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What factors determine my FICO credit score?
What factors determine my FICO credit score?

How is my FICO credit score calculated?

Sabrina avatar
Written by Sabrina
Updated over a week ago

Your FICO credit score is calculated by taking your credit report and running certain data points on that report through an analysis model. Your Rocket Money credit score is calculated using your Experian credit report and the FICO 2 scoring model.

There are a number of factors that directly affect your credit score πŸ‘‡
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​Payment History

Payment history regards how consistently you make payments. This factor has the highest impact on your credit score as the score is primarily used to determine how likely you are to pay back debt.

Amounts Owed (or "Card Usage")

Amounts owed takes into account your total outstanding balance and your credit utilization rate, or the percentage of available credit limit you actually use (based on outstanding balances). For example, if you add the limits of all your credit cards and have $5,000 in total limits and you have a current total balance of $600 your total credit utilization is 12%. It is generally recommend to keep your credit utilization rate below 30% to help your credit score.

Length of Credit History (or "Account Age")

A higher average account age positively impacts your credit score. The average is done over the past 10 years and provides an indication of your experience with credit. Keeping your older accounts open and in good standing improves your credit age over time.

Account Mix

This refers to the variety of accounts you have open i.e. loans, credit cards, car loans etc. Having a variety of account types can positivity impact your score by illustrating to lenders that you are a responsible borrower.

New Credit (or "Hard Inquiries")

A hard inquiry occurs when a lender checks your credit to determine whether or not to proceed with your application. Too many hard inquires can negatively impact your credit score but their effects tend to fade over a two year period.

For more information on your Rocket Money credit score provided by Experian, please check out these guides πŸ‘‡

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