Check my credit score > Is 446 a good Experian credit score?

Is 446 a good Experian credit score?

Wollit Team4 minutes read · Updated 16th November 2024

Your credit score of 446 falls into the lowest credit score band with Experian, UK’s largest credit reference agency. They call this range “Very Poor”.

What does a credit score of 446 mean?

In the UK, credit scores are calculated by three main credit reference agencies: Experian, Equifax, and TransUnion. Each agency has its own way of calculating credit scores, which means that if you check your credit score with all of them, you’ll probably have not one, but three credit scores.

These agencies also split their scores into different bands to help people understand how lenders see them.

A “Very Poor” credit score is the lowest possible rating that you can get with Experian. Your credit score is in this band if it’s below 560. TransUnion has a similar band, also called “Very Poor”, although their credit score range is different (0 to 710 instead of 0 to 999 as it is with Experian). Equifax has a similar band called just “Poor” and it’s for scores below 438 on their own scale.

What does a 446 credit score mean for my money?

Having a “Very Poor” credit score can have a huge impact on your ability to get loans, credit cards, and other financial products – even to rent a flat or open a basic bank account. Lenders view people with very poor credit scores as much more likely to default on their payments.

This is what you can expect:

• Extremely high interest rates. We’ve seen APRs higher even than 1,000% per year for loans accepting people with very poor credit scores.
• Very limited options. The majority of lenders will refuse your credit application if you have a 446 credit score. Even if you get approved, it will only be by specialised lenders who offer so-called “bad credit loans” with extremely high interest rates and short repayment periods.
• Higher deposit requirements if you’re renting a house or a flat. Same if you’re opening an account with a utilities provider, like Thames Water or EE.
• When you open a current bank account, you might not be offered an overdraft line.
• In some cases, you might even be refused a mobile phone contract if it comes with a premium phone, since it’s technically a loan that the mobile phone company gives you.

How to improve a credit score of 446?

If your credit score is 446, you should approach debt in a careful way:

• Get help from family and friends first. Even if you just need a bit of cash, treat these loans a bit more formally so you can keep your relationships safe. If you need more support, discuss the option of them becoming your guarantors.
• Stop making new credit applications for a while. We suggest you avoid as much as you can taking payday loans or loans from “bad credit” lenders.
• If your very poor credit is a result of a single event (like a one-time default or CCJ), add a Notice of Correction to your credit reports. This is a short 200-word note in which you can explain why this “adverse event” is present on your credit report and give lenders some context into your situation. Lenders might understand if your default, for example, was because of job loss or illness.

However, the most important thing is that you take steps to rebuild your credit. The good news is that now there are many apps that can help you repair your credit score. One such app is Wollit.

Wollit is available on both iOS and Android, and it reports your monthly subscription as loan repayment to all three main credit reference agencies, helping you improve and repair your credit history, which is the main factor that matters for your credit score.

On top of this, Wollit can also report your monthly rent payment to Experian. This can add another line in your credit report which shows lenders that, despite your very poor credit score of 446, you can be relied on to pay your bills on time.

Eventually, all of this will help you to reduce the impact of your past mistakes in your overall credit file. However, you need to know that it will take time. You might need to wait at least 2-3 years before becoming eligible for anything resembling a normal loan or credit card again. The important thing, though, is that you’ll get there.