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Worried about your credit score? Experian is making big changes to how it rates your financial behaviour – and nearly half of us could see our score fall. But don’t panic: your ability to borrow shouldn’t be affected.
Read on to find out what’s happening, why your credit score is so important and the steps you can take to keep yours in shape.
What’s on this page?
In recent weeks, Experian has started rolling out new credit scores for individuals.
Formerly everyone was given a numerical score out of 999, but by the end of December 2025 everyone should have a new score out of 1,250.
Your score could go up or down as a result. And your band – which ranges from ‘low’ to ‘excellent’ – could change as well.Nearly half (44%) of people can expect to see their credit score drop. But a similar number (42%), will see their credit score go up as a result of the change, according to Money Saving Expert.
Experian says the shake-up will allow for a more ‘granular’ breakdown of financial behaviour, including those that are increasingly valued by lenders. This includes reducing dependence on overdrafts and making regular payments for rent and mobile phone bills.
As part of the move, Experian also says that it will make it easier for people to see how particular behaviours can have a positive impact on their credit score.
But while the shift might be unsettling – especially if you end up with a lower score – Experian has stressed it will not affect your ability to get credit. This is because your new score shouldn’t have any impact on your overall creditworthiness. That might sound odd, but it’s because it’s actually the underlying data that lenders look at, not the score itself.
Your score will be updated automatically and, if you are already a customer of Experian, you should be alerted by email.
From managing credit cards in your 30s to mortgage payments in your 40s and 50s, your financial history has been transformed into a credit score. It’s a key factor that lenders use to assess reliability.
A good credit score makes it easier to borrow at competitive rates. A low score could limit your options and result in higher costs.
Kara Gammell, finance expert at MoneySuperMarket, says: “A good credit score remains essential whatever your age. A strong credit score can help you to secure competitive interest rates for loans, mortgages, credit cards and even your monthly insurance premiums.”
Your credit score is a figure that shows how reliable you are at managing your debts. It’s based on your credit file, which includes past addresses, previous credit agreements and your payment history.
There are three main credit reference agencies in the UK: Experian, Equifax and TransUnion. Each one holds a credit file about you and uses that information to generate a credit score. Each agency allocates scores slightly differently, and they all have a different maximum score, though generally a good rating with one agency means a good rating with the others too.
| Rating | Equifax | Experian (new scores) | TransUnion (VantageScore 3.0) |
|---|---|---|---|
|
Excellent |
811-1,000 |
1,121 - 1,250 |
781 - 850 |
|
Very good |
671-810 |
1,001 - 1,120 |
- |
|
Good |
531-670 |
861 - 1,000 |
604-627 |
|
Fair |
439-530 |
641 - 860 |
601 - 600 |
|
Poor (or 'Low') |
000-438 |
0 - 640 (Low) |
300 - 600 |
Alastair Douglas, CEO of TotallyMoney, says: “Credit scores are an important part of the financial system, and even if you’re not planning on borrowing money any time soon, you should still keep an eye on your report.
"That’s because it could come in useful if you’re planning on downsizing homes and want to pay your energy via Direct Debit, want to pay your car insurance monthly, or if you’re planning on being a mortgage guarantor sometime in the future.”
Keeping an eye on your credit score also means you’ll become more familiar with it. And if it starts to go down, you’ll then spot it and can investigate why this is.
Checking your credit score is easy and can be free.
Douglas warns: “You should never pay to access your own financial data. Any credit provider worth their salt should also help you spot errors, show you what’s holding you back and give you tips to start moving forward.”
If you want to see all your credit reports in one go, there isn’t an easy way to do this for free. But Check My File gives you a 30-day free trial to see all your reports in one place. You’ll have to cancel before the trial ends though, otherwise you’ll be charged £14.99 a month.
Otherwise, you can check each of them separately. Because each one holds slightly different information, it can be best to check them all, especially if you have any concerns, or you are planning to apply for an important piece of credit, like a mortgage.
It’s usually more useful to also be able to check your credit report, not just your score. This shows all your credit agreements from the past six years including late payments and account statuses.
Mistakes do happen, so check for errors and report them to the credit agency to have them corrected. Alternatively, if your credit report issues such as missed payments that aren’t errors you may be able to add a ‘notice of correction’. This gives you the opportunity to explain why the problem arose – for example if there were extenuating circumstances, such as job loss, illness or a relationship breakdown.
Gammell says: “It’s common for people to only check their credit report when they’re just about to apply for credit. Instead, try checking your report regularly and identify opportunities to boost your score, which could mean that you’re offered more competitive interest rates when you do need to use credit.”
Craig Tebbutt, chief strategy and innovation officer at Equifax UK, adds: “Checking your credit score regularly is also a good way to spot any suspicious or unusual activity on your accounts, and report it quickly.”
Your credit score reflects your financial habits. Good habits like making your credit card, loan or mortgage payments on time, boost your score. Bad habits like missed or late payments, exceeding credit limits or defaulting on debts can lower it.
Gammell says: “Try to keep on top of your credit card, mortgage and loan repayments, set up a direct debit where possible to avoid missing payment dates – which can lead to penalty fees and damage to your credit score.”
If your credit score is on the low side, check your report for mistakes, and make sure you are registered to vote (which improves your rating).
If you don’t already have a credit card, you could consider a credit-builder credit card to improve your score over time. These cards are designed for people with a low or no credit score, to help rebuild their credit history by using it to make regular purchases and making repayments in time. They tend to have a low credit limit when you first take them out, and a high APR, to reduce the risk to the lender. Soit’s important to pay the card off in full every month and not to go above your credit limit.
If you already have a good credit score, it’s worth protecting it. Regularly checking your credit report will mean you know immediately if anything has damaged your score.
Many people don’t realise that not using credit can also damage your credit score, as lenders have little information to assess your reliability when it comes to making repayments. You might even not have a credit score at all.
Douglas says: “If you’ve not been in charge of the household finances over the years, and bills haven’t been paid in your name, you’ll have what is known as a ‘thin credit file’, which basically means you have little credit history. This could make it difficult to access everyday financial products and services.”
John Webb, head of consumer affairs at Experian, adds: “It’s often the case that when you move into your 50s and 60s you might use less and less credit. Because most credit history information expires after six years, you might find having very little recent credit history might leave you in a difficult position. So it’s good to maintain a recent, healthy track record of managing credit.”
To maintain a healthy credit record, keep at least one active credit agreement in your name. It doesn’t have to be a credit card: utility bills also count. Or if you pay monthly for insurance (rather than paying an annual premium), that’s a form of credit. Missed payments on these agreements can also damage your score, while regular on-time payments can improve it.
Your credit history isn’t the only factor lenders consider. Affordability plays a big role – if your income doesn’t support the amount you want to borrow, you’re unlikely to be approved, even with a perfect score. Credit reports don’t include salary details or student loans, so lenders assess these separately.
They’ll also look at any past dealings you’ve had with them. The current market conditions make a difference too, as these affect how much risk they want to take on. Sometimes, it’s not about you – lenders change their criteria based on risk and profitability, which can affect who they approve.
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