Do you know how your credit score is determined? The determination is based on the assessment of the risks involved in lending you money. A lender will always like to know the exact financial status of the borrower with this objective in view.

Ordinarily the credit score will range from 300 to 850. It is assessed as poor to perfect in this manner. Normally your borrowing potential and credit limits will depend on such credit score. Even the interest rate that would be applicable in your case will largely depend on such scores.

Such assessments will be dependent on a number of factors. Till date the most popular credit score estimator formula in the country is the one derived by the Fair Isaac Corporation or FICO in short. That is why the score is called the FICO score.

Major credit reporting agencies in America are Equifax, Experian, and the Trans Union. However, each of them uses the same FICO formula with their own variations to determine the credit score of the people they cover. Of course they give their own captions to the variation of the formula. These are often known as the Beacon scores and Emperica scores.

Factors that help you determine the credit score after credit check are timely repayment of your financial dues, current revolving debt ratio in proportion to the available revolving credit, time span taken to determine your credit history, credit types and credit levels that you obtained in the past.

The score limits are 35%, 30%, 15%, 10%, and 10% for the items respectively for the above items.