Get your free credit report

Even if you have an 800 FICO score, get your free credit report if your income is only $10,000/year, a lender will probably not loan you a large sum of money, because despite your past credit habits as measured by your FICO score, the lender can see that you probably cannot afford to repay the loan. If you would like to learn more about credit reports, credit scoring, and what it means to you, I encourage you to explore the wealth of material offered by Bills.com. Best, Bill www.bills.com First, get your free credit report it is important to understand how your credit score is get your free credit report calculated. I will discuss credit score calculations in general, and then address your question. Your credit rating is calculated based on several variables, including: 1) Payment history, which counts for approximately 35% of your score, is the most heavily weighted factor used in calculating your credit score. Consistently paying your bills on time has a positive influence on your score, while late get your free credit report or missed payments will hurt you in this area. my free credit report If you have delinquent payments, the older the delinquency the less the negative impact on get your free credit report your score will be.

Collection accounts and bankruptcy filings are also taken into consideration when analyzing your payment history.

2) Total debt and total available credit, which counts for about 30%. This section looks at how much debt you have compared to the total available credit on your accounts. If all of your accounts are maxed out, you will be considered a poor credit risk, because get your free credit report it appears that you are struggling to pay off the debt you have already incurred. If your account balances are relatively low compared to get your free credit report your available credit, this part of the risk analysis should help your overall credit score. free credit report online canada The score calculation also looks at these two factors independently. Having too much available credit, whether you have used it or not, could get your free credit report hurt your credit score, as statistical studies have shown that get your free credit report people with excessive amounts of available credit are a higher credit risk.

Unfortunately, the bureaus do not define exactly what they consider excessive, so best tip is to use credit conservatively and to keep your debt to credit limit ratio low. 3) Length of positive credit history, which counts for about 15%.

The longer you maintain accounts in good standing, the better your score will be. This shows that you are able to make a long-term commitment to a creditor and are consistently responsible about making get your free credit report your payments. 4) Mix of types of credit, which counts for approximately 10%. Having several different types of credit, such a credit cards, consumer loans, and secured debt, get your free credit report will have a positive influence on your credit score. freecredit report Having too much of one type of credit can have a negative impact. 5) Number of new credit applications you completed recently, which accounts for about 10% of your score.