Factors That Influence Your Credit Score
Did you know that credit scores are statistical models that evaluate your individual credit risks by comparing credit info about you to other people? Credit scores are used today to help speed up the loan approval process. This score is a snapshot based on current information in your report. It does not last forever. Below are some factors that influence your credit score:
- Your Payment History
- The amount of debt you owe
- How long you have been using credit
- How often you've applied for new credit and taken on new debt
- The types of credit you currently use, such as credit cards, retail accounts, installment loans, finance company accounts and mortgages.
Did you know that your income was not a factor in calculating your credit score?
You can obtain a copy of your FICO credit score online by going to www.myfico.com
Ways to Improve Your Credit Score
- Pay your bills consistently on time
- Check your credit report and correct any errors immediately
- Keep credit card balances low
- Apply for credit cards you need ONLY
- Pay off debt rather than transfer to a new card
- Establish credit and use it WISELY!
Be sure to continue to check back on our blog, we are always posting information that we think would help families to Achieve The American Dream!
Feel free to contact us, we are always holding New Home Buying Seminars...we would love for you to join us, check back for the next seminar we will be holding.
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