Millions of Britons are missing out on ‘easy way to save £129,000' - are you affected?

That’s enough to buy a one-bedroom house outright in Birmingham without the need for a mortgage. It’s often recommended by experts and is so easy to do that millions of Britons could benefit but are missing out.

When it comes to one’s credit score, the benefit of a good score versus a poor one shouldn’t be underestimated.

Not when it could save the ordinary Briton £129,000 over the course of their lifetime.

A credit score depicts a consumer’s creditworthiness – the higher the score, the better rates a borrower is offered.

Akansha Nath, Head of Partnerships at Credit Karma who conducted the research, said the first step towards looking after one’s credit score is to not overspend.

A credit score is based on someone’s credit history which takes into consideration how many active accounts they have, how much debt they hold and their repayment history.

Although it pays to be savvy from 18, it’s never too late to improve it.

Ms Nath shared some top tips to help people strengthen their credit score.

Her advice could help people secure lower rates for mortgages and loans, saving them thousands even if they are late getting started.

Figures from the Bank of England show that consumer borrowing on credit cards jumped to its highest level in more than a year in November 2021.

Credit Karma says it highlights that it’s more important than ever for people to take a look at their accounts and start re-evaluating their financial priorities.

Ms Nath added: “The total value of a good credit score has been quantified at £129,000 – in terms of the interest savings when comparing a good to poor score across a lifetime of borrowing (age 20-68).

“It gives those with better scores can secure lower rates for mortgage, credit cards, loans and car finance.”

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