How Credit Scores Work in the UK
The UK has three main credit reference agencies — Experian, Equifax, and TransUnion — and each uses a different scoring system. Experian scores range from 0 to 999, Equifax from 0 to 1000, and TransUnion from 0 to 710. A 'good' score with one agency doesn't necessarily translate to the same band with another.
It's important to understand that mortgage lenders don't simply look at a single number. They pull your full credit report and apply their own internal scoring models, which weigh different factors according to their risk appetite.
Credit Score Ranges and What They Mean
As a general guide, here's how the three main agencies band their scores:
- Experian: 0–560 (very poor), 561–720 (poor), 721–880 (fair), 881–960 (good), 961–999 (excellent)
- Equifax: 0–438 (poor), 439–530 (fair), 531–670 (good), 671–810 (very good), 811–1000 (excellent)
- TransUnion: 0–550 (very poor), 551–565 (poor), 566–603 (fair), 604–627 (good), 628–710 (excellent)
For the best remortgage rates, you'll generally want to be in the 'good' to 'excellent' bands. However, even if you fall into the 'fair' range, plenty of lenders will still consider your application — you just may not get the headline rates.
What Lenders Really Look At
Beyond the headline score, lenders examine specific aspects of your credit file. They look at your payment history over the last six years, the amount of existing debt you carry, how many credit accounts you have, and whether you've had any county court judgements, defaults, or bankruptcies.
Lenders also consider your debt-to-income ratio and your loan-to-value (LTV) ratio. Even with a perfect credit score, borrowing a very high percentage of your property's value may limit your options. Conversely, a large amount of equity can offset a less-than-perfect credit history.
Can I Remortgage with a Low Credit Score?
Yes, but your options will be more limited and the rates higher. Specialist or 'adverse credit' lenders cater specifically to borrowers with impaired credit histories. You may also find it helpful to work with a mortgage broker who has access to the whole market, including lenders who assess applications manually rather than relying solely on automated credit scoring.
If your credit score is low and your current deal isn't expiring imminently, it may be worth spending six to twelve months improving your score before applying. The savings from qualifying for a better rate could far outweigh the cost of remaining on your current deal a little longer.
Important: Your home may be repossessed if you do not keep up repayments on your mortgage. There will be a fee for mortgage advice. The actual rate available will depend on your circumstances. Think carefully before securing other debts against your home.