The plain-English explainer

Catalogue credit, finally explained like a human would

Credit limits, soft searches, affordability checks, weekly vs monthly — what each one actually means for you, and how to use catalogue credit without it using you.

How catalogue credit works

The mechanics: account, limit, payments, delivery — in order.

Credit limits explained

Why limits start where they do, and how they grow.

Affordability checks

What lenders look at when the score isn't the whole story.

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The A–Z, minus the jargon

Affordability check

A look at your income and outgoings to see if the payments fit your budget. Used instead of, or alongside, a credit score.

APR

Annual Percentage Rate — the yearly cost of borrowing, including interest and fees, shown so you can compare.

Credit file

Your record with the credit reference agencies: accounts, payments, CCJs and searches.

Credit limit

The most you can owe on an account at one time. Often starts modest and grows with on-time payments.

Credit score

A number the agencies calculate from your file. Each lender sets its own cut-off.

Default

Recorded when an account falls far behind. Stays on your file for six years.

See the full glossary →