nfortunately, given the importance of credit scores, how they are calculated remains somewhat mysterious. The score produced by FICO-which is calculated from credit reports by the three major credit bureaus-is the standard, but insurance companies and mortgage lenders and some other business often make their own scores based on information they pull from individuals’ credit reports.
There are some actions which are known to lower or raise most credit scores. Paying bills late or not at all, for instance, will lower any credit score. Having too much debt can also cause a problem. In some cases, too much total debt (including mortgages, car loans, credit cards, etc.) can cause credit scores to go down, but having too much debt on credit cards can also cause a penalty. More details please visit:-triathlonhaaste.fi pa-resurs.se webplett.no rowlab.no bokpanett.no norskaero.no orland-bluesklubb.no
It’s generally agreed that using more than 30% of total available credit will lower credit scores. The higher the percentage gets, the more it affects the score. Some money advisors suspect, however, that some scores might penalize balances over 20-25%.
For example, 20% of $10,000 in available credit would be $2,000. To have a balance higher than $3,000 will certainly affect all credit scores. If an individual has more than one credit card, then the credit limits of all the cards are added together, and all the balances are added together to get one total balance for available credit and debt.
The best solution to fix a high debt-to-credit available ratio is to reduce debt, not to open more cards; having too many cards active can also potentially damage credit scores.