What is a good credit score?

Quick answer: A good credit score means lenders are more likely to accept you when you apply to borrow money. There’s no single ‘magic’ number that guarantees you’ll be accepted. But a higher score can improve your chances and help you access better rates on credit cards, loans, mortgages and more.

Your credit score gives you an idea of how companies may view you when you apply for credit.

A higher score means lenders see you as lower risk. So, a good score will be good news if you’re hoping to get a new credit card, apply for a loan, or even a mortgage. Whatever you need credit for, making sure your score’s good, or even better excellent, means you’re more likely to be accepted, and offered better rates. Here, we’ll take a look at what a good credit score is, how it’s calculated, and what factors make it ‘good’.

What should your credit score be?

There’s no ‘magic’ number when it comes to your score. Different companies will be looking for different things in potential customers, so while you may be one lender’s cup of tea, you may not tick all the boxes for another. But knowing your score gives you a good idea of how lenders are likely to view you. The higher your score, the better your chances of being accepted and offered better rates on things like credit cards, loans and mortgages. We’ve got more detail on how credit scores work if you need it.

Before you apply for credit, it’s a really good idea to check your free Experian Credit Score, so you can make more informed choices when it comes to applying for credit.

What is a good Experian credit score?

Experian’s Credit Score ranges from 0 to 1250. We consider a ‘good’ score to be anywhere between 861 and 1000. While a higher score is always better, there is no specific score that guarantees acceptance for credit. What your score does do is give you a useful guide to your chances.

Experian’s Credit Score range explained

Experian is the UK’s most trusted credit score, and lets you see where you stand when it comes to applying for credit. We break down what your Experian Score means below:

How is a credit score calculated?

Whenever you apply for credit, lenders will look at information from your credit report, application form, plus any information they hold on you if you’re an existing customer. All this data is then used to calculate your credit score. Every lender has a different way of calculating it, largely because they all have access to different information but they also have different lending criteria.

Generally, the higher your score, the better your chances of being accepted for credit, at the best rates.

Credit reference agencies, also known as CRAs, like ourselves, calculate a version of your credit score. How each CRA calculates this varies but there are certain factors they all consider, including how much you owe, how often you apply for credit, and whether your payments are made on time. You can read more about the factors that influence your score in our guide to what affects your score.

Credit Expert

Our expert says

Your credit score can give you a good idea of how lenders typically view the information on your credit report. Remember that your score isn’t set in stone. If it’s not where you want it to be, there are lots of things you can do to improve it. It can take time and patience, but even small improvements can make a difference. Jacqui Hamilton, Experian UK

How can you get a good credit score?

There are plenty of things you can do to help improve your score, but it can take time and patience, and some will-power too.

Ways to improve your score:

• Register on the electoral roll at your current address. This helps companies confirm your identity.
• Build up your credit history. If you have little or no credit history it can be difficult for companies to score you, which can result in a lower score. Thankfully, there are some simple steps you can take to build up your credit history.
• Pay your accounts on time and in full each month. This shows lenders you’re a safe bet and can handle credit responsibly.
• Keep your credit utilisation low. This is the percentage of your credit limit you actually use. For example, if you have a limit of £3000 and you’ve used £1500 of it, your credit utilisation is 50%. A lower percentage can help your score. Try and keep it to under 30% if you can.
• Sign up to Experian Boost and see if you could raise your score instantly. By securely connecting your current account to your Experian account, you can show us how well you manage your money. We’ll look for examples of responsible financial behaviour, such as paying your Netflix, Spotify and Council Tax on time, and paying into savings or investment accounts.

Once you’ve got your score where you want it to be, here’s our tips on how to keep it healthy:

• Limit the number of credit applications you make. Don’t be tempted to make too many in a short space of time as this can make lenders view you as overly reliant on credit, and a higher risk. Each application you make will record a hard search on your credit report. Companies can see this, so it’s a good idea to space any applications out.
• Close unused accounts. If the amount of credit available to you is too high, lenders may think you won’t be able to handle any more.
• Keep up with your payments. Late payments and defaulted accounts will harm your score. Defaulted accounts are when a lender cancels your account because you’ve missed several payments.
• Only borrow what you know you can afford. If you get into trouble with debt that leads to CCJs, IVAs or even bankruptcy, these will stay on your credit report for up to six years and will damage your score.
• Keep an eye out for fraudsters. Their activity could hurt your score badly. So, try to check your credit report, free on the Experian app, for any suspicious signs.

Frequently asked questions

What is the highest credit score?

The highest Experian Credit Score is 1250. Other credit reference agencies and lenders can use different scoring systems, so their maximum scores may vary. A high score signals to lenders that you have an excellent history of managing debt, which can increase your chances of being accepted for credit, and at the best rates.

How long does it take to get a good credit score?

There’s no fixed time. It could take just a few months if starting from scratch. But if you’ve had serious credit issues in the past, it could take a couple of years or more. New credit accounts can take several weeks to appear on your credit report, and may need a few months before they help your score. Paying on time, building your credit history and keeping credit use low can all help steadily build your score.

What is an average credit score?

The average credit score depends on the credit reference agency, as they use different score ranges. Experian’s score runs from 0 to 1250, and a Fair or average score sits between 641 and 860. The higher your score, the better your chances of being accepted for credit, and at the best rates.

What is an excellent credit score?

What counts as an ‘excellent’ credit score varies, as different credit reference agencies use different score ranges. An excellent Experian Credit Score is 1121 to 1250. It means lenders are likely to see you as low risk, so you have a better chance of being accepted for credit and at better rates.