What Impacts Your Credit Score ?
In addition to the above criteria , there are other factors that can negatively affect your credit score . These include :
1 . Credit Utilisation Have you maxed out your credit cards or exceeded your credit limits in the past six months ? High utilization rates can significantly lower your score .
2 . Missed Payments Missed payments in the last two years can seriously impact your score . The more missed payments , the lower your score .
3 . Credit Enquiries How many credit inquiries have been made with companies like Experian ? Multiple credit checks within a short time frame can lower your score and make you seem risky to lenders .
4 . Unsettled Debt Any accounts with unsettled debt , such as overdue balances , can harm your credit score . Lenders see this as a sign of financial mismanagement .
5 . Defaults in the Last 5 Years Defaults on loans or credit agreements in the past five years will negatively affect your score , as they indicate poor repayment history .
6 . Bankruptcies or Court Judgments Public records such as bankruptcies or court judgments can seriously damage your credit score , as they are seen as significant financial red flags .
70 REI MAGAZINE MARCH 2025