Credit scores only consider the information contained in your credit report. They do not consider your income, savings, down payment amount, or demographic factors like gender, race, nationality or marital status. Past delinquencies, derogatory payment behavior, current debt level, length of credit history, types of credit and number of inquiries are all considered in credit scores. Your score considers both positive and negative information in your credit report. Late payments will lower your score, but establishing or re-establishing a good track record of making payments on time will raise your score.

Paying your bills on time is the most important factor for a good credit score. It is crucial that you make payments on time, even if the debt you owe is a small amount. In addition, you may want to: keep balances low on credit cards and other "revolving credit;" apply for and open new credit accounts only as needed; and pay off debt rather than moving it around. Also don't close unused cards as a short-term strategy to raise your score. Owing the same amount but having fewer open accounts may lower your score.

When shopping for a car or mortgage, the credit agencies have eliminated some of the negative effects of rate shopping.  These consumer-originated inquiries are counted as one inquiry if within the last 30 calendar days. Multiple inquiries within the next 14 days are counted as one. Each inquiry will still appear on the credit report.

Your credit report must contain at least one account which has been open for six months or greater and at least one account that has been updated in the past six months for you to get a credit score. This ensures that there is enough information in your report to generate an accurate score. If you do not meet the minimum criteria for getting a score, you may need to establish a credit history prior to applying for a mortgage.