About 30 Factors Influence Your Credit Score
A credit score or credit bureau risk score is based on information drawn from your credit report. About 30 individual factors are used to determine the score. Certain factors, such as payment history, have more weight than others, such as the length of your credit history. However, a factor may be more important to your credit score than to someone else's score because of differences in individuals' credit reports. Also, each factor's importance can change as your credit report changes. Factors can be categorized in five areas:
Also informative is the list of "reasons" that may be provided to account for why a score isn't higher. When lenders request your credit score, they also receive a list of the four most significant reasons your score is not higher. Although lenders do not have to tell you your score, they should share the reasons listed on the report with you.
The possible FICO reasons are:
Keep in mind that your credit report changes day to day as you make payments or increase balances. If you pay off your credit cards in full every month but your credit score is compiled before your payments are reported to the credit bureau, your score will reflect those balances. Generally, the total balance on your last statement is the amount shown on your credit report.
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