Equifax is one of the top credit reporting bureaus and is well-versed in calculating your credit score based upon your credit history. Your credit score helps lenders to determine if you a credit worthy and your credit score can keep you from getting a loan from a lender.

To determine your credit score, Equifax uses a mathematical equation on information that is gathered from your credit file. This equation compares is against patterns seen on other files. The range of credit scores go from 300 to 850 and the higher it is, the better it is. As your information changes on your credit report, so will your credit score. It is very unlikely for some one to have the same score from month to month.

Equifax looks at many factors to determine your credit score. The following are just some of the factors that help them to calculate your score.

Payment History-If you have late payments reported on current or past accounts, these will lower your score.

Credit Owed-If you owe too much on your available credit, it will affect your score, especially if you are maxed out or close to it.

Credit History-How long youve had credit will also affect your score. If youve only had credit for a few months compared to several years, youre credit score will be affected.

Inquiries-If youve applied for credit with several lenders and creditors, it may lower your score.

Judgements, Bankruptcies, Collections-Any accounts that have been sent to collection or you have been taken to court on, including bankruptcy, will lower your score.

These, of course, are only a few of the factors that will influence your credit score.

If your credit score is not where you want it to be, there are ways that you can improve it.

The most important thing you can do to increase your credit score, however, is to pay your bills on time. If you do have a circumstance that you can not pay your bills, make sure you include a letter of explanation. This will be included on your credit report an calculated toward your credit score.