How equality has damaged women's chances of getting credit

Posted in 'Credit Score' by Barry Stamp

08 November 2011

It’s a little known fact that women are better at managing credit than blokes. By a fair margin.

Sadly, this makes no difference to the way our credit applications are assessed. It did make a difference, until the Sex Discrimination Act 1986 was enacted, forcing lenders to remove gender, one of the most powerful predictive elements, from their credit scorecards. Up to that point, it was easier for women to get credit, as it was statistically proven that the chances of a man paying late or defaulting on a credit agreement are significantly greater than the chances of a woman defaulting.

So while no-one would want to return to the days before sex discrimination was outlawed, it’s worth reflecting that the move to achieving equality in all things has reduced women’s chances of getting credit.

Women may carry less risk of defaulting on a credit agreement than men, but are more at risk at identity theft, because of the comparative amount of essential junk carried in handbags and purses.

Whether male or female, check out our free identity theft check to get personalised advice on what you need to do to help reduce the risks of falling victim to identity fraud.

If you want to restore the balance and increase your chances of getting credit, get a free Multi Agency Credit Report from us and we will use our knowledge of credit scoring to find lenders that are matched to your credit score. We'll show you which lenders are likely to say yes, and list them out so you can select the cheapest one, or the one that best suits your needs.

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