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for most of us our credit scores determine everything about our lives they determine whether we get to get that new car or not whether we get to get a house how much interest we may pay on that house or whether we can get loans when we hit a rough patch having a good credit score can change your life and conversely a bad one can ruin it so how are these life defining financial scores actually calculated well the first thing to discuss is that you don't have just one credit score rather you have three main ones Equifax Experian and TransUnion your score can vary minorly or even by tens to twenty to thirty points between these three credit bureaus simply due to how they calculate the scores and what's reported to them like missed payments there's also an agency called FICO that provides credit scores as well as one called vantage score each one of these credit agencies calculate their scores independently on their own scales and lenders like banks can choose which scores they want to consider to evaluate you in general the biggest factors that will affect your credit scores are the number of payments you have in your name the type of accounts you have like auto loans or credit cards how much credit you're using versus how much credit you have how long you've had your credit for and your payment history on all credit lines the best way to think of credit scores are that there are numerical measures of how good of an idea it is to loan you money if you went to a bank and asked them for fifty thousand dollars in loans they need some way to evaluate how likely you will be to pay them back other than yo I'm good for it each of the different variables we mentioned has different weights depending upon the formula being used the specifics of which are kept secret by each agency that said generally the most important factor that goes into calculating your credit score is payment history as you can probably guess looking back at how well you stayed on top of making payments is a pretty good indicator of how likely you will be to make your payments on time in the future if you apply for an auto loan a lender might choose to wait your auto payment history higher than say your credit card history stepping back for a moment to the formula for the overall score while many agencies keep their exact formulas secret we can at least know the weight of each category in FICO scores which generally carries over to the other scores since they make that data public payment history is weighted at 35 percent followed by amounts owed at 30 percent then length of credit history is 15 percent new credit is 10 percent in credit mix is 10 percent as well your payment history is simple have you...