I’m thinking about switching from Barclays to Monzo, I’m just worried about my credit score. Will this be affected from the switch over?
There are a number of factors that affect your credit score. Opening a new account and closing an account you have had for a while can have an impact. However lenders tend to look more at affordability and your credit history when making decisions. If you are planning on applying for a loan/mortgage it may be best to wait until after that so there is stability in your credit report but otherwise the impact shouldn’t be significant.
Here is a good article on improving your score (if applicable).
P.S Monzo is better than Barclays
Loads of other posts about this if you search.
A familiar face and small world
Welcome to Monzo!
For some reason, my Monzo account doesn’t show on my credit score, so I’m not sure what would happen if Monzo was my sole account…
Monzo currently only report to one credit reference agency (TransUnion - report accessible for free via Credit Karma).
If you are looking at reports from the other credit reference agencies your Monzo account won’t show up.
I was on the phone to mortgage advisers yesterday and they suggested to let them know that it’d be best to check TransUnion when it comes to the credit check stages. Probably worth keeping in mind for any similar applications in the future.
I’d be amazed if a mortgage provider (or anyone doing a credit check) took note of any advice like that.
Purely based on previous conversations that I’ve had, and would love to be wrong.
Any reason why Monzo doesn’t report the the big (aka well-known) credit agencies? Seems short-sighted not to do so.
Presume it must be cost as it’s all API driven?
I don’t know about the “why” but they have said they are working on reporting to the others