Also called: Credit rating
Credit score
A credit score is a number produced by a credit reporting body that summarises the information on a credit file into an estimate of credit risk. Individuals and businesses have separate scores, and different bureaus use different scales and models.
What is a credit score?
A credit score is a number produced by a credit reporting body that summarises the information on a credit file into an estimate of credit risk. Individuals and businesses have separate scores, and different bureaus use different scales and models.
Example
A director might have a personal score in the mid-700s while the company holds a separate commercial score based on its trade and finance history.
Why it matters
Lenders use it as a filter rather than a decision, so a moderate score is often outweighed by strong trading and good bank conduct.