top of page

What is the impact of my credit score on a savings account?

Curious about Savings accounts

What is the impact of my credit score on a savings account?

Your credit score does not directly impact your savings account. A savings account is not a form of credit, and therefore, it is not reported to credit bureaus or included in your credit score calculation.

Credit scores are primarily based on your credit history and how you handle creditrelated obligations, such as loans, credit cards, and other forms of debt. They are used by lenders to assess your creditworthiness and determine the interest rates and terms they offer you.

On the other hand, a savings account is a financial tool that allows you to deposit and save money. It does not involve borrowing or credit transactions, so it does not have any direct influence on your credit score.

However, indirectly, maintaining a healthy savings account can contribute to your overall financial wellbeing, which can have positive effects on your credit score. For example, having savings can help you manage unexpected expenses, pay bills on time, and avoid relying too much on credit or taking on excessive debt. These responsible financial behaviors can have a positive impact on your credit score in the long run.

It's important to note that while your savings account itself does not impact your credit score, your banking relationship with the financial institution holding your savings account could indirectly affect your credit. For example, if you have an outstanding debt with the same bank, such as a credit card or a loan, your payment history and overall relationship with the bank could be considered in your credit score calculation.

In summary, while your savings account doesn't directly impact your credit score, responsible savings habits can contribute to a healthier overall financial profile, which may have positive effects on your creditworthiness.

bottom of page