Why is my credit score so low?

Paul_Herring

Terrasaw wrote: »

Hi,

Having Looked @ my Credit report for the first time It's a shocking 116 :mad: but how can this be? I applied for an American Express card last month, got approved & unfortuanetly made a late payment, I understand that can have an Effect on your credit report but surely not that much.....From 1000 - 116? I would of had to have a good Credit Score to obtain an Amex.

Note that the 'credit scores' that the credit reference agencies provide are just a pure money spinner for them, and at best provide only a guide as to your 'score' as might be perceived by one of the other companies which have their own algorithms for working out whether they want you as a customer. For (silly) example the credit reference agency might subtract 500 for only one missed payment in any if the last 6 years (since they perceive it as a major negative.) A CC company might add 250 for only one missed payment (since they perceive it as not a great deal.)

The number provided as a CRA 'score' would only be of any substantive use if, and only if, the CRA themselves provided their own credit facilities. And you can be darn certain, that if they did, then the last thing they'd be doing is giving you your 'score' in that case.