'Credit-score company encouraged me to borrow again when I was nearly debt-free'

Key Highlights

• But for people with an average credit history it is typically about 25%. Panorama has also spoken to people who say their lenders nudged them towards taking on new debts, despite the fact they were struggling financially. One man told us how his bank had increased his credit limit, even though he had racked up almost £7,000 of debt during a manic episode linked to bipolar disorder.
• Another man described how he is now selling his home, after becoming overwhelmed by credit card debt when work dried up and his marriage broke down.
• The woman with a £10,000 debt, mother of five Amanda - who receives universal credit and has requested anonymity - went to a debt charity for help.
• It took years, but Amanda says she got on top of her debt. She had signed up with credit-score provider Experian and, like many people, thought checking her credit score was a responsible thing to do."It was really useful.
• I'd get the monthly alert of the status of my financial affairs," she says. Amanda shows the BBC emails from credit-score firm ExperianCredit agencies such as Experian gather data on customers based on information including their debt levels, number of credit applications, and whether they pay their bills on time. A better credit report means someone could be offered the most competitive interest rates and may find it easier to borrow - however the decision about whether to offer credit is made by each individual lender. As Amanda came closer to paying off the last of her credit card debt, she says Experian started sending her more than just monthly credit report updates: "It would be offers in the lines of, 'your credit card approval rate has increased', inviting you to look at lenders."Amanda says she was sent emails with "constant" offers for high-interest, so-called credit builder cards, which allow customers to improve their credit scores if debts are paid on time.