Payment history (35%) and credit utilization (30%) drive most of your score. The rest — length of history, credit mix, and new inquiries — matters at the margins.
Keep utilization under 30% per card and under 10% for excellent scores. Pay every bill on time, even the minimum, and your score will trend up.
Avoid closing old accounts; their age helps your average. New cards are fine in moderation — too many in 12 months looks risky to lenders.
Key takeaways
- On-time payments + low utilization = ~65% of your score.
- Keep card utilization below 30% (under 10% is ideal).
- Don't close your oldest accounts.
Apply it with these calculators
Written and reviewed by
Keiron Brown, Psy.D.
Founder & Lead Educator, CalculatingWealth
Keiron Brown, Psy.D., is a clinical psychologist and the founder of Relationale LLC, which publishes CalculatingWealth. His doctorate is in psychology, not finance: he is not a registered investment adviser, accountant, or attorney, and nothing here is financial, investment, tax, or legal advice. His work here focuses on financial education, critical thinking, and decision-making — helping people understand the math behind money so they can plan with clarity and confidence. He writes about wealth building, retirement planning, investing literacy, budgeting, and the behavioral patterns that shape long-term financial outcomes.
Editorial standards: All educational content on CalculatingWealth is reviewed for accuracy, sourced from primary references where applicable (IRS, SSA, Federal Reserve, BLS), and updated when rules or rates change. Content is for educational and informational purposes only and does not constitute financial, investment, tax, or legal advice.
Not advice: Keiron Brown is not a registered investment adviser, broker-dealer, certified public accountant, enrolled agent, attorney, or licensed insurance producer. His work is educational in nature. See our full disclaimer.