Top Factors That Affect Your Credit Score The Most


Getting a credit card is easy and using it is very convenient. However, building a good credit score is difficult and once achieved another difficult task is to maintain it. 

In order to maintain it you should know the process that is used in calculating your credit score. Aside from that, in order to avoid mistakes or things that can affect the score negatively, it is crucial to know what affects it beforehand. 

5 Factors That Can Hurt Your Credit Score Badly

The top five factors that are usually considered in calculating credit score are credit length, credit utilization, payment history, credit inquiries and credit mix. 

Read this guide to know more about them. Learn how they are going to hurt your credit score. 

  • Credit Utilization

The fraction of the credit limit you use determines the credit utilization. Let’s suppose that your credit limit is $800 and you use $400 for purchases, your credit utilization will be 50%. And this factor is calculated at 30% of your credit score calculation. The credit utilization is affected by:

  1. Using credits above the credit limit. You should only use 30% of your available credit. 
  2. Some people think that not using their credit at all will be great but it is not right. You should use it to repay the amount on time. 
  • Payment History

This factor accounts 35% of the credit score. This is affected by:

  1. Paying late bills.
  2. Selling your debts for collection can affect the credit. 
  3. Bankruptcies, charge-offs, wage garnishments, lawsuits, public judgments and lien can affect your credit score badly.
  4. Another noticeable point is how frequently you are doing things that can affect your credit negatively. 
  • Credit Mix

Your credit score includes 10% of this factor. This is a mixture of loans that you have like credit loans, personal loans, mortgages or auto loans. It is affected positively by the types of credit you have and the total number of accounts that you have. 

  • Credit Length

This means how long you have been using your credit cards. The longer you are using it in a good way, the better your credit score will be. It contributes to a credit score of up to 15%. It is affected by the following factors: 

By closing your old credit accounts, the score will decrease whereas opening new accounts in the short term can affect it negatively. 

It is always good to keep your older credit accounts open and active. If you are finding it difficult to manage several accounts, you should close new ones at first. 

  • Credit Inquiries

When you apply for a new account, the lender performs a thorough inquiry on your credit history which can affect your credit. This accounts for 10% of your credit score. 

Therefore, whenever you are in a financial crisis, you should consider taking a loan that does not affect your credit history such as car title loans. If you need one, you can call us at 1-888-886-SNAP(7627) and get cash on the same day of applying for it. 


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