32 whatimpactsmyficoscore typesofcreditaccounts

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Unformatted text preview: .annualcreditreport.com Or phone 877­322­8228 Most employers check applicants’ credit reports 30 Credit Reports Consider rotating reports throughout the year Single: One agency every four months Married couples: One agency every two months Correct errors ASAP Close out those unused old credit accounts (except those with long/good history) 31 100 90 80 70 60 50 40 30 20 10 0 87% FICO Score Delinquency Rates 71% 51% 31% 15% 5% 2% 1% 0-499 500- 550- 600- 650- 700- 750- 800 + 549 599 649 699 749 799 Default or bankruptcy or fall 90 days past due on at least one credit account. 32 What Impacts My FICO Score? Types of credit accounts Mortgage, car loan, and limited cc best Length of credit history The longer the better Number of recently opened accounts More than 1 or 2 = trouble How much you owe Timeliness of payments 65% weighting 33 Improving FICO Scores Stop paying bills late!!! Reduce credit card/account applications (reduces your FICO score by 3 to 12 pts.) Several credit cards with low balances better than few cards charged near limit Pay down credit cards evenly * Don’t use a new credit ca...
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This document was uploaded on 02/12/2014.

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