By understanding why your credit application wasn’t successful, you can start taking steps to improve your credit history:
- Bad credit history. If you’ve missed payments or frequently exceeded your credit limit, your credit score might have been affected. Read more about how to help improve a poor credit history.
- Thin credit file. If you haven’t taken out credit before, or you haven't used a credit account for some time, lenders may not have enough information about whether you're likely to meet all your repayments. View our section about establishing a credit history.
- A lender’s specific requirements. It’s worth noting that lenders make the decision, not credit reference agencies. Every lender or credit provider has a different set of requirements and criteria – there’s no universal ‘pass mark’ for credit scoring, so you should ask the lender why you were refused.
- Your employment history. Your recent employment and salary information can be a good indicator of stability, which is an important consideration for lenders – but this isn’t recorded on your credit report (see point 6).
- Credit scoring. Every decision is based on a number of factors. Read more about how credit scoring works.
- What isn’t on your credit report? It’s equally worth knowing what information is not included as you may be thinking these are affecting your credit applications. Your credit score isn’t influenced by missed child support payments, parking fines or the levels of interest you are paying on existing borrowing – your credit report doesn’t record these.
Reviewing your Verified Credit Report & Score can help you understand how lenders may view your credit worthiness. It shows the aspects that affect your credit score by highlighting key positive and negative areas within your credit report – so you can work to improve your report and get it in the best possible shape for you.