How do your finances affect your credit score?
As something that can affect your ability to borrow money, credit scores can seem complicated and hard to get your head around.
Broadly speaking, they’re used by lenders to determine whether they should give you credit or loan you money. For example, banks, credit card companies, mortgage lenders, mobile phone companies and even insurance providers that take payment via Direct Debit use credit scores to determine how likely you are to be accepted for credit.
Luckily, our friends over at Sainsbury’s Bank have created a guide for helpful tips on understanding your credit score and how to manage it – take a look below…