1) Payment History
Highest impact • ~35% of FICO®
What it is
Your record of paying credit accounts on time; includes late payments (30/60/90+ days), collections, charge-offs, and serious derogatory events (e.g., bankruptcy).
Credit impact
Largest weight (~35%). Recent, frequent, and severe delinquencies hurt the most. Maintaining a clean record fuels the highest scores.
How it’s calculated
FICO considers the severity, recency, and frequency of late payments, plus negative public records and collections—not just whether you’ve ever been late.
Healthy benchmark
100% on-time payments and no past-due balances. Catch up quickly if anything slips.
How to improve
Turn on autopay for at least the minimum, set due-date reminders, bring delinquent accounts current, and keep utilities/medical bills from hitting collections.
Common pitfalls
Paying a day late, missing small store/medical bills, assuming deferments or hardship plans report as “on-time” (they may not).
2) Amounts Owed (Credit Utilization)
High impact • ~30% of FICO®
What it is
How much of your available credit you’re using—especially on revolving accounts (credit cards). Also looks at balances across accounts and loans.
Credit impact
~30% weight. Higher utilization = higher risk in FICO’s models. Both overall and per-card utilization matter.
How it’s calculated
Overall revolving utilization (all cards), utilization on each card, number of accounts with balances, and loan balances relative to original amounts.
Healthy benchmark
Keep overall and per-card utilization under 30%; single-digits (under ~10%) is ideal for top scores.
How to improve
Pay before the statement closes, make mid-cycle payments, increase limits responsibly, avoid maxing out, and don’t close good-standing cards you still use.
Common pitfalls
Closing a card and shrinking your total limit, letting one card report 80–100% even if overall looks fine, believing you must “carry” a balance (you don’t).
3) Length of Credit History
Moderate impact • ~15% of FICO®
What it is
How long you’ve used credit: age of your oldest and newest accounts, the average age of accounts, and time since last activity.
Credit impact
~15% weight. Longer histories with positive activity are favored; this factor grows naturally over time.
How it’s calculated
FICO looks at the age mix (oldest, newest, average) and recent activity on accounts—not just a single number.
Healthy benchmark
Preserve long-standing accounts in good standing to keep average age higher and demonstrate stability.
How to improve
Avoid closing your oldest healthy accounts; consider product-changing instead of closing if an annual fee is the issue.
Common pitfalls
Opening several new cards at once (tanks your average age), closing your oldest card, letting accounts go inactive.
4) New Credit
Lower impact • ~10% of FICO®
What it is
Recent credit activity: hard inquiries and newly opened accounts. Many new accounts in a short time = higher risk.
Credit impact
~10% weight. Hard inquiries usually have a small, temporary effect; new accounts can also reduce average age.
How it’s calculated
FICO generally counts hard inquiries from the last 12 months and considers recent account openings. For “rate-shopping” loans (mortgage/auto/student), multiple inquiries in a short window are treated as one for scoring (14–45 days depending on FICO version), with a 30-day buffer ignored by many versions.
Healthy benchmark
Apply only as needed; cluster mortgage/auto/student-loan quotes within a short shopping window; use prequalification (soft pulls) where possible.
How to improve
Space out new credit applications, avoid opening several revolving accounts at once, and let recent inquiries “age” past 12 months.
Common pitfalls
Multiple card apps in a month, mixing different credit types while shopping, assuming all inquiries are soft (they aren’t).
5) Credit Mix
Lower impact • ~10% of FICO®
What it is
The variety of accounts you responsibly manage—revolving (credit cards/retail), installment (auto/student/personal), mortgage, etc.
Credit impact
~10% weight. Showing you can handle different types can help at the margin, but it’s not necessary to have one of everything.
How it’s calculated
FICO looks at the types present and your track record managing them. Quality payment history beats quantity of account types.
Healthy benchmark
At least one active revolving line in good standing; mix evolves naturally with needs (e.g., auto loan, eventually mortgage).
How to improve
Don’t open debt just for “mix.” Build responsibly: maintain a low-utilization credit card; let installment loans age and pay on time.
Common pitfalls
Closing your last credit card (loses revolving history), opening finance-company accounts you don’t need.
Next step
Track & improve
Want hands-on help improving each factor? Pair our guidance with continuous monitoring.
