Credit history is one of the essential things for any lender to lend money to someone. Simply put, it is a person’s habit or history of paying off liabilities like bills and loans. When you apply for a loan, higher purchase, or credit application, the lender looks at your ability to serve the loan and whether you are a risk. This is where your credit history comes into play. If, in the past, you paid your regular instalments without any misses or going into arrears and also paid your bills on time, then your credit history would be good and vice versa if you were careless at meeting your commitments. Remember, it is vital to meet your financial obligations on time. Even if you eventually clear your outstanding debts, but they are not paid on time, you may still end up with a poor credit history. Does the number of credit checks matter? Yes, it does up to a specific limit. If a person has had just a few checks in the last 12 months, that does not affect the credit history much; however, if the same person had too many checks in a short time, that can negatively affect the credit history.