What is a Credit Score and How do I Improve it?

There are a lot of myths around credit scores - what impacts your rating, what doesn't, and how can you improve it? 

Holly Black 11 February, 2021 | 11:08AM
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Credit reports are an important aspect of every adult’s finances, but one that many people don’t know a lot about. For that reason, there are a lot of myths around what a credit report contains and how it works – here we try and bust some of those myths and give you some tips on how to improve your credit score.

What is a Credit Score?

Quite simply, it is your financial footprint. It is information about your financial behaviour gathered by an agency and rolled up into a rating. Companies use it to build a picture of your financial position and to determine whether they think you are a good candidate to lend money to.

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About Author

Holly Black  is Senior Editor, Morningstar.co.uk

 

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