"When I ordered my FICO score, one of the reasons given for my low score was that 'The amount owed on your accounts is too high.' Since I own marketable securities that are worth twice as much as all my debts combined, how did they come to this completely unjustified conclusion? And what can I do about it?" The two major components of a credit score, which on average account for two-thirds of the total score, are payment history and amounts owed. Where the first is a record of how well you have met your obligations over the years, the second is a snapshot of your indebtedness right now. If your credit history is short, your current indebtedness can be the most important factor determining your credit score. Ordinarily, a financial advisor seeking to determine whether consumers were livi...
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