Credit Score
Credit Score
What’s in your credit score?
5 factors that impact your FICO credit score
The First 2 are the most important. And #2 is what really gives me a high credit score. My credit score at the moment: 820.
1. Payment history are you making every single payment on time
2. Credit utilization and all that means is from all the credit they've given you how much are you using here's a kicker they don't want you to use more than 5% why would they give you all this credit if you can't use it but it is what it is so always try to stay below the 5% number
3. Length of Credit History: is how long you've been using credit I've been using credit for the past 10 years this is more of like a start now and just wait type of thing
4. Different types of credit the mix of credit, ie cards, mortgages student loans, car loans they want to see that you have experience with different types of credit
5. How often are you applying for new credit because why are you applying for more credit when they've already given you credit
In the end your credit score has nothing to do with how much money you have in your bank account, or how wealthy you are or your financial health. It is supposed to tell banks how reliable you will be at paying back your debt. So, changing anyone of the above will improve your credit score over time.