What Affects Your Credit Score ?

What Affects Your Credit Score ?

There are many consumers who wish to know what affects your credit score. There are many myths this article brings light to this subject. One myth is your income and job history affect scores. This simply is not true personal income does factor in on whether or not you are granted a loan it does not affect your credit score.Maxing out credit cards affects credit scores. Making late payments affects credit scores.

It is little known that inquiries have impact on your scores Each time you apply for credit this lowers your scores. If someone pulls your credit reports this lowers your scores. Always check your credit reports and have unauthorized inquiries removed. Older negative items have lesser impact on your credit scores than newer negative items .When repairing credit get the newer items deleted first then get the older items deleted.

What affects your credit score when you are rebuilding your credit history? One major factor that affects your score is payment history. If you have bad credit having some positive accounts that you have been paying on time will increase your credit scores over time. Payment history is simply the amount of time that you have had your accounts and if the accounts have been paid on time or not .This is very important.

Debt to credit ratio is another major factor that has a heavy impact on your credit score.If you have a 5000.00 line of credit and you have 4000.00 charged against it this is not good and will lower your scores. If you have a high debt to credit ratio you need to get this down to 10-30% of your available credit. This can cause your scores to increase. So pay down your revolving credit lines to 10- 30% of the balance. Have all inquiries removed and keep paying your bills on time. While this is not an overnight process following these easy tips will allow you over time to become a memeber of the 700 credit score club. Now you know the truth about what affects your credit score.

Become The Victor Not The Victim !