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Understanding the Different Credit Score Ranges in South Africa

What is the credit score range and what does it mean?

It’s important to keep in mind that your credit score range in South Africa up to 50 points when assessed by different groups. The usual range for credit scores is between 600 and 750, with a broader scale that goes from 350 to 850. It’s important to have the highest credit score possible to access the most favorable credit performance and loans.

Why is credit score so important?

When your credit score is seen as excellent, you can expect to receive a positive “prime” interest rate. If your credit score rating is good, you are viewed as a credit risk but can still qualify for a good loan. Need to provide more documentation to secure the loan, though.

Credit score is on the lower side, you might be in for a surprise when you apply for a loan. Get the amount were hoping for, and even if you do, the interest rate might not be as favorable would have liked. Even a small difference in your interest rate can end up costing you thousands of rand in the long run. This means that instead of having more purchasing power, you end up putting money into the pockets of lenders.

What can my credit score affect?

When seeking a loan or credit attachment, it’s important to know that lenders check credit scores to resolve credit history. This score is a numerical evaluation credit report and impacts different parts of the borrowing experience, such as credit limit, loan payment, interest rate, and loan terms.

Essentially, your credit score is like a summary of your credit report, and it’s what lenders use to quickly resolve whether or not they want to work with you. So, it’s important to credit score in good shape by keeping a positive credit history and paying bills on time.

Origins of Your Credit Score

Did you know that there are three main companies that collect your credit information? Equifax, Experian, and Trans Union keep track of everything from account payment history to job information. However, not all of them use the same method for assessing your credit report and assigning a credit score.

This creates a gap in lenders being able to assess your credit history. Luckily, my Credit has stepped in to normalize the credit score with their credit scores. Most lenders use these credit scores to resolve whether or not they will do business with you.

All 3 Credit Scores Are Available

When you get your 3-branch credit reports and credit scores, you’ll have a complete view of your credit information from all three South Africa credit branches (Experian, TransUnion, and XDS). This way, you’ll be aware of your credit standing and of which branch your lender uses.

Start with your Credit Report

Credit Score Range*ExperianTransUnionXDS
Excellent800-850767 – 999840-1000
Very good740-799681 – 766760-839
Average670-739614 – 680680-759
Fair580-669583 – 613 
Low300-579527 – 5820-679

Before you apply for a loan, it’s a good idea to order copies of your credit reports and credit scores. This will give a clear idea of where stand and what possible creditors will see when they review their credit history. Even if you always pay your bills on time, it’s important to review your credit file to ensure that all the information is valid and up-to-date.

Credit Monitoring

When applying for different loans such as auto loans, mortgage loans, or a loan for personal or business use, different lenders may have different standards for assessing your creditworthiness. By reviewing credit reports and scores, Gain insight into how lenders might solve credit data, and take steps to improve credit history.

Reasons to check your credit score free

Before credit score is negatively impacted, it’s important to check for any inaccuracies. A credit report contains the same information that lenders use to estimate credit history, so important to know why been approved or declined credit. Also, useful to find out who has recently accessed credit history, such as credit card issuers, mortgage companies, or employers.

Before applying for credit, make sure that your credit report is complete and correct. This will help safeguard you against possible credit fraud. Be sure to carefully review your credit reports and scores, as any unusual accounts or addresses could mean fraud.

You can receive all three credit scores from each credit section online, along with credit monitoring, credit reports, and credit scores.Experian


Melokuhle is a publisher at Focus Money with over one years of experience in the financial services industry as a marketer. Leanne has successfully completed the South Africa Securities Course (CSC®) along with the Personal Lending and Mortgages Course offered by the South Africa Securities Institute. In addition, he holds a Bachelor of Arts (Honours) degree in English Literature and Creative Writing from Western University.

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