Credit Education · April 2026 · 7 min read

The 5 Factors That Determine
Your Credit Score

Your FICO score is calculated from five factors. Two of them account for 65% of the score. Understanding the weighting tells you exactly where to focus your effort first.

The Five Factors, Weighted

Payment History

35%

Fastest improvement: Bring current delinquent accounts. Set up autopay. One on-time payment immediately stops further damage.

Credit Utilization

30%

Fastest improvement: Pay balances below 10% of each card limit. This is the fastest lever -- can improve score in one billing cycle.

Length of Credit History

15%

Fastest improvement: Do not close old cards. Add yourself as an authorized user on a family member's old, clean card.

Credit Mix

10%

Fastest improvement: Having both revolving (credit cards) and installment (loans) accounts improves mix. Do not open accounts just for this.

New Credit

10%

Fastest improvement: Limit hard inquiries. Each one costs 3-7 points and stays on your report for 2 years. Space applications 6+ months apart.

Factor 1: Payment History (35%)

This is the single largest factor. One missed payment can drop your score by 50-100 points depending on how long you have had the account. Late payments stay on your report for 7 years.

The fastest thing you can do: bring any past-due accounts current immediately. Future on-time payments start rebuilding the history over time.

Factor 2: Credit Utilization (30%)

Utilization is the ratio of your current balance to your credit limit across all revolving accounts. A $900 balance on a $1,000 card is 90% utilization -- devastating to your score. A $90 balance is 9% -- excellent.

Below 10% utilization is the sweet spot. Below 30% is acceptable. Above 30% starts dragging your score down. This factor is recalculated every month when your statement closes, so improvement can be fast.

Factor 3: Length of Credit History (15%)

Three sub-components: average age of all accounts, age of oldest account, age of newest account. The longer the better -- and this is why closing old credit cards is often a mistake. Closing a card removes it from your average age calculation after 10 years.

Factor 4: Credit Mix (10%)

Lenders like to see that you can manage different types of credit. Revolving accounts (credit cards, HELOCs) and installment accounts (auto loans, mortgages, personal loans) together signal a fuller credit profile.

Factor 5: New Credit (10%)

Every hard inquiry costs 3-7 points and stays visible for 2 years (though it only affects your score for 1 year). Multiple applications in a short window signal credit-seeking behavior. Exception: rate shopping for a mortgage or auto loan -- multiple inquiries within a 14-45 day window are counted as one inquiry.

Use the Storehouse360 Credit Score Estimator to see which factor is holding your score back the most.