Factors That Affect Your Credit Score

Top 7 Factors That Affect Your Credit Score

 

1. Payment History

A record of late payments on your current and past credit accounts will typically lower your score. Being consistent and paying on time can, over time, have a positive impact on your score.

 

2. Public Records

Bankruptcies, judgements, and collection items may lower your score.

 

3. Length of Credit History

In general, a longer credit history is better and can sometimes have a positive impact on your score.

 

4. New Accounts

Opening multiple new accounts in a short period of time may negatively impact your score.

 

5. Inquiries

A large number of recent inquiries may negatively impact your score.

 

6. Accounts in Use

The presence of too many open accounts can have a negative impact on your score, whether you’re using the accounts or not.

 

 

Source: equifax.com