The Importance of Proving Stability to Lenders

Posted by Sophie Regester in Personal Finance on 15 March 2019 - Sophie is a Senior Credit Analyst at checkmyfile.

In addition to the key roles that your Credit History and Affordability play in determining whether or not you will be accepted for credit, we regularly talk about the importance of being able to demonstrate your ‘stability’ to potential lenders.

The less likely your circumstances are to change in the future, the more confident a lender can be that your Credit Rating and ability to repay any borrowing won’t change dramatically either, which makes it an important part of whether or not you’re likely to be accepted.

Building up this picture can take a bit of time and patience on your part as lenders will like to see this over an extended period, but it’s time well-spent and requires little effort.

Maintaining bank accounts

One way you can show stability to lenders is by approaching them with a bank account that you’ve held for several years.

Holding an account of any type for a long period of time usually indicates that both the customer and the provider are happy with the agreement and as such neither has sought to close the account. Not all credit providers will necessarily take the same approach and some will only see this information favourably if there’s evidence you have actually used the account regularly over a long period.

Our 2018 Banking & Credit Card survey recently revealed that more than 44% of people polled have stayed with their same bank for 10 years or more so it shouldn’t be a problem for many: provided you’ve been with your bank for at least a couple of years, this is likely to be seen favourably by lenders.

Address & Electoral Roll Listing

If your Credit Report shows that you have stayed at one address consistently for a good period of time, a lender can be more confident that it will be easier to contact you should it need to – for example if it needs to start legal proceedings if you have difficulty with repayments.

This information can be given further credence if you are also registered to vote at this address. Lenders see an Electoral Roll listing as a good way of verifying that you actually live at the address you’ve provided. The longer you’ve been registered to vote at an address, the more reliable this information becomes and the more stable you appear.

There are plenty of legitimate reasons why people may move house frequently or have no fixed address (such as overseas members of the armed forces) but it is still important to register to vote as soon as possible after moving. If this falls between annual updates, the Rolling Register will ensure that your Credit Report is updated as soon as possible. Even after registering, it can take a couple of months for your information to be updated.

As well as taking steps to ensure you re-register as soon as possible after moving, it again comes down to timing. Once you have moved house, try and give it a little while for the information on your Credit Report to move with you before applying for credit, which will make it much easier for prospective lenders to assess your Credit Report.


While information relating to employment isn’t included on your Credit Report, some applications for credit will ask for how long you’ve been in your current job as a factor in calculating your overall stability. If you have worked for the same employer for several years, the implication is that you have a steady source of income that isn’t likely to be disrupted any time soon.

This is seen as an important element when applying for a mortgage in particular, and some mortgage providers will only offer a mortgage to those that have been in their current job for three years or more. This will vary between lenders, but most will want to see that you’ve held your current position for at least a few months before applying.

Again, change isn’t a bad thing but be careful with the timing so that you don’t switch jobs immediately before a big event like a mortgage application.

In summary

On their own, it’s unlikely that any one of these things will make or break your application for credit, but combined with a good credit history, making sure you have the correct information on your Credit Report and that you can afford repayments, stability can certainly help your chances of being approved.

If you haven’t already, you can try checkmyfile FREE for 30 days , then for just £14.99 a month afterwards, which you can cancel online, by phone or by email. You’ll find the UK’s most detailed Credit Report, with data from all four UK Credit Reference Agencies, all backed up by top-rated customer service.

CCJs or County Court Judgments

It’s no secret that the levels of unpaid debts in the UK have been rising over the last few years, as household incomes stagnate and everything else in this world seemingly becomes more expensive. According to Credit Action, debt per adult is over £31,000 – or around 110% of average earnings. It’s also projected to take a whopping 26 years of consistent, minimum monthly payments to clear an average credit card. Debt may be all around us, but what happens when payments can’t be made when they fall due?

Published on 6 Dec 2019 by Kevin Pearce

Full Article

Could your Netflix and Spotify subscriptions help build your Credit Score?

Building creditworthiness takes time and diligence. At the heart of improving your Credit Rating is the simple habit of managing existing credit agreements well, and proving to potential lenders that you are a good credit risk.

Published on 31 Oct 2019 by Andrew Brown

Full Article

Apple Credit Card – Modern Innovation or More of the Same?

Apple’s first foray into consumer credit is finally available - to US iPhone owners at least.

Published on 24 Oct 2019 by Sam Griffin

Full Article

How does APR work? – Your questions answered

APR stands for Annual Percentage Rate and is a standard measure that allows you to compare the total cost of credit from different lenders.

Published on 30 Aug 2019 by Andrew Brown

Full Article

Check your Multi Agency Credit Report before the PPI deadline

The PPI deadline is at 11.59pm on Thursday 29 August. After this point, you can no longer submit applications to reclaim any PPI you are owed from lenders. If you’ve not done it, the time is now to check whether you are owed money. If you start your PPI application before the deadline, it’s still possible to reclaim what you’re owed.

Published on 28 Aug 2019 by Andrew Brown

Full Article

How interest rates are calculated

If you’ve ever applied for a form of credit, you may well have discovered to your cost that the advertised APR and the interest rate you’re offered if you are accepted can be very different things.

Published on 14 Jun 2019 by Richard Catlin

Full Article

If I Change My Name Can I Still Get Credit?

Legally changing your name is an increasingly popular thing to do in the UK: while getting married or divorced still makes up a large proportion of this, there is a growing trend towards people changing their name following civil partnerships, a change in gender, living in blended families, or simply because they’re seeking a change – the list is long.

Published on 22 Feb 2019 by Tom Magor

Full Article

Which Credit Report Information Can Landlords See

These days whenever you rent a property you may be required to pass checks set by the landlord or letting agent to prove that you will be a good tenant and that you’ll be able to reliably make rent payments to the property on time.

Published on 7 Feb 2019 by Kevin Pearce

Full Article

What Credit Checks Look For When You Switch Energy

As we get deeper into Winter, it’s inevitable that millions of consumers across the UK will end up using more energy and spending more on bills due to the colder weather and long stretches of darkness.

Published on 9 Jan 2019 by Jamie Mackenzie Smith

Full Article

Pros and cons of going paperless

Whether you are environmentally motivated or simply to get a discount for moving your billing online, you might find it makes sense to abandon paper for your business, if you haven’t already.

Published on 7 Dec 2018 by Kevin Pearce

Full Article


We are rated number 1 for customer service on