im embarrassed to admit that my knowledge of how credit works is slim. so i have a few questions:
1. why do credit scores only go up a certain amount at a time, but if you don’t make a payment on time, it can plummet 50 points? (just an example)
2. What is a “credit line for cash”, and how does that work?
3. What deeply impacts your credit?
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1. There’s a common quote: **”Trust takes years to build, seconds to break and forever to repair.”** Your credit score is a measure of how trustworthy/risky you are as a borrower. A missed payment immediately shows you to be more risky. It takes time to rebuild that trust.
2. Haven’t seen that phrase, but is sounds like the amount available to you for cash advances. Oftentimes, this limit is lower than your limit used for purchases.
3. From [Investopedia](https://www.investopedia.com/terms/c/credit_score.asp#toc-how-your-credit-score-is-calculated):
>While there can be differences in the information collected by the three credit bureaus, five main factors are evaluated when calculating a credit score:
>1. Payment history (35%)
>2. Amounts owed (30%)
>3. Length of credit history (15%)
>4. Types of credit (10%)
>5. New credit (10%)
The exact calculation varies by bureau, and even by the exact *type* of score being calculated, but generally payment history and utilization have the biggest impacts.
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