TransUnion, the credit reference agency behind your free MoneySuperMarket Credit Score, has introduced a new way of calculating credit scores.
This means your credit score and rating may look different, even if nothing has changed in how you manage your money.
But don't worry. The update won't change the information in your credit report or directly affect your ability to get credit.
Here's what's changed, what it means for you and why there's no need to be concerned.
What has changed?
TransUnion has made three changes to how your credit score works:
A new scoring scale: Your credit score is now be calculated out of 999 instead of 710.
Updated credit ratings: The five credit score bands have been refreshed, with 'Poor' and 'Very poor' changing to 'Low' and 'Very low'. This is intended to make the ratings more neutral and inclusive, particularly for people with limited credit history.
A more detailed score: The new calculation considers more information about how you manage credit over time, including changes in account balances, overdraft usage and cash withdrawals on credit cards.
These changes are designed to give you a clearer picture of your credit health and help you better understand how you're managing credit.
Because the way your score is calculated has changed, you may notice a difference in your score or rating, even if your financial circumstances haven't changed.
How have the credit score bands changed ?
Alongside the new scoring scale, TransUnion has updated the score ranges for each credit rating.
Here's how the old and new bands compare:
Credit rating | Previous score (out of 710) | New score (out of 999) |
Excellent | 628–710 | 786–999 |
Good | 604–627 | 653–785 |
Fair | 566–603 | 563–652 |
Low (previously Poor) | 551–565 | 488–562 |
Very low (previously Very poor) | 0–550 | 0–487 |
Will my credit rating change?
Your credit rating may have changed, but most people will stay in the same band or move into a higher one.
Based on TransUnion's estimates:
58% of people stayed in the same credit rating band.
36% will have moved into a higher band.
6% moved into a lower band.
Remember, the old and new scores aren't directly comparable because they're calculated differently.
So, if your score or rating has changed, it doesn't automatically mean your credit health has improved or worsened.
Will this affect my ability to get credit?
No. The change to your MoneySuperMarket Credit Score won't directly affect whether you're accepted or declined for credit.
Your credit score is designed to help you understand your credit health. It's an indicator, rather than a score that lenders use to decide whether to lend to you.
When you apply for credit, lenders don't access your MoneySuperMarket account or the credit score and rating displayed there.
Instead, they obtain information directly from the credit reference agencies they use, such as TransUnion, Experian or Equifax.
They then assess your application using their own lending criteria and scoring methods, which may consider:
Your credit history and how you've managed borrowing.
Your existing debts and financial commitments.
Your income and affordability.
Other information provided in your application.
This means lenders don't see or use your MoneySuperMarket credit rating when deciding whether to offer you credit.
And because this update doesn't change the underlying information in your TransUnion credit report, it won't, by itself, affect a lender's decision.
Did my credit report change too?
No. Your credit report hasn't changed as part of this update.
Your credit report contains information about your borrowing and repayment history, including credit accounts, outstanding balances and payment records.
TransUnion uses this information to calculate your credit score. The update changes how that information is assessed and presented as a score, not the information itself.
Your credit report will continue to update as normal when lenders and other organisations provide new information.
Do I need to do anything?
No, there's nothing you need to do.
You can continue checking your free credit score, reviewing your credit report and using the personalised tips available to help you understand and improve your credit health.
And remember, checking your own credit score won't affect it.