Your credit report and FICO score are generated based on your payment history, amounts owed, credit history length, new accounts opened, and types of credit used. Payment history makes up 35% of the score and factors include how much is owed to companies as well as payment history for utilities, medical bills, and rent. To improve your FICO score, pay all bills on time, avoid opening multiple new accounts unless needed, keep balances low at less than 25% of the credit limit, and review your credit report yearly.

1. Give Yourself Some Credit Understanding Your Credit Report Hamilton Lara Economics 101

2. Credit Report Fundamentals Generated by three companies Experian, Equifax, TransUnion Factors How much you owe to each company Payment history for each company Includes utilities, medical expenses, rent

3. How FICO Is Calculated Range – 760 (excellent) to 620 (poor) 35% - Payment history 30% - Amounts owed 15% - Credit history length 10% - New credit 10% - Credit types

4. Improve Your FICO score Pay bills on time Avoid opening many new accounts Open only if you intend to use Keep balanced low Less than 25% of credit limit Review credit report yearly