WHAT TO KNOW
Credit scores range between 200 and 850, with scores above 620 considered desirable for obtaining a mortgage. The following factors affect your score:
Did you pay your credit card bills on time? Bankruptcy filing, liens, and collection activity also affect your history.
much you owe and where.
If you owe a great deal of money on numerous accounts, it can indicate that you are overextended. However, spreading debt among several accounts can help you avoid approaching the maximum on any individual credit line.
length of your credit history.
In general, the longer an account has been open, the better.
How much new credit you have.
New credit—whether in the form of installment plans or new credit cards—is considered more risky, even if you pay down the debt promptly
Generally, it’s desirable to have more than one type of credit—such as