So, you’ve decided you want to improve your credit score – excellent move. The next steps are pretty straightforward, it all comes down to showing that you’re responsible with money.  

The way to prove this to traditional credit reference agencies (CRAs) – Experian, TransUnion and Equifax – is via your credit history. This usually includes credit cards, loans, overdrafts, bill, and how you’ve approached paying them off. CRAs might also use ONS (Office of National Statistics) data – the electoral roll, and/or your postcode – to calculate your credit score.

At Keebo, we look at the bigger picture. Alongside some standard CRA measures, we’re also using open banking to get a full view of your financial behaviour. That way, we’re able to offer credit and a Keebo score that reflects your true creditworthiness. 

Open banking also allows us to offer credit to those who have little or no credit history – a factor that would usually mean a “no” from traditional lenders and result in a low credit score.

We think the key to boosting your credit score is understanding it. Which is why, with Keebo, you’ll get personal financial insights that help improve the way you manage your money, which will result in a better score.

As a starting point, here are five ways to boost your credit score, now. 

1. Take the little and often approach 

The aim of the credit-score-boosting game is to prove to lenders that you are reliable and responsible when it comes to money. 

A good way to demonstrate this is to spend little and often on your credit card, keeping the card active and ensuring that repayments are not too difficult to manage. 

This shows that you can reliably pay back the money you borrow (ideally in full, each month – see point 4) and in turn will improve your credit score. 

2. Pay your bills on time (and get your name on them)

In assessing your credit score, CRAs will look at your bills and whether you usually pay them on time. 

It’s therefore important to make sure you have some accounts to your name – these could include your mobile phone contract, council tax, gas, water, electricity, or internet bills. 

If you’re in a house share, for example, or if your utility accounts are under your partner’s name, you may want to consider sharing them between you. Otherwise, they’re literally taking the credit for you!

Once that’s done, pay the bills on time – set up direct debits, so you never forget – and you’ll be improving your credit score as you go.‍

3. Keep your credit utilisation low

First things first, ‘credit utilisation’ simply means how much you spend on your credit card. 

You’ll have a limit agreed with your credit provider, let’s say it’s £1,000. If you spend less than 30% of this each month, it’s another point on the responsibility scoreboard. This proves that you can manage your credit sensibly and will boost your credit score. 

If however, you spend 20% one month, 70% another month, and 90% the next, lenders may take this as an indication that you’re less responsible with your spending, which will negatively affect your credit score.

4. Pay off your credit card in full each month

A simple point, but perhaps the most important of them all. As mentioned, if you keep the spending low, repaying the full amount should prove less tricky. The easiest way to ensure you don’t forget? Set up a direct debit. 

Paying your credit card in full each month will earn you serious bonus points with lenders, in turn boosting your credit score.

5. Get to know your financial self

The key to improving your credit score is building a good credit history. And one way to approach this is by getting to know your own spending and saving habits. 

With Keebo, you get an overview of all your income and expenses, so you can see the impact of every transaction you make (in the accounts you’ve linked to the app). This allows you to better control and manage your money, for an improved financial outlook. 

You’ll get more personalised financial insights via the Keebo app – get on the waitlist, now.