Which factor contributes to a higher credit score?

A longer length of credit history positively contributes to a higher credit score because it demonstrates to lenders that you have established a track record of responsible credit management over time. Credit scoring models typically consider both the age of your oldest account and the average age of all your accounts.

Having a longer credit history suggests that you can manage credit responsibly, as it provides a broader view of your repayment behavior, including how well you handle various credit types over different periods. This aspect of your financial behavior is crucial for scoring models, as it reflects reliability and stability, essential traits for lenders assessing risk when considering you for credit products.

In contrast, higher overall debt and maxing out credit limits can negatively impact your credit score, indicating to lenders that you may be over-leveraged. Additionally, frequent credit applications can signal to lenders that you might be in financial distress or seeking too much credit at once, which can also adversely affect your score.