Credit scores range from 400 at the lowest to 800 at the highest. The formula for determining your credit score takes into consideration the type of credit you have, how long you have had it, and how much you currently owe against it.
For example, Cars, Houses, Credit Cards, an Personal Lines of Credit are all considered different types of credit. The more types of credit that you have, the better your credit score will be.
The longer you have credit (without missing payments) the better off you are. Don't cut up those credit cards that you aren't using - they have the longest "life" in your the portion of your credit history that applies to credit cards. If you have more than 3 or 4 credit cards though, you might want to get rid of some. It is possible to have too many cards, even if you have a zero balance on things.
If you owe less than 50% against each of the credit cards, houses and car loans, then you are probably going to have a higher score than if you owe 51% or more on each of them.
There are 3 credit rating companies out there: Experian, Equifax and TransUnion. Not all credit card companies contribute information to all of the companies. That's why when you get a credit score, you get 3 numbers. If you only get one number, it should be a "tri-merged" credit score.
Credit can be a lifeboat or an anchor depending on your situation. If it is an anchor, give me a call, and I will put you on the track to getting your credit fixed.
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