Credit Score

A credit score is a numerical summary of a person's or business's credit history and current financial behaviour. In the UK, personal credit scores are provided by agencies including Experian, Equifax, and TransUnion. Business credit scores are provided by agencies including Experian Business, Creditsafe, and Dun & Bradstreet.

Lenders use credit scores (alongside other information such as bank statements and accounts) to assess the likelihood of repayment and determine the interest rate and terms to offer. A higher credit score generally means lower risk, better rates, and higher approval likelihood.

Credit scores can be improved over time by paying all obligations on time, reducing outstanding credit balances, registering the business at Companies House, ensuring your registered address is up to date, and resolving any CCJs or defaults. Checking your credit score with agencies before applying for finance is always advisable.

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