| Payment History | 35% of FICO® score (FICO scoring model) |
| Amounts Owed (Utilization) | 30% of FICO® score (FICO scoring model) |
| Length of Credit History | 15% of FICO® score (FICO scoring model) |
| Credit Mix | 10% of FICO® score (FICO scoring model) |
| New Credit / Inquiries | 10% of FICO® score (FICO scoring model) |
| Score Range (FICO®) | 300 – 850 (FICO scoring model) |
Why Your Score Isn't a Mystery
A credit score is a three-digit number, but it isn't arbitrary. It's the output of a well-defined formula. The dominant scoring models in the United States — including FICO® and VantageScore — calculate your score from the same five core categories of credit behavior. Understanding those categories puts you in control. For a broader foundation, see our overview of what a credit score actually measures.
Each factor carries a different weight. Improving in a high-weight area moves your score faster than working on a low-weight one. The table below summarizes the standard FICO® weighting, which is the model most widely used by lenders.
| Payment History | 35% of FICO® score (FICO scoring model) |
| Amounts Owed (Utilization) | 30% of FICO® score (FICO scoring model) |
| Length of Credit History | 15% of FICO® score (FICO scoring model) |
| Credit Mix | 10% of FICO® score (FICO scoring model) |
| New Credit / Inquiries | 10% of FICO® score (FICO scoring model) |
| Score Range (FICO®) | 300 – 850 (FICO scoring model) |
This article is for general informational and educational purposes only and is not personalized financial or legal advice. Consult a qualified financial professional for guidance specific to your situation.
The Five Factors, Explained
Credit Utilization Ratio
The percentage of your total revolving credit limits that you are currently using. It is calculated by dividing total balances by total credit limits across all revolving accounts.
Hard Inquiry
A review of your credit report triggered when you apply for new credit. Hard inquiries are visible to other lenders and can temporarily reduce your credit score by a small number of points.
Revolving Credit
A type of credit account with a flexible, reusable credit limit — such as a credit card or home equity line of credit — where balances can be carried month to month or paid in full.
Installment Loan
A loan repaid in fixed, scheduled payments over a set term. Common examples include auto loans, mortgages, and student loans.
Average Account Age
The mean age of all open credit accounts on your report. A higher average age generally benefits the Length of Credit History factor in your score.
1. Payment History (35%)
The single largest factor. Lenders want to know whether you pay on time. Every on-time payment strengthens this category; every missed or late payment damages it. A payment reported 30 or more days late can cause a meaningful score drop, and the impact grows with how late the payment is (60 days, 90 days, etc.). The good news: on-time payments gradually dilute older negative marks over time.
2. Amounts Owed / Credit Utilization (30%)
This measures how much of your available revolving credit you are currently using — your credit utilization ratio. If you have $10,000 in total credit limits and carry $3,000 in balances, your utilization is 30%. Lower is generally better; most guidance points to staying below 30%, though scoring models reward even lower utilization. Because card balances are reported monthly, this factor can shift relatively quickly. Learn more in our deeper look at why credit utilization matters more than many people realize.
3. Length of Credit History (15%)
Scoring models consider how long your oldest account has been open, how long your newest account has been open, and the average age of all your accounts. Longer histories give lenders more data to assess your reliability. This is one reason closing old, unused accounts can sometimes reduce your score — it may shorten your average account age.
4. Credit Mix (10%)
Lenders like to see that you can responsibly manage different types of credit — revolving accounts (credit cards, lines of credit) alongside installment loans (auto loans, mortgages, student loans). A diverse mix can add a modest positive signal. That said, it's never worth taking on debt purely to diversify your mix; this is a minor factor. For a related perspective, see common misconceptions about what helps or hurts your score.
5. New Credit / Hard Inquiries (10%)
Applying for new credit triggers a hard inquiry on your report, which can temporarily lower your score by a few points. Multiple applications in a short window can compound this effect — though credit bureaus typically treat rate-shopping for mortgages or auto loans within a short period as a single inquiry. New accounts also lower your average account age, intersecting with the credit history factor.
35%
Weight of payment history in FICO® score
Payment history is the single largest factor in the standard FICO® scoring model used by most U.S. lenders.
30%
Weight of credit utilization in FICO® score
Amounts owed — primarily your credit utilization ratio — is the second-largest factor and one of the fastest to change.
300–850
FICO® score range
Scores below 580 are generally considered poor; scores above 740 are typically viewed as very good by most lenders.
If a mortgage is in your future, note that lenders weigh all five of these factors alongside other criteria. See what lenders examine during mortgage underwriting for the full picture.