The FICO® Score is calculated from several different pieces of credit data in your credit report. This data is grouped into five categories as outlined below. The percentages in the chart reflect how important each of the categories is in determining how your FICO Score is calculated. 35% Credit history (Pays on time) 30% Amounts owed (credit utilization/debt to limit ratio) 15% Length of credit history 10% New Credit and Credit Inquiries. (Too much is bad) 10% Mix of credit (Installment and revolving) Your FICO Score considers both positive and negative information in your credit report. Late payments will lower your FICO Score, but establishing or re-establishing a good track record of making payments on time will raise your score. These percentages are based on the importance of the five categories for the general population. For particular groups—for example, people who have not been using credit long—the relative importance of these categories may be different. So this a generic breakdown, each of you is on on particular scorecard that will skew those percentages differently based on your individual situation and which scorecard FICO puts you on. This is a closely guarded secret and no way of really knowing the specific details of who is on what scorecard.
Posted on: Tue, 06 May 2014 14:18:30 +0000