Do you have a good credit score? Credit expert shares tips on how to improve your score.

  • Credit scores depend on account history, missing payments and number of accounts.
  • Average credit score data shows older individuals typically have higher scores.
  • Learning about risk factors and how credit reports are created can help improve your score.

Credit scores dominate spending and decisions, but few people know the ins and outs of this looming figure. 

FICO created the first credit score model in 1989, and it is known today as the most widely used and accepted credit score. While FICO provides the algorithm for the credit score, the three major credit bureaus — Equifax, Experian and TransUnion — provide data for credit reports. 

Rod Griffin, senior director of consumer education and advocacy at Experian, suggests creating a plan before opening a line of credit.

“Credit is a financial tool, debt can be a financial problem,” Griffin says.

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What is considered a good credit score?

According to Experian, about 67% of Americans have a FICO credit score of 670 and above, ranking them “good,” “very good” or “exceptional.”