Credit Facts

Credit Facts

Understand Your Credit With Clarity

Credit is not just a number. It reflects how accounts are managed over time. This page explains what matters most and gives you a simple interactive meter so you can explore score ranges.

  • Learn what a credit score is and what it is used for
  • Understand the main factors that influence scoring
  • See how long negative items may remain on a report
  • Know what information should not appear on a credit report
Credit and financial planning image

Interactive Score Meter

Move the slider to explore how score ranges are commonly described. This is educational and does not replace a lender decision.

300 Poor 300 850
Lower range Higher range

300

Poor

What to focus on

Bring every payment current, reduce revolving utilization, and avoid new credit until stability improves.

1Reports can differ

2Accuracy matters

3Protection tools exist

As your score rises, the meter switches to blue and tips shift toward optimization and protection.

What Affects Your Credit Score?

Many scoring models consider similar categories. The weights below are commonly referenced for educational purposes.

Payment History

On time payments matter a lot

35%

Capacity and Amount Owed

Utilization and balances relative to limits

30%

Length of Credit

Age of accounts and average history

15%

New Credit

Recent inquiries and new accounts

10%

Types of Credit Used

Mix of revolving and installment accounts

10%

Fast Practical Checklist

  • Pay every account on time
  • Keep revolving utilization low
  • Avoid frequent new accounts in a short period
  • Maintain older accounts when possible
  • Review reports for accuracy before major applications

Credit Reports Vs Credit Scores

A credit report is the data. A score is a calculation that uses that data. Many lenders use FICO based scoring, but FICO is not a credit reporting agency.

How Long Can Items Remain On A Credit Report?

Time frames can vary by situation. The items below are commonly referenced ranges.

Late Payments And Delinquencies +
Late payments may remain for several years from the date of the missed payment, depending on reporting rules and the account type.
Collections +
Collection accounts may remain for several years from the date of the initial missed payment that led to the collection.
Charge Offs +
Charge offs may remain for several years from the date of the initial missed payment that led to the charge off.
Bankruptcy +
Bankruptcy time frames can vary by chapter and circumstances. Many references list ranges that may extend longer than other negative items.
Hard Inquiries +
Inquiries typically remain for up to two years, and scoring impact is often strongest earlier.

Information That Should Not Be In A Credit Report

Credit reports focus on credit related data. These categories are generally not part of credit reporting.

Medical Details

Sensitive medical information is generally not included.

Personal Characteristics

Items like race or marital status are not credit data.

Employment Performance

Job reviews and workplace history are not credit accounts.