligible to vote in the UK, thenyou can register by following this link.
  • If you're not eligible to vote, but you have the right to live andwork in the UK, you can ask each Credit Reference Agency (CRA) to add a 'noticeof correction' to your credit report.

Please note that it can take up to a month for your registration tobe completed and then another month for it to appear on your credit reports.

Task #4 Check out LOQBOX

LOQBOXgives you a chance to prove your creditworthiness while you save, for free.Helping you build a credit history to grow your credit score.

Howdoes it work?

  1. Choose how much to save - from £20 to £200 a month.
  2. These payments are reported to CRA’s to build your credit history.
  3. You can ‘unlock' to access your savings for free anytime by openingan account with one of our partners.

Have a look at LOQBOX here.

Warning:Missing payments may reduce your credit score.

Head on to lesson 4!