The 5 Biggest Factors That Affect Your Credit

Here are the factors influencing calculation of credit scores of credit report

1. Payment History

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2. Credit Utilization

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3. Credit Mix

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4. Length of Credit History

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5. Credit Inquiries

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Here are the factors influencing calculation of credit scores of credit report

1. Payment History

Make timely payment of credit card bills, loans, and EMIs. This is the most important factor affecting credit score.

2. Credit Utilization

Maintaining a low credit utilization ratio (the percentage of available credit you’re using).

3. Credit Mix

Maintain healthy mix of different types of credit, such as loans and credit cards.

4. Length of Credit History

A longer credit history demonstrates stability and responsible credit behaviour.

5. Credit Inquiries

Multiple credit inquiries within a short period can negatively impact your score.

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