Credit scores are numbers lenders use to predict how likely you are to repay. There are several scoring models, but most weigh the same things.
The usual factors (FICO's published weights)
- Payment history, about 35%
- Amounts owed, including utilization, about 30%
- Length of credit history, about 15%
- New credit, about 10%
- Credit mix, about 10%
What that means in practice
- Pay every bill on time; set up autopay for at least the minimum
- Keep balances low compared with your limits
- Open new accounts only when you need them
General education. Scoring models differ and change. Cents and Common Sense isn't paid by any bank, lender or card company.