Credit Repair

Credit Repair Orlando Florida
Credit Repair Orlando Florida

Your FICO® credit score is an estimation of the risk you pose to a potential lender who is considering giving you financing. Credit repair requires an understanding of the few variables that go into your credit score. Understanding these elements and interpreting what’s on your credit report are the first steps in getting your credit score where you want it to be.

Generally speaking, your credit score is comprised of the following elements (in order of most important to least important):

  1. Payment History (35% of your score) – This is the biggest single factor that goes into your credit score and it has to do with whether you’ve made your past credit payments timely. The types of accounts that are considered in this score include credit cards, retail accounts for stores and gas stations, installment loans such as car notes and mortgage payments. Other factors considered within this item are how late the payment was, the amount that was owed, how recent the delinquency occurred (was it a year ago, 5 years ago, a month ago) and the number of delinquencies.
  2. Amounts Owed (outstanding balance; 30% of your score) – Much like the Payment History factor, this factor consists of a few separate considerations. One is the total amount owed on all accounts. Second, is the amount owed for each different type of credit account (credit cards, retail accounts, installment accounts, mortgages, etc). Finally, your “credit utilization” will also be evaluated which basically means how much of your limit are you currently using. So for example, if you have a credit card with a $1000 limit and your balance is $900, you’ve got a 90% utilization rate, meaning you’re almost at your limit, which in turn makes you more likely to default and may result in a decreased score.
  3. Length of Credit History (15% of your score)  Generally, this has to do with how long you’ve had credit, the average age of your credit accounts and how long it has been since you have used certain types of credit account.
  4. Credit Mix (variety in types of credit you possesses; 10% of your score) – The score takes into account the variety of credit accounts you have i.e. do you simply have credit cards or are there also retail accounts, installments accounts and a mortgage?
  5. New Credit (10% of your score) – If you have recently opened up or tried to open up multiple new credit accounts in a short period of time, the statistics show that you have a greater likelihood of defaulting and therefore your score may take a hit.

If you are interested in credit repair and would like to learn about ways to potentially improve your credit, contact us and we would be happy to discuss it with you.

The above information was created using materials available at