Credit scoring is usually more reliable than subjective or judgemental methods. You may say

to creditors that you have never been late on your credit card, or loans or any financial

obligation and when creditor checking your credit report and see that you are late with

your obligation how you will respond to that question? Then you will not get loans because

you are less trustworthy in eyes of creditor that the reason you need to work on your

credit score in order to improve score and find out how everything works.  In previous

years many banks used judgmental methods base or criteria that was systematically tested

but in century 21, none of banks using judgmental methods to check your credit ability.

Many people think is that if they have checking account and saving account in banks for

long period of time that indicate that they have very good credit score but this is not

true! You need to have credit card, loans, and other financial obligation and pay on time

and every time in order to have good credit score. Many people don’t know what factors

affect credit scores and how those factors are calculated in repayment.  Various factors

determine your credit score, including the following outstanding balance if you have more

than 30% of outstanding balance on your credit card then you are considered as risky.

Length of credit history, if you have credit card for less than 3 years then you are

considered as risky because you don’t have a long period  of credit card payment history

and your fico score will be lower than in those folks who have credit card for more than 3

years. How you pay your bill reflect on your credit score. If you pay your bill on time and

every time then your credit score will be good 2 or more years of credit card payment

history is enough to determine your credit ability.  One more important factors that

determine your credit score and of course hurt your credit score very drastically is any

derogatory entries exist on your credit report things such as reposition, collection

accounts, and bankruptcies that stay on your credit score for 7 years.
Thos factors are considered in your credit scores
Delinquency, recent or severe derogatory public record bankruptcy, liens past due balances

30,60,90 days past due or any collection accounts
There are also things that affect your credit score such as
Account payment or credit history not long enough as I have mention previous credit card

should be open for at least 3 years to remove those mark from your credit report. Lack of

information on your account, if you have not used your credit card for previous 6 month

they there will be lock of information on your credit score, insufficient number of

satisfactory accounts, you should have at least 2 credit card and 1 loans so you will not

have this mark stay on your credit report, and of course this is the most used mark “date

of last credit too recent” it mean that you have so much outstanding balance on your

account. Many creditor also notify about too fee or not recent balances on revolving

account for example on your credit card, your credit card cannot be put away and only used

in case of emergency you should use your credit card regularly otherwise creditor will

notify to credit report agency that you are not paying your credit card on time!
So what are factors that can affect your credit score?
Factors such as higher amount owned on account, as I have mention previously if you have

debt of more than 30% outstanding balance then you are risky to creditor ( on your credit

card none on your mortgage)  High debt ratio let say you have 1 credit card and your credit

card limit is $1000 dollar you are using $500 dollar each month then your credit ration is

50% with is high your credit ratio should not be higher than 30% other 2 items that affect

your credit scores are too many new or existing accounts as I say 2 credit card and 1 loans

is enough to have good credit score if not even excellent credit score, and too many recent

credit checks and inquires also affect your credit score, if someone have check your credit

score recently it indicate that you are risk because you seeking new credit and taking more

financial responsibility and taking more debt