What is a credit score? How lenders decide whether to lend to you
By SendPay Business · · 2 min read
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A credit score is a number that sums up how you have handled borrowing in the past. Lenders use it, along with your credit report, to decide whether to lend to you and at what rate.
Where the score comes from
Credit reference agencies collect information from lenders about your loans, cards and bills. The three main agencies in both the UK and the US are Experian, Equifax and TransUnion. Each works out its own score, so your numbers can differ between them.
What usually helps and hurts
- Paying bills and loans on time helps.
- Using only part of your available credit helps.
- Missed or late payments hurt.
- Applying for lots of credit in a short time can hurt.
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What it does
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When a credit check is not needed
Credit checks are for lending. Opening a basic account that only spends money you have loaded, such as an e-money account, usually needs identity checks (KYC) but not a credit check.
Where SendPay fits
SendPay does not offer credit or lending. SendPay platforms are powered by licensed partners, and SendPay tells you in writing which licences apply to your platform before you launch.
How it works
Your own money app- 1Name it and pick your colours
- 2Choose what it does
- 3Launch when you are ready
Why sign up
Create your free SendPay account
It's all about creating your own financial platform with ease. Start with a free account today.
- 🪪A free business accountOpen it in about a minute with your business name, email, password and mobile. No card and no documents to start.
- 💳Get paid from day oneTake card payments, and share your own payment link and invoices so customers pay in a click.
- 🌐A free business websiteFree to build, free to publish and free to keep, with unlimited visits.
- 🚀Your own financial platformDesign and preview your whole platform free, then launch when you are ready.
SendPay Business is a technology company, not a bank. Accounts, cards and payments are powered by licensed partners.
Questions people ask
How much of my credit am I using?
Work out your credit utilisation, free.
Credit utilisation calculator →What is a debt-to-income ratio?
The share of your income that goes on debt payments. Our free calculator works it out and shows your room under a target ratio.
Debt-to-income calculator →Can I launch my own money app?
Yes, with a branded platform powered by licensed partners.
See platforms →Read next
Spotted a mistake or something out of date? and we'll fix it. How our guides are made
This guide is general information, not legal or financial advice. SendPay Business is a technology company, not a bank, and does not take deposits; regulated services on the platforms are provided by licensed partners. Other companies named in this guide are reference points only and are not affiliated with SendPay Business.