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Good Score, Empty Cupboard

Many low-to-middle income households see maintaining a “good” credit score as vital, often sacrificing essentials to protect it. Credit score apps and dashboards can amplify this pressure. A survey of 3,400 households and 30 interviews shows credit score dashboards can often encourage overborrowing and deter help-seeking. The cost-of-living crisis has exposed a credit reporting system favouring lender interests over borrower welfare and reform is urgently needed.

Report
Event

Good Score, Empty Cupboard

Many low-to-middle income households see maintaining a “good” credit score as vital, often sacrificing essentials to protect it. Credit score apps and dashboards can amplify this pressure. A survey of 3,400 households and 30 interviews shows credit score dashboards can often encourage overborrowing and deter help-seeking. The cost-of-living crisis has exposed a credit reporting system favouring lender interests over borrower welfare and reform is urgently needed.

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Our work makes a real difference to lower income households. We were leaders in the campaign for caps on the costs that payday lenders and rent-to-own firms can charge, which has saved borrowers an estimated £150 million per year since 2015. And our FlexMyRent project could eliminate the need for social housing tenants to incur any interest at all.

Most recently we have been supporting the We are Debt Advisers campaign from our own revenues.   We therefore welcome donations, of any size, which we can put towards current and future campaigns.
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