Why Your Credit Score Can Drop When You Move House

A house move involves a lot of paperwork, and the effect on your credit file often gets forgotten until a lender raises a problem. The move itself changes nothing; the damage comes from avoidable mistakes around addresses, the electoral roll and old accounts.

Mistake 1: Assuming the Move Itself Knocked Your Score

There is no single credit score in the UK. Experian, Equifax and TransUnion each keep their own record of you and calculate their scores independently. Where you live, which street you are on and the number of house moves you have made play no part in any of those numbers. An address exists on your file so companies can tell the person applying is really you. When you apply, the lender compares the details you give with what it holds about you; mismatches can slow an application down or prompt extra questions.

Two addresses appearing on your file at once after a move is normal. Your old address does not need to be deleted, and a previous address on record is not a problem in itself. That history helps agencies link each application to the right individual and flag fraud.

Mistake 2: Leaving Companies at Your Old Address

Your credit history relates to you as an individual, not to an address, but your accounts stay tied to wherever each provider thinks you live. If you still get documents through the post, the closing bill from your energy supplier, an outstanding council tax balance or a card statement can all land at the previous address, where they are easy to overlook. Once a payment is recorded as missed, the damage to your score outweighs anything the move itself could do.

So notify every company you hold an account with, including banks, card providers, mobile phone providers and mail order firms. Old addresses cause other problems too. In 2016 the government announced a consultation on protections for people whose credit ratings were damaged by debts they did not know about, after claims were issued against consumers at incorrect addresses. Whether household bills appear on your file at all is a separate question; see do utility bills affect your credit file.

Mistake 3: Delaying Your Electoral Roll Registration

Nobody is automatically registered to vote. Paying council tax or having an online council account does not register you, and after moving you must fill in a new registration for your current address. It takes about five minutes online, and you will need your date of birth and National Insurance number, though you can register without it.

The timing catches many people out. Councils publish updated registers monthly, generally on the first working day. Your details are then verified against government records, which can take up to six weeks, and after that it typically takes a further four to six weeks for the information to reach your credit report. During the annual canvass, when councils check every household between July and November, it can take longer still.

The electoral roll gives lenders a quick, reliable way to check that the person applying really lives where they say, and not being registered can negatively affect your score and your chances for loans, mortgages, credit cards and mobile phone contracts. Until you re-register, identity checks are harder and lenders may ask for extra proof of address, which delays applications.

Handy tip

Register at your new address in the week you move in; between monthly publication dates and agency update times, your electoral details can take a couple of months to reach lenders.

Mistake 4: Recording Your New Address Inconsistently

Lenders check your address against the electoral roll and the Postcode Address File, the database Royal Mail uses to organise delivery of post. In a newly built home the address may not be registered anywhere yet; you can report it as a missing address to the Postcode Address File, and the change will filter through to companies. Make sure the address is formatted the same way on both the file and the electoral roll, because differences can hinder future credit checks.

If you are in temporary accommodation, such as student halls or military barracks, it is often better to register at a permanent address, such as a family home. And a postal vote does not move with you, so if you use one, complete a new postal vote application for your new address.

Mistake 5: Blaming the Previous Occupants

Credit checks are done on people, not addresses. You will not be linked to someone else’s credit report just because you have lived at the same address, your address cannot be blacklisted, and mail about debt collection or credit applications addressed to previous occupants has no effect on your file. What does connect you to others is shared finances, such as a joint mortgage or a joint bank account, and a financial associate’s record may be considered when a lender assesses your own application. Check the financial connections on your file and confirm the list is accurate.

Mistake 6: Applying for Credit at the Worst Moment

Every application for credit triggers a hard search that leaves a mark on your file. An occasional application makes little difference in the long term, but several in a short space of time is different, because lenders may read it as a sign you are irresponsible with credit. A move brings plenty of reasons to borrow at once, from furniture finance to a new phone contract, so space applications out.

Timing matters in another way. Lenders can take how long you have lived at an address into account when assessing an application, and identity checks stay harder until you are on the electoral roll at the new place. Where you can, put major applications off until your file shows the new address consistently. If a mortgage is the reason your file needs to be spotless, our guide to what to check on your credit file before a mortgage application sets out where to start.

Mistake 7: Closing Old Accounts in the Move Tidy-Up

Moving prompts a clear-out, and dormant credit cards often end up on the list. Lenders look for signs of stability in the age of your credit accounts, and it tends to help if at least one account has been held for several years. If your accounts are mostly new, that could lower your score. If you plan to close anything, think about the timing, particularly in the months around a mortgage or loan application.

How to Check Your File Is Right at Both Addresses

Credit reference agencies usually hold financial information for six years, so your report should show your full address history for that period. Read the personal details section carefully and check:

• Your current address is recorded, and your previous addresses are correct.
• Every account shows the details you expect, including anything you closed around the move.
• Your electoral roll entry matches your actual registration.
• Your financial connections list only people you genuinely share finances with.

Missing addresses can be added, and incorrect ones removed. If other information is wrong, you can dispute it with the agency, or ask for a notice of correction, a statement added to your record letting you explain your circumstances. Check all three agencies, since each holds its own data, and see how much it costs to check your credit file; the core information is free to view.

More on this site

• What a Low Credit Score Really Costs You on a Mortgage: why it pays to tidy your file before you apply, not after.
• Mortgage Agreement in Principle: What It Tells You and What It Doesn’t: how a lender views your credit record at the start of a property search.
• How Much Does It Cost to Check Your Credit File?: the free and paid ways to see what lenders see.

Your questions

Does moving house lower your credit score?
Not directly. An address exists on your file so lenders can confirm who you are and connect your history to you, not to judge you. The damage comes from knock-on effects such as missed bills at your old address or a delayed electoral roll registration.

How long does it take for the electoral roll to update my credit report?
Local councils publish updated registers monthly, and verifying your details can take up to six weeks. Once registered, your information typically reaches your credit report within four to six weeks, and can take longer during the annual canvass between July and November.

Can the people who lived in my house before me affect my credit score?
No. Credit checks are done on people, not addresses, your address cannot be blacklisted, and receiving someone else’s mail does not affect your file. You are only linked to others if you share finances, such as a joint mortgage or bank account.

Should I close old credit accounts when I move?
Think carefully before doing so. Lenders like to see at least one account held for several years, and closing accounts reduces the age of your credit history, which could lower your score.