The 5 Key Components Of A Credit Score

Dated: 07/24/2018

Views: 232

There are five key components of a credit report that affect your overall score. 

1. Delinquencies-  Making your payments on time is important for having a good credit score. This is 35% of your credit score.

2. Debt- The amount of debt you have impacts your credit score more than many consumers realize, your mortgage and auto loans are include in this factor but your credit card debt is really the most important.  The balances you carry versus your available credit, is your revolving utilization rate. This is 30% of your credit score.  

3.  Age- Older you get more points you will score in the category.  Never close old establish credit cards. This will shorten the length of your credit history and in turn cost  mix is 3-5 revolving accounts (credit cards) and 1-2 installment account (auto mortgage) This is 10% of the factor of your credit score.

5. Inquiries- When you apply for credit, the lender will check your credit. This could negatively impact your score. Also when a potential employer checks your credit, this won't negatively impact your score. This is 10% of your credit score.

   Remember keeping track of your credit score allows you to stay on top of your credit and you will be able to create more opportunities when it comes time to purchase a home. Anyone looking for a home give me a call!       Jim Yungner 623.745.6612



Latest Blog Posts

Open Houses In Waddell

Thought I would help out all of you home buyers out there with a list of current open houses planned in Waddell.  So if you're looking for a home, use this link each and everytime and the open

Read More

Now Is The Time To Buy

"I need to wait, save money for a larger Down Payment".  Hear this all the time, BUT is it smart to wait?  Years ago maybe. Today all it does is cost you thousands of

Read More

Fresh List Homes On Golf Course

Anyone thinking about moving to a beautiful golf course community, here's a list of ALL phoenix area golf course homes.   If you see a home you're interested in call me, Jim Yungner @

Read More

Renters Are Looking To Be Buyers

Traditionally, the change of the season, the one season not summer, most renters are looking at their taxes coming up, and looking at the opportunity to purchase a home, and become a part of the

Read More