presense of nagative criedit listting. These may include public records, col- lection accounts, charge-offs and late payments. The bulk of the credit score depends on credit history.

 

Amount of Revolving Credit Used - Level of Importance 8 out of 10

 

This piece rates the amount of your available credit that's al- ready tapped out. In other words, how loaded up are your cards and credit lines? Basically, this part of your credit score adds up the total of all the revolving credit you have used, and then divides that by the sum of your available re- volving lines of credit. This provides what credit experts term a credit "utilization ratio" that gives the scorer an idea of how extended your credit is. The more maxed out your credit looks, the more likely the banks believe you may de- fault on your debts (and the lower your credit score will go).

This is an area where it's particularly valuable to get a good credit coach. Grooming your credit score by adjusting your balances is a fast and easy way to push your score up - if you know what you're doing.

 

Age of Credit - Level of Importance: 7 out of 10

 

If your credit is very recent, say less than three years, then your credit inexperience will drive down your score. This is measured by the age of your oldest account.

 

Amount of Credit - Level of Importance: 6 out of 10

 

The more credit you have, the better --except when you have too much. Basically, your credit score will be helped by having a solid amount of open credit (say, roughly six or seven open accounts). Although too much credit is less important (maybe a 4 out of 10), it can still negatively impact your score.

 

Type of Credit - Level of Importance: 5 out of 10

 

Oddly enough, the type of credit you use can hurt your credit report as well. If you use credit through finance companies or other high-interest credit sources, or have too many installment loans (other than a conventional home- mortgage or automobile loan), it will cause your score to dip. For some reason, credit scoring assumes that high-in- terest finance is a sign of a bad borrower.

 

Number of Inquiries - Level of Importance: 4 out of 10

 

Whenever you apply for credit, an "inquiry" is generated on your credit report. Some inquiries slightly depress your credit score and others do not. If you're working your credit score and you're thinking about applying for another credit line, you should talk to someone knowledgeable. It may or may not hurt you to apply again.