![]() Why? One possible reason is that lower income may result in a lower ability to pay debts consistently, while higher income may result in a stronger payment history. Like age and location, income bears no direct impact on your credit score, but the two factors still seem to be related. If you’re older and already have all of your desired accounts established, you may be less likely to incur hard inquiries that lower your score. ![]() A hard inquiry will stop affecting your credit score in a year. This is because the lender makes a hard inquiry into your account. 10% Recent Inquiries and Newly Opened Accounts: Any time you open a new account, you’ll see a ding in your credit score.An 18-year-old might only have a credit card account, while a 40-year-old might have a car loan, mortgage, personal loan, and several credit cards. As you age, you’ll likely have more opportunities to open different types of accounts. 10% Credit Mix: Credit scorers like to see that you can responsibly handle various types of debt.15% Length of Credit History: Account age increases over time, and as long as you keep your oldest accounts open, they’ll be calculated into your average account age.The lower your credit utilization ratio – how much of your total available credit limit is in use – the greater the chance it will positively affect your credit score. And income can affect how high a credit limit we receive. 30% Credit Utilization Ratio: As we age, our income tends to grow.The older you are, the longer the account history it’s possible to have. 35% Payment History: Older accounts have made more payments, increasing their scores if those payments were consistently on time or decreasing them if too many were made late.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |