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What factors affect a credit score?

1) Type of debt
2) New debt
3) Duration of debt
4) All of the above

1 Answer

3 votes

Final answer:

The factors that affect a credit score include the type of debt, new debt, and the duration of debt.

Step-by-step explanation:

The factors that affect a credit score include the type of debt, new debt, and the duration of debt.

Type of debt: Different types of debt have different impacts on your credit score. For example, having a mix of credit accounts, such as credit cards, installment loans, and a mortgage, can positively affect your credit score.

New debt: Taking on new debt can temporarily lower your credit score, especially if you have a limited credit history or a high amount of debt relative to your available credit.

Duration of debt: The length of time you have had a credit account open can impact your credit score. Generally, a longer credit history is viewed more positively by lenders.

Therefore, the correct answer is 4) All of the above.

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