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Does opening a savings account affect credit score?

Opening a savings account typically does not affect your credit score in the UK. This is because your credit score is only influenced by your credit history, which is the history of your debt and how you’ve managed it. Savings accounts are not a part of it.

Do I need to go through a credit check when opening a savings account?

No. Most banks only perform a soft credit check to verify your identity when you open a savings account, which is not recorded on your credit report. Because of this, simply opening a savings account does not impact your credit score.

In fact, your credit report does not show any information from your savings accounts, how much money you have, how much interest your savings are earning, or how often you deposit or withdraw money from them.

However, there is something to keep in mind here. Some banks might offer you a package deal with a savings account. If this deal comes with a credit card or even an overdraft facility, the bank may perform a so-called “hard credit check” on your credit file. This hard check can cause a small, temporary drop in your credit score. But this is due to the credit application, not the savings account itself.

Can saving regularly improve my credit score?

Technically, no. As we said, savings accounts are simply not a part of your credit history.

This being said, there are two ways that a healthy savings habit can improve your credit score, at least indirectly.

First, saving up an emergency fund can help you avoid missed payments or debt if an unexpected expense arises, which is essential for maintaining a good credit score.

Second, Experian (the largest credit reference in the UK) has launched a service that lets you make your regular payments, which usually don’t get reported, count toward your Experian credit score. These payments include Council tax, utility bills, Netflix and other entertainment subscriptions, and regular investments and savings accounts (ISAs) contributions. This service is called Experian Boost, and it’s free for anyone with an Experian account (free or paid).

However, Experian Boost doesn’t technically improve your score. Experian reports both a regular and a “boosted” version of your score to lenders who participate in the Boost programme. We don't know how much they actually use this boosted version in their decisions.

Ultimately, Experian Boost only matters for your Experian score. The only thing that can improve all your credit scores (from all three credit reference agencies) is your credit history. To improve your credit history, you’ll need to have credit agreements (loans, mortgages, or credit cards) and repay them in full and on time.

One way to do this is by downloading a credit-building app like Wollit. Instead of asking you to take on more debt, Wollit works by reporting a fixed-fee subscription as a loan repayment to all main credit agencies. This helps you build your credit history directly – which is the single most important factor affecting your credit score.

Wollit, no stress, no hassle - just a clear path to better credit

Terms apply. Results may vary. Improvements to your credit score are not guaranteed. Wollit Credit Builder plans are unregulated.

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Terms apply. Results may vary. Improvements to your credit score are not guaranteed. Wollit Credit Builder plans are unregulated.