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how does switching affect my credit score?

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Having just learnt of the insane salary boost that may go to the Nationwide group's ceo, I've determined to work harder to get what I can back.  A good place to start might be to get as many of the sweeteners offered by banks to switch accounts.  But then I read to my annoyance that by doing so, my credit score could be adversely affected. Can you, dear reader, explain what the rules are and perhaps point out any gotchas I should be aware of. I'm retired & don't need to borrow money.

Comments

  • la531983
    la531983 Posts: 3,068 Forumite
    1,000 Posts First Anniversary Name Dropper
    In which case why would you even be worried?

    The "credit score" isnt seen by any lender regardless. 
  • Exodi
    Exodi Posts: 3,870 Forumite
    Eighth Anniversary 1,000 Posts Name Dropper Combo Breaker
    edited 9 July at 12:09PM
    Please note that in some of the larger banks, the CEO's are compensated considerably more. If you're making this decision on principles, make sure you don't move to HSBC/FirstDirect/Barclays

    https://www.ethicalconsumer.org/money-finance/high-pay-financial-sector

    Nonetheless, credit score doesn't mean anything (it's a gimic only viewable by consumers) - banks will be looking at your credit report, history, default record, etc.

    So to answer your question, switching bank will likely affect your credit score (as some banks do a hard credit check, regardless of whether you require an overdraft) but the affect will only be seen by you and the affect on your score will be temporary (likely 6 months).

    Also, to ask the obvious, if you're "retired & don't need to borrow money", why do you care about your credit score?
    Know what you don't
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