How FICO Score is Calculated

There are five factors that are used to calculate your FICO credit score. Once you understand the factors that affect your FICO credit score you will realize how seasoned (authorized) tradelines can be used to increase FICO credit scores.

PAYMENT HISTORY

1. Payment history (paying your bills on time, which means within 30 days after the due date of your payment) represents 35% of your FICO credit score.

If your FICO credit has taken a hit because of missed payments then buying several of our seasoned tradelines with perfect payment history you will be able to boost your credit scores.

OUTSTANDING DEBT BALANCE

2. The outstanding debt of your tradelines (the amount of your credit limit in use,  preferably under 30%) represents 30% of your FICO credit score. For example, If you have a tradeline with a credit limit of $10,000.00, you should not charge more than $3,000.00 if you want your credit scores to remain high.

If your credit utilization level is high, for example, 60% then it would be easier to boost your FICO credit score by buying one or more tradelines with low balances to reduce your utilization rate below 30%.

AGE OF TRADELINE

3. The age (how long you have had a tradeline) of your credit represents 15% your FICO credit score.

If your tradelines are young one way to boost your FICO credit score is to buy older tradelines.

NEW CREDIT

4. New credit (tradelines that are open less than a year) represents 5% your FICO credit score.

DIVERSE TRADELINES

5. Having different types of credit (credit card, car loan, mortgage, student loan) represents 5% of your FICO credit score.

As you have just found out 95% of the factors used to calculate FICO credit score can be influenced by buying seasoned (authorized) tradelines to improve your payment history, utilization rate, or age of credit. Sometimes all three factors can be accomplished with one tradeline.

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