2 Associated Factors That Don’t Affect Your Credit Score

December 30, 2020
teaching kids about money

To any South African adult, one of the most prevalent concepts that will pop up and make its presence known throughout one’s life is credit scores. 

As you grow older and take on more financial responsibilities when you start a family or go deep into your tenure at work, you’ll become increasingly aware of the impact a score has in your life. On top of all the different matters that are related to your credit score, the most involved you’ll ever be with this topic is when you start taking out loans and making repayments.

Regardless if you’re taking out a loan to fill the gap for your mortgage payments or for your little one’s birthday party, you’ll surely end up at a point where your credit score remains at the top of your mind. Given that the presence of the concept in question is one that lasts throughout your lifetime, it’s easy to see why many end up stressing over their scores. 

By now, you’ve probably taken the time to go over the specifics of your score and further understand how the whole system works. While there are many matters that may become clearer as time passes by, the one specific topic that may not be as obvious or easy to understand is the concept of what affects your score. This is especially true when it comes to discerning what specific factors don’t affect your score (contrary to what most people expect).

What are the different factors that don’t affect your credit score?

In the same way that many different factors and components can affect your credit score, many also don’t affect the rating you get on your annual report. 

Although it may not seem like such a pivotal factor at first, knowing which factors don’t affect your overall score can make a world of difference in managing your finances and keeping track. Unfortunately, many South African borrowers end up putting themselves in tight situations because they worry about matters that don’t matter. 

Let’s now look at some of the different factors that surprisingly common but don’t have a direct effect on your credit score: 


  • Your net worth


Yes, you read that right: your net worth doesn’t have a direct effect on your credit score. In fact, it isn’t referenced in the credit score or calculation process!

Admittedly, most people think that their personal savings can affect their chances of taking out a loan with lending firms at optimal rates because it can seem like borrowing power and liquidity are intertwined. However, you’ll quickly realize that having a bigger bank account or more assets and investments under your name won’t put you over another applicant if you have the same score as they do!


  • Traffic fines


Another key financial factor in any South African’s life that surprisingly doesn’t affect one’s credit score is the traffic fines that are incurred throughout their lifetime.

Whether or not you’ve settled a fine, it’s safe to assume that a traffic stop or infraction on the road (and your license) won’t meddle with your rating. However, it’s worth noting that having a summons process that will ultimately result in a judgment being made against your name can negatively affect your score!


While there may be many different factors and experiences (or processes) that will affect your credit score in one way or another, it’s important to understand that it also pays to know about the ones that don’t. Once you firmly understand what you won’t need to worry about when improving your credit score, you can focus on tending to more important matters that do! 

We’re an online loan provider in South Africa that offers personal loans for those needing a credit score boost with a quick and easy process. Check out our website to apply for a loan today!