Could using Loqbox Save harm my credit score?

  • Updated

The purpose of Loqbox Save's credit builder is to build your credit score over the course of 12 monthly payments. By making all of the 12 payments, you should see a positive increase in your credit score.

But if you do decide to cancel Loqbox Save prematurely, especially within the first few months, you might not achieve the full benefits of the credit-building intention. Many people notice a temporary dip in their credit score early on, a phenomenon we call the 'Credit tick.' This is a normal part of the process when you take out a new credit agreement, and your score typically rebuilds in the right direction. However, if you cancel during this phase, your credit score could potentially be lower than when you started.

It's also important to mention that missing a Loqbox Save payment could mean we have to report it negatively to the  credit reference agencies, negatively affecting your credit score. But rest assured, you have the option to unlock your Save to prevent missing a payment and we will be in touch if you do fall behind.

Your financial success is our priority, and we're here to help you every step of the way. If you have any questions or concerns, feel free to reach out. Your credit journey is in good hands!