Ever wonder what exactly goes into making up your FICO score? There are five basic categories and several factors within those that account for your credit rating.

Why It Matters: In order to improve your FICO score, it is important to know what factors help to determine it. This information gives you more control over your credit rating so that you can make wise choices in managing your credit.

What You Need to Know: Here are the five categories that make up your credit score, how much they count toward your score, and what types of information they include:

1. 35%-Payment history
   • Do you pay your bills, and how do you pay them? On time or late? (late pays, collections, charge-offs, foreclosures, repossessions)
     
   • Public record (bankruptcies, liens, judgments, suits, garnishments)
     
   • Amount past due on delinquent accounts, severity of delinquency (how long something is overdue), and how long since something has been overdue
   • Number of past due accounts

   • Number of accounts paid as agreed

2. 30%-Amounts owed
   • Balances on accounts, and also balances on different types of accounts
   • Number of accounts with balances
     
   • Proportion of credit limits used (it is best to keep your credit card balances under 30% of your available limit)
     

   • Proportion of installment loan amounts still owing

3. 15%-Length of credit history
   • Length of time credit accounts have been open
     

   • Time since account activity

4. 10%-Mix of Credit
   • You must have a credit card account in order maximize your score potential.
     

   • Best mix for new credit users is 2-3 credit cards, and/or an auto loan and/or a mortgage loan.

5. 10%-Inquiries
   • Number and frequency of newly opened accounts
     
   • Number of recent credit inquiries (applications for new credit)
     
   • Time since re-establishment of positive credit history since last payment problems or adverse public record

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Select a link from the list below to begin learning more about your credit.

Get a FREE Copy of Your Credit Report
It’s Never Too Late to Repair Your Credit
Inside Your Credit Report
What’s In Your FICO Score
What Is Good Credit
Establishing Good Credit
How to Improve Your FICO Score
Using Credit Cards Wisely
30 Reasons Your Credit Score Is Low
Repairing Your Own Credit
Judgment Strategies
Facts About Credit Inquiries
Your Rights Regarding Debt Collection
Divorce and Credit
Coming Back After Bankruptcy
Charge-Off Debt & the Seven Year Rule
Top Ten Do's and Don'ts During the Loan Process
Identity Theft and the FACT Act
CRC – What You Can Expect