0 Credit Score

🔴 What it means:
A 0 credit score is not ideal—it signals extremely low creditworthiness. If a lender checks your score, they’ll likely have serious concerns.

❌ Possible reasons:

Bankruptcy or severe financial hardship
Limited or no credit history (the bureau may not have enough data on you)

📌 What you can do:

Start building your credit history by using small credit accounts and paying them on time
Check if your credit report contains errors that need correcting

1 – 495: Poor Credit Score

🔴 What it means:
A score below 496 generally falls into the poor category, making it difficult to get approved for loans or credit without high interest rates or security requirements.

❌ Possible reasons:

Unpaid defaults or missed payments on credit cards, loans, or mortgages
Defaults on utility bills or other financial obligations
Financial distress or high debt levels

📌 What you can do:

Pay off any outstanding debts as soon as possible
Make all future payments on time to start rebuilding your credit

496 – 705: Below Average Credit Score

🟠 What it means:
A score in this range suggests you may have some unfavorable credit history. Credit providers may see you as a moderate risk.

❌ Possible reasons:

Missed payments or arrears on credit facilities
Unpaid defaults or excessive debt
Being in a younger age bracket with limited credit history

📌 What you can do:

Reduce your debt load and maintain regular payments
Avoid applying for too many loans in a short period

706 – 824: Average Credit Score

🟡 What it means:
This is an average credit score. Lenders will likely view you as financially stable, but you may still face higher interest rates compared to those with higher scores.

✅ Typical characteristics:

Consistently meeting financial obligations, but possibly with occasional late payments
No unpaid defaults
Some established credit history

📌 What you can do:

Keep making payments on time to further improve your score
Consider consolidating debts to streamline payments

825 – 892: Strong Credit Score

🟢 What it means:
A score in this range reflects strong creditworthiness. You’re seen as a reliable borrower, which gives you access to better financial products and lower interest rates.

✅ Typical characteristics:

Long and consistent history of on-time payments
Likely to be a homeowner or have long-term financial stability
Can negotiate better terms on loans and credit cards

📌 What you can do:

Continue managing credit responsibly
Leverage your strong score to secure better financial deals

893+: Excellent Credit Score

🏆 What it means:
A score of 845 or above is considered excellent. You have a top-tier credit profile, meaning banks and lenders will likely offer you the best deals.

✅ Typical characteristics:

A long history of responsible credit management
Easy access to unsecured finance
Ability to negotiate the best rates on mortgages, car loans, and credit cards

📌 What you can do:

Maintain your excellent credit habits
Take advantage of competitive financial offers to maximize benefits

Final Thoughts

Credit scores are still relatively new in New Zealand, and there are differences in how each bureau calculates them. Some banks may not share your full credit history with every bureau, which could affect your score.

Regardless of where you stand, improving your credit score is possible with consistent on-time payments, responsible credit management, and reducing debt where possible.

📌 Want to check your credit score? Get your free credit score here

Read more:
How to improve your credit score