Question #26
Reading: Reading 28 Credit Analysis Models
PDF File: Reading 28 Credit Analysis Models.pdf
Page: 11
Status: Correct
Correct Answer: A
Question
Fico scores are inversely related to the:
Answer Choices:
A. variety of credit types used
B. length of credit history
C. number of ‘hard’ inquiries
Explanation
FICO scores are higher for those with: (a) longer credit histories (age of oldest account), (b)
absence of delinquencies, (c) lower utilization (outstanding balance divided by available
line), (d) fewer credit inquires, and (e) a variety of types of credit used.