Factors That Affect Your Credit Score
Credit scores typically fall between 500 and 850. If
your applying for a car loan or a home mortgage then you should be
above 620 and above 720 to get the better rates. The
will affect your
score and therefore affect your interest rate and the terms for your
1. Your credit history. Your payment history will be
recorded as to whether you made your payments on time versus being
30 days late and how many times your were late.
2. You don't want to be lending institutions to view
you as being overextended. Keep your expenses in check. If you owe
alot of money on several different accounts it's not going to look
good on your application.
3. The longer your payment history is established the
4. Older credit card history is better than new cards.
A long record of paying on time with an older credit card is more
favorable than having a new card that has no history attached.
5. A mixture of mortgage, credit cards, installment
loans is favorable to having all credit cards.
For more on evaluating and understanding your credit score, go to