What is a credit score?
Your credit score is a rating based on your financial history. When you apply for credit, such as a loan, mortgage or credit card, your credit score is one of the things a lender will take into consideration when deciding whether to offer you credit. Therefore, the higher your score is, the more likely you’ll be to get better offers from lenders. Equally, if your score is lower you may find you have difficulty getting accepted for credit at the best rates available.
There is often some confusion around credit scores and why they matter, as well as how you can go about finding out what yours is. You can check your credit score for free using MoneySuperMarket’s Credit Monitor and track your progress monthly. The score you see is out of a maximum of 710 and is provided by the credit reference agency TransUnion1.
Analysing data from over 900,000 users from MoneySuperMarket’s Credit Monitor over a 30-day period in October 2020, the data shows that the average credit score in the UK is 5692. However, individual ratings vary across the country, and many factors can contribute to your score going up or down.
This report looks at the difference in scores by postcode area to identify which parts of the country have better average credit scores than others, as well as other factors such as age, and being registered to vote.
Credit score by location
According to our Credit Monitor data, those in the south of England are more likely to have a higher credit score, with three of the top 10 areas located in the South East. A further breakdown into the data reveals that people in Kingston upon Thames have the highest credit score in the UK at an average of 586.