The UK’s credit health knowledge gaps revealed

The FCA’s latest Financial Lives survey has given some fascinating insights into what people in the UK know about credit reports and scores. And while there’s some encouraging news, there are some important gaps that need addressing.  

Checking credit reports is on the rise 

There’s some good news: People are becoming more proactive about understanding their credit health. The survey found that 34% of UK adults got their credit report or checked their credit score in the 12 months to May 2024 – that's a 6% increase since 2022. 

Young adults are leading the charge here, with 52% of 25 to 34-year-olds getting their credit report or checking their credit score in the past year.  

Why checking matters 

When people were asked why they'd checked their credit report, the reasons were practical. The most common was to get an overall idea of their financial situation (66%), followed by simple curiosity (41%).  

Around one in five people used it to check their eligibility for credit. It’s a good idea to see where you stand ahead of making an application – by making sure everything’s in shape on your file, you could save time and potentially increase your approval chances.   

The awareness gap that still needs closing 

While more people are monitoring their credit health, there are still significant awareness gaps. The survey found that nearly one in five adults are unaware that they can obtain their credit report or check their credit score from a credit reference agency or other credit information service.  

The gap is particularly noticeable among younger adults, where only 59% of 18 to 24-year-olds were aware they could access their credit information. 

Understanding credit health 

It's great that more people are accessing their information – but actually understanding it is another matter entirely. Fewer than two in five (39%) who checked their credit report or score in 2024 said they understood it very well, while around one in 10 (9%) didn't understand it very well or at all. 

This means that while people are getting better at staying in the know, many are finding it a challenge to make sense of what they’re looking at.  

At Checkmyfile, we cut through the jargon and help you make sense of where you stand. We give you the most detailed credit report out there, so you see everything a lender could see. Not signed up with us before? You can start with a 30-day free trial. It’s then a paid monthly subscription – cancel online anytime. 

Raising disputes 

The survey also looked at what happens when people spot errors on their credit reports. In 2024, 10% of those who checked their credit report identified an error or issue – that's roughly 1.8 million adults who found something that wasn’t right. 

Of those who found errors, about half (47%) successfully got the error corrected, while 30% hadn't yet resolved the issue, highlighting the importance of regularly checking your credit report – errors do happen, and they can affect your ability to get credit. 

At Checkmyfile, our UK-based customer care team can raise disputes with the agencies on your behalf. We’re with you every step of the way on your journey to better credit health. Take the first step today. 

What it all means 

The FCA’s research shows that we’re heading in the right direction, but there’s still work to do. 

Remember, checking your credit report isn't just about preparing for big financial decisions like mortgages or loans. It’s about staying informed, spotting errors early, and building the habits that can keep your credit health in check long term.