5 Parts of a credit score
Your credit score is determined and broken down into 5 separate parts.
The 5 factors of a credit score collectively make up your total score.
A credit score falls into the range of 300 to 850. The higher your score,
the better. Credit scores are determined by one of three credit report bureaus
all of whom use their own scoring calculation method. Equifax uses the beacon
system, TransUnion has the Fico Risk Score system and Experian uses the Fair Isaac Risk system.
Lenders may determine your score based on other factors such as your income
and length of employment. The 5 factors of a credit score are:
Payment history: 35 percent of total credit score
Outstanding debt: 30 percent of total credit score
Established credit: 15 percent of total credit score
New credit accounts: 10 percent of total credit score
Types of credit: 10 percent of total credit score
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