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Credit score

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Can someone explain to me why my credit score can go down because I am not utilising all my available credit ??
Seems daft to me

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  • fatbelly
    fatbelly Posts: 20,946 Forumite
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    I guess it's just marketing - trying to encourage you to take out more credit.

    I don't even bother looking at the score
  • grumbler
    grumbler Posts: 58,629 Forumite
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    edited 8 December 2022 at 2:48PM
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    Ask those who calculate this mythical "credit score" that nobody uses. All lenders use your credit history and their own scoring system that they keep secret.
  • Ebe_Scrooge
    Ebe_Scrooge Posts: 7,320 Forumite
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    Your credit score usually goes down in response to any change in your credit circumstances, whether good or bad.  And will steadily rise over a period of stability.
    It also goes down when the weather turns colder, and when a butterfly flaps its wings in the Philippines.
    Seriously, pay no heed to it, it is never used - nor even seen - by any lender.  You just need to check that the underlying data are factually correct - this is all a lender looks at, and is all that matters.
  • cymruchris
    cymruchris Posts: 5,365 Forumite
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    Can someone explain to me why my credit score can go down because I am not utilising all my available credit ??
    Seems daft to me
    Have a read of the sticky post at the top of the credit score forum - it links to this article:

    https://www.moneysavingexpert.com/loans/credit-rating-credit-score/?_ga=2.88787483.1885924796.1665572743-634991903.1618095468&_gl=1*14ouetq*_ga*NjM0OTkxOTAzLjE2MTgwOTU0Njg.*_ga_X74CWQS9F0*MTY3MDQ5ODU2Ny4yNTkuMS4xNjcwNTA3MzA0LjguMC4w

    It's only you that ever sees the score as a very vague and general indicator of your perceived creditworthiness. Nobody else will see it. Ever. Full-stop. 

    Focus on keeping a good credit history rather than looking at a randomly changing number. 
    An ex-bankrupt on a journey of recovery. Feel free to send me a DM reference credit building credit cards from the usual suspects :) Happy to help others going through what I've been through!
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