What information do credit scores not consider? And credit age and new credit are less influential. Payment history is moderately influential. Credit mix and experience are highly influential. It says credit utilization is extremely influential. But it’s clear about what’s crucial to its scoring models. How does VantageScore view those credit factors? These percentages can vary depending on what’s in your credit report, but they’re a good general guide. The other primary factors are credit history (15%), credit mix (10%) and new credit (10%). Payment history makes up about 35% of its scoring. The effect on your scores might be minor, but a lot of new hard inquiries could still give a negative impression to lenders when they perform credit checks.įICO is pretty specific about what it views as the most important credit factors. New credit applications: How many times you’ve recently applied for new credit.But remember, what qualifies as your oldest line of credit depends on what’s being shown in your credit reports. Credit age: How long you’ve had your accounts open and have used credit.Sometimes this is called your credit mix. Loans: How many loans you have and what types of loans they are, such as revolving credit accounts or installment loans.Credit utilization is usually expressed as a percentage. Credit utilization rate: Reflects how much of your available credit you’re using compared with how much you have available.Debt: How much current unpaid debt you have across all your accounts. This can include credit card debt, car loans and many other types of debt.Payment history: How well you’ve done making payments on time. Late or missed payments can reduce your credit scores.Here are a few factors the CFPB says make up a typical credit score: But if you don’t know what information from your credit report is being used, it’s not much help. So you can see credit-scoring models and credit reports are two big factors that determine your credit score. In total, FICO breaks its scores into five categories: Scores in that range are near or slightly above the U.S. But it says today’s models are still very similar to the original.įICO scores that range between 670 and 739 qualify as good scores. In the 30-plus years since, FICO has created multiple versions of its scoring models. Originally Fair, Isaac and Company, FICO helped standardize credit scoring. While creditors consider other factors too when determining your eligibility and rates, your credit score probably won’t be holding you back. A very good or excellent scoremeans you may be able to qualify for the best products with the lowest advertised rates.You also might find you can qualify for a traditional unsecured credit card but have a harder time qualifying for a premium card. A fair to good score means you may be able to qualify for more options, but you won’t necessarily receive the best rates or terms. And if you do qualify for an account, you may have to pay high fees and interest rates if you don't pay your balance in full each month. You might need to start with a secured credit card or credit-builder loan to build or rebuild your credit. A poor to fair score means you may find it difficult to qualify for many credit cards or loans.However, there are some general guidelines for how being within a score range can impact your choices: That means that what FICO, VantageScore or anyone else considers good may not be the same. It’s important to remember that lenders set their own credit policies and standards to determine creditworthiness. FICO says good credit scores fall between 670 and 739 VantageScore says good scores fall between 661 and 780.Ī good credit score range depends on where a score comes from, who calculates the credit score and who’s judging it.Scores from FICO and VantageScore typically range from 300 to 850.FICO and VantageScore are two popular credit-scoring companies.People have more than one credit score, and scores can vary based on how they’re calculated, when they’re calculated and what information is used to calculate them.So keep reading to take a closer look at credit scores, including how they’re determined, who’s looking at them, and what you can do to monitor and improve yours. If you’re just looking for a quick answer, it’s probably best to start with popular credit-scoring companies FICO® and VantageScore®, which issue two of the many different types of credit scores.īut there’s a lot more to it than that. But trying to explain what a good score is can be more difficult. Credit scores are used to predict how likely a person is to pay their loans and credit card bills on time.
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