In this article we are going to keep exploring some little known items that lower your credit score fast. The simple truth of the matter is this: Almost EVERY article I read on consumer credit repair simply states the obvious: If you don't pay your bills on time, your score is going to go down. Of COURSE this is true. But there are many people who pay their bills religiously on time, yet still have a FICO score that proverbially sits in the unwelcome waters of the south side of 620. (Roughly the national average) So how do people who seem to maintain a regular and positive payment history seem to suffer the SAME ignominious fate as those who pay their bills ONLY when they feel like it? Read on to find out..:-)

Debt to Balance in NOT a Trivial Factor

The next time someone tells you the amount you owe, relative to the limit on the account is NOT a huge factor in your FICO...you have my permission to call them a liar. (Or simply uninformed) It does - and depending on who you ask and which bureau you are looking at, it is a HUGE predictor of future history....and is weighted accordingly. In simple English? If you owe close to the limits on your cards and accounts, you are statistically pretty likely to become delinquent soon, and you are scored accordingly...even if you've NEVER been late before. Not fair? I agree. Very true? Indeed, indeed!

Don't Close Those Old Accounts!

Ever hear advice to close out the accounts you aren't using? Don't listen. Big mistake! You want the age of the old accounts to work in your favor...keep them OPEN, and balance low! A 50 dollar rolling balance on a 10 year old credit card is FAR more valuable than closing that account EVEN if you never use it. It gives you more history, plus it lowers your debt to balance ratio overall. Especially if you've got a few close to the limit as in our first example above.

Choose Your Credit Wisely

All credit is NOT created equal. People judge you by the credit company you keep! Finance companies are known to lend money to people at risk...and people at risk DEFAULT a heck of a lot more often than mainstream folks do. So no matter how tempting that easy Five Thousand dollar loan is from the local finance company, just say no. You are FAR better getting another lower balance mainstream card and simply working creatively to free up some cash, RATHER than getting a loan from a "uh -oh" finance co on your report. ( Trust me, I've had a few!)