Doug Parker, RMCN’s CEO explains how your credit report has all the information regarding how FICO utilizes the information present on your credit report, to calculate your credit score. Every debt and payment in a your financial profile influences your credit score. Other contributing factors include severity of delinquencies committed, delay in payments, credit to debit ratio, trade lines, numbers of credit enquiries made, and current credit, among others. In order to devise the algorithms that ultimately decide your credit score, the information is divided into five major categories: Payment history, Amounts Owed, Length of Credit History, New Credit Accounts and Types of Credit Used.
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