One of the most important first steps in your home buying journey is understanding your credit score, and the steps you can take to improve it. Here we breakdown exactly what a credit report is.
A credit report is a record of a borrower’s responsible repayment of debts. Your report will be shown as a number, which is why it is often referred to as a credit score. There are many things that can affect your credit score, so it’s important to understand what these are and how to improve yours if it’s not high enough.
There are many companies that offer a credit check service. A quick online search should bring up a number of reputable organisations, but beware of fraudulent websites when handing over your personal information.
It should always be free to access your credit report. If you’re asked to pay for a report, make sure that it’s a legitimate company and that the information you receive cannot be found in a free report.
A higher credit score can make approval for credit cards, loans and mortgages more likely, and give you access to a higher amount of credit and/or more favourable rates. A credit report can also help identify false records associated with identity theft.
Read next 5 ways to improve your credit score.
newhomesforsale.co.uk is not a financial advisor, mortgage broker or mortgage lender. Always get financial advice before making significant decisions about your money, mortgages and buying a house.
Last updated July 14th, 2022
