Your credit score is a number that summarises your creditworthiness. Your debt management is recorded so other potential creditors can decide whether they’ll lend you money, and at what interest rate you’ll have to repay it. Understanding the importance of credit scores really helps to grow your financial literacy and balance your financial wellbeing.
Most banks and building societies give you a debit card to access your money. So you might be wondering: “do debit cards affect credit scores in the same way a credit card would?”. Using a debit card does not directly affect your credit score, but there are subtle ways it can indirectly impact your creditworthiness. Loqbox explores debit cards and credit scores.
If you’re trying to rebuild your credit after some financial knockbacks, we’ve put together eight simple hacks to get you there. Sure, it won’t be an overnight fix, but once you have these steps under your belt, you’ll have all the building blocks you’ll need for a shiny new score.
Credit cards — those bits of plastic are great tools for building your evidence of how you use credit. With that history of credit use, you’ll be able to show lenders how responsible you are with borrowing money. But getting a credit card feels a bit scary, there are other ways to help you build this evidence. And whichever you choose, what you actually need to master is how to use credit responsibly.
The electoral roll is a list of everybody who is registered to vote in the UK, and the three main credit reference agencies (Equifax, Experian and TransUnion) use it to verify your identity and address.
While it may seem like a breath of fresh air to get rid of unused accounts or clean up your credit history, it's important to be aware of the impact that closing old bank and credit card accounts can have on your credit score. Loqbox has you covered with everything you need to know before you start a financial spring clean.
Having a good (or excellent) credit score makes you feel pretty good. Seeing the needle on your credit score dial swing into the green can give you a sense of freedom and achievement, and can set you on the road to financial wellbeing. But what are the other, tangible benefits of a high credit score? Loqbox has a classic top 10.
No matter which type of credit agreement you have, there’s likely to be a rate of interest on top after a certain point. And these interest rates can be very high if you haven’t secured a 0% interest-free period, making it difficult to pay back what you owe if the interest takes up the majority of what you’re able to afford to pay back every month. But did you know that your credit score can affect the interest rate you are offered?
Investing in cryptocurrencies (or crypto) has definitely made some people very rich. But just as many have lost fortunes too. Investing is always risky. The ups and downs of crypto’s value means your investment can boom or bust from one week to the next! But how does buying or trading crypto affect credit scores? Loqbox unravels the mystery
If you’re wondering what the best ways to organise your finances are, there’s a chance you’re looking to relieve the stress and anxiety you feel around money. When things are disorganised and messy, problems can feel insurmountable. But with Loqbox’s tips and advice, you can get your finances in order and take charge of your financial wellbeing.
.png){kind=small}