Credit Score Calculation
%35 calculated by recent payment history. If you pay your credit card loans or mortgage bills late, your score will drop in a very bad way. On the other hand, if you pay your bills on the time, your score will increase. So never forget that your payment habits have serious effect on your credit score.
%30 of your credit score is calculated by your credit utilization. Credit utilization can simply be explained as the ratio of current revolving debt to the total available revolving credit limit or the total limit of credit. If your credit utilization is bad, your credit score will decrease automatically. If you want to increase your credit score, you should pay your debt and lower your credit utilization.
%15 of your credit score determined by length of your credit history. As your credit history gets older, your credit score increases dramatically.
%10 your credit history is determined by your previous requests of credit or credit cards. Especially if your recent credit card requests are rejected, they have been added as negative points to your credit history. According to this information, it is a very good practice not to apply for credit cards and loans you are unlikely to be approved of.
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