What is an Eligibility Score?

21st Mar 2025

Eligibility is a way of working out your chances of being approved for a specific credit deal, based on your credit score. In the past, you might have had to apply for credit to find out whether you were eligible. The downside of this was that each application would leave a hard credit inquiry on your credit report, which could lower your score and affect your chances of securing credit in the future.

There is now a way to check your eligibility before applying without impacting your credit score. Many companies now offer an eligibility rating or checker, where you can enter some basic information and see your chances of approval. Since comparing deals only results in a soft credit inquiry, your score won’t be affected.

Calculating an Eligibility Score

Your eligibility rating is worked out by comparing your credit record information with the lender's criteria. Each lender has its own rules about the sort of person they wish to have as a customer, and you may well be accepted for one lender, and turned down for another which is using the same information. Using an eligibility checker should mean that you only put in applications for products which you know you are pretty certain of being approved for. Lenders will also look at any history you have with them as a previous customer – in general terms it is easier to get approved for a new product with a company you already have an account with than with an account you have no history with.

Using Eligibility Checkers

Eligibility checkers are most useful for weighing up deals for personal loans or credit cards. Before comparing deals, it’s helpful to know what you’re looking for to narrow down your search. Decide what sort of credit card you are looking for, or if you are in the market for a loan, consider how much you want to borrow and over which period. When you compare deals, you may be asked for personal and financial details to confirm your identity.

Benefits of Checking Your Eligibility

Knowing your eligibility in advance of making firm applications for credit can help in several ways:

• Save time: Filter through deals more efficiently and avoid applying for credit you’re unlikely to get approved for.
• Protect your credit score: Multiple credit applications over a short period can lower your score. By applying only for deals you're more likely to be approved for, you can reduce the number of applications and minimise the impact on your score.

How Can I Improve My Credit Eligibility?

Improving your eligibility rating comes down to improving your credit record to make yourself more appealing to lenders. There is lots of advice about building your credit rating online, but it mostly boils down to making regular payments, avoiding defaults, and never taking on more debt than you can comfortably afford to pay back. Improving your credit score isn’t a quick fix, but you should see some definite signs of things improving after around six months.