It is a fair question. If we do not take a personal guarantee, why would a director's personal credit matter at all? The short answer is that the lending decision is about the company, not the director. We lend to your limited company or LLP, the obligation to repay sits with the company, and we do not rely on a director's personal finances as security. For the background to that approach, see why we do not take a personal guarantee.
What the decision is actually based on
The assessment looks at how the business trades and whether it can comfortably repay. The signals that carry weight are company-level: your trading activity through the business account, your filed Companies House record, and business credit information about the commitments the company already holds. These are the things that shape the outcome and the amount we can offer. You can read more in what information the decision uses and why a credit search is part of the decision.
So is a director's personal credit file pulled?
The credit search that feeds the decision is a business search, recorded against the company rather than against any director personally. We are not assessing a director's personal credit score as the basis for lending, and we do not place a guarantee on a director's own assets. That is the whole point of lending to the company.
Where a director still comes into it
A couple of director-level checks are separate from credit scoring and exist for good reason:
- Identity and authority. We confirm who is applying and that the person has the authority to commit the business. This is verification, not a judgement on personal borrowing.
- Public director information. Matters such as a current disqualification, or director details filed at Companies House, can be relevant to whether the company itself is sound to lend to. This looks at the business, not a personal credit rating.
None of this turns into a personal guarantee, and none of it puts a director's home or personal savings on the line for the company's borrowing.
Keeping it fair and consistent
Because the decision is driven by the business rather than by anything about a director as an individual, similar companies are treated in a similar way. If you believe an outcome relied on incorrect information, you can ask us to explain the main reasons and request a human review. See is the decision fair and unbiased and how to ask for a human review.
Credicorp is an exempt business lender to UK limited companies and LLPs. This is business finance outside the consumer-credit regime, so the Financial Ombudsman Service and FSCS do not apply, and internal review is the route for challenging an outcome.
See also: Can I find out why I was declined?, Can I reapply after a decline?, Does a CCJ against my company affect eligibility?.