Credit score, decoded

Your credit score is a 300 to 850 number lenders use to predict whether you pay back what you borrow. Five things move it, and two of them do most of the work: whether you pay on time, and how much of your available credit you are using.

• Payment history, about 35% of the score. Paying on time is the biggest lever.
• Amounts owed, about 30%. This is your utilization, the share of your limits you are using. Lower is better.
• Length of credit history, about 15%. Older accounts help, so think twice before closing your oldest card.
• New credit, about 10%. Each application is a hard inquiry, so open new accounts sparingly.
• Credit mix, about 10%. A blend of loan types helps a little, but never take on debt you do not need just for mix.

Factor weights per the Consumer Financial Protection Bureau. This is an illustrative learning model, not a FICO or VantageScore prediction, and not advice.