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Credit myths


8 October, 2020

A lot of people are reluctant to check their credit score/report as they believe that this is going to affect their credit score, but this is actually false.

We decided to put a list together of other “myths” around credit scores. 

1 Checking your credit score affects your score

Checking your credit score or report does not affect your score however, applying for credit does. This happens when you apply for a credit product with a lender and they access your credit report before making their decision, this leaves a “hard enquiry” on your report. 

2 When you get married, your score/report is attached to your partners

This isn’t true. The only time someone else's credit history will affect yours is when you have had a joint account with someone. If you have had a joint account with someone who has bad credit, it would be a good idea to close that account. 

3 All debt is equal

Another myth. Having debt due to a mortgage or a student loan is completely different to having a lot of debt due to credit cards and loans. This also means that the amount of debt you have doesn’t mean your score will be lower. A £300,000 mortgage is good debt but a £30,000 loan is bad debt. 

4 Your income/job affects your credit score

If you have a higher paying job, it doesn’t mean that your credit score will be higher than someone with a lower paying job however, your income is obviously a factor in how much credit you will be offered.

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Editorial Disclaimer: This article was updated 18.10.2021

Opinions expressed here are the author's alone, and not those of any bank, credit card issuer or any other company. This article has not been reviewed, approved or otherwise endorsed by any of these organisations. NB: The information on this page does not constitute financial advice, please do your own research to ensure that the product / service is right for your individual circumstances.

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