How to build your credit file

The better your credit file is, the easier it’ll be to get credit. The simplest way to build your credit file is to pay your credit cards, loans and mortgage on time, keep within agreed credit limits and pay at least the minimum payment.

How you make your payments and how much you pay is reported every month on your credit file and general affordability.

Lenders look at all these factors when you apply to borrow from them. They’ll also take into account how much credit you owe compared to your income to form an overall picture of your creditworthiness.

Your credit file also shows where you’ve been registered on the voters’ roll, your address history and if you’ve ever had any defaults, county court judgements (CCJs), bankruptcies or individual voluntary agreements (IVAs) held against you. If you believe any of the information held about you might be wrong, get in touch with the lender who’s reported it and ask them to investigate so it can be updated if needs be.

To get a copy of your credit file, go to:

experian.co.uk

equifax.co.uk

callcredit.co.uk