Buying a home in todays market

The number of times you apply for credit makes up 10% of your credit score.

While these numbers have changed a lot in the past 2 years, the average consumer has not applied for new credit in the past 20 months. When you apply for any type of credit it indicates a need for more liquidity. While it is not always the case, credit repositories view your application for credit as a risky behavior where you may be getting in over your head. That is why they lower your credit score when you apply.

Your next Credit Tip. 15% of your credit score is determined by the age of your credit. Many people hurt themselves when they accept offers for low interest rate credit cards. The new card has no age/history as it is a brand new card. They transfer their balance to the new card (often maxing it out which hurts because ...they have borrowed more than 1/2 their limit, see our last credit segment)

Uploaded the video - using other peoples money. This was produced by djlandz media. Special thanks goes out to The Java Cup on Pleasant Streeet in Claremont, NH for the filming location. Vid 1 Financial Clip Board Series Using Other People Money_0001.mp4. Click on the link below to see it!

http://youtu.be/sVfFHCL-bc8?a

So lets break down the next biggest factor affecting your credit score. The balance of your credit cards compared to their limits makes up 30% of your score.

You have a credit card with a $1000 limit & borrow more than $500 on the card without paying it off before it reports the balance to the credit repositories. Your scores will be hit by up to 25 points or more. Keep your balance below 50% of your limit whenever you plan to apply for credit. To be safe it should be under... 50% of the limit a minimum of 30 days prior to applying for credit but 60 days is even safer.

So here is the next key to credit. What are the 5 key factors that make up your credit score? There are 2 that people usually guess 1 .Your payment history which makes up 35% of your score. While it is the biggest factor there are still 4 other keys. I will post but anyone want to take a guess?