When preparing to buy a home, most people focus on saving for the deposit. While that’s essential, there’s another factor that is just as critical to your success: your credit score. Think of your credit score as your financial CV. It’s what lenders look at to gauge how reliable you are as a borrower, and it directly impacts whether you get approved for a mortgage and, crucially, what interest rate you’ll pay.
In the competitive property market of 2025, a strong credit score can be the key that unlocks the best deals. If you’re planning to apply for a mortgage in the next year or two, now is the time to take action. Here are six practical steps you can take to boost your credit score.
1. Check All Three of Your Credit Reports
The first step is to see what the lenders will see. In the UK, there are three main credit reference agencies: Experian, Equifax, and TransUnion. It’s vital to check your report with all three, as they may hold slightly different information.
- The Action: Request your statutory credit report from each agency. Scrutinise them for any errors, such as incorrect addresses, accounts you don’t recognise, or settled debts still showing as active. If you find any mistakes, contact the agency immediately to have them corrected.
2. Register on the Electoral Roll
This is one of the quickest and easiest ways to give your score a boost. Being on the electoral roll allows lenders to instantly confirm your name and address, which helps to verify your identity and reduce the risk of fraud.
- The Action: If you’re not already registered to vote at your current address, you can do so online in just a few minutes. This simple step proves stability and can have a surprisingly positive impact.
3. Manage Your Existing Credit Effectively
How you handle your current debts is a major indicator of your future reliability. Lenders want to see a history of responsible borrowing.
- The Action:
- Never miss a payment. Set up direct debits for all your bills and credit repayments.
- Reduce your credit utilisation. Aim to use less than 30% of your available credit limit on credit cards and overdrafts. For example, if you have a credit limit of £2,000, try to keep your balance below £600.
- Pay down debts, starting with the most expensive ones first.
4. Avoid Multiple Credit Applications
Each time you formally apply for credit (a loan, credit card, etc.), it leaves a “hard search” on your credit file. Too many hard searches in a short period can make lenders nervous, as it can suggest financial difficulty.
- The Action: Avoid applying for new credit in the months leading up to your mortgage application. When you’re ready to look for a mortgage, don’t apply to multiple lenders directly. Instead, use an expert mortgage advisor who can use their knowledge to place you with the most suitable lender, avoiding a scattergun approach that damages your score.
5. Prove Your Stability
Lenders value stability and consistency. While not always possible, demonstrating a stable history can work in your favour.
- The Action: If possible, try to stay at the same address and with the same bank for at least a year before applying for a mortgage. This helps build a picture of reliability.
6. Sever Old Financial Links
If you’ve ever had a joint financial product (like a mortgage or a bank account) with a former partner, their credit history could still be linked to yours. If they have poor credit management, it could be dragging your score down.
- The Action: If you’re no longer with that person, contact the credit reference agencies and ask for a “notice of disassociation” to sever that financial link.
Conclusion: Plan Ahead for Success
Improving your credit score is a marathon, not a sprint. By taking these proactive steps well in advance of your mortgage application, you put yourself in the strongest possible position to secure a great deal. For personalised advice on how your financial situation aligns with lender criteria, speaking to a professional can provide invaluable insight and a clear path forward.
