How does Pave Lite work?

Read this section if you signed up for Pave Lite on or after the 24th of January 2022.

Pave Lite can build your TransUnion, Experian and Equifax credit score by improving your repayment history and credit utilisation. We open a credit line starting at £50 that can be used to pay your Pave subscription fees with, which can also build your credit score and improve your credit utilisation and repayment history - this is our Credit Builder service. Your credit utilisation is the amount of available credit you are using and is one of the largest factors impacting your credit score, together with repayment history.

How Pave Lite works:

1. 1. Pave opens you a credit line starting at £50
   2. This credit line can be used towards making payments for your Lite subscription 
   3. At the end of each month, you settle any outstanding balance by paying your subscription fee
   4. Your payment behaviour related to the credit line is shared with TransUnion. 

Pave Plus also lets you track your TransUnion credit score in the app (subject to security checks), and receive Whatsapp and Email based support from Credit Experts. If you connect your bank, we can also send you alerts if you're at risk of missing a bill payment that could harm your credit score with our Bill Alerts feature. The bills that are most likely to impact your credit score are tracked and shown as "Priority Bills" in the app.

Finally, subject to eligibility checks, you may also qualify for our Bills Monitor service, which can be used to top up your bank account to pay pre-approved recurring bills.

You do not need to do any hard credit checks to use your Pave membership.

Please note that Pave memberships cannot guarantee to improve your score. Pave Lite is reported as account type 04 - Revolving account to TransUnion which is one of the major Credit Reference Agencies in the UK.

Pave Lite can build your Experian credit score by improving your repayment history.

Repayment history is the largest impacting factor on your credit score as it makes up 35% of your overall Experian credit score, so improving this can be an effective way to improve your score.

We report your Pave Lite membership as a 'rental agreement' when we report your membership fee payments to Experian every month. Our agreement with Experian means we can do this without performing a hard credit check.

All you need to do is pay your membership fee on time, and this can build your credit score.

Please note that Pave memberships cannot guarantee to improve your score. Pave Lite is reported as account type 64 - other rental to Experian