You have straight forward told in first line "False Info".
As I know ,Credit card itself considerd unsecured loans and only mix of loans like Secured and unsecured loans contribute to achieve good score.
Essentially, your credit utilisation ratio is calculated by taking into account your total outstanding debt and dividing it by the total credit available to you.. If I am utilizing above 30 percent in one card and on all other utilisation is below 30 or zero then at the end average will be counted.like if total limit across all is 10 Lakhs for example and uitilisation is 1 lakh across all cards then utilisation is 10 percent overall.Only credit utilisation is not the contributing criteria in calculating credit score.
Here are the major factors have impact on credit score.
Card/loan repayment history:
While using a credit card, you must be mindful of how and when to repay the borrowed amount. For instance, your credit score will be positively impacted if you pay the entire amount due on time. However, your credit score will deterlorate if you consistently pay only the minimum amount due or tend to miss payments. Defaulting your credit card payments will negatively impact your credit score more than late payments. Remember that your repayment history significanly towards your credit score, so repay what you borrow on time.
●Credit Utilisation Ratio-
Another factor considered while calculating your credit score is the credit utilisation ratio. But what is it? Essentially, your credit utilisation ratio is calculated by taking into account your total outstanding debt and dividing it by the total credit available to you. The resultant value is presented as a percentage. How does credit utilisation impact credit score? Usually, it is advisable that you keep Your credit utilisation ratio under 30.
●Length of Credit History-
If you have not . been using a credit card and are considering Closing it, you might affect your credit score. Your credit score is impacted by the length of your credit history. Since an old credit card is instrumental i in building your Credit history, it can help your credit score. It can help a lender gauge how your creditworthiness has evolved over the course of holding the card.
●T
he Number of Credit Cards/loans-
On the one hand, having multiple cards is advantageous. It helps extend the credit available to you, thereby reducing your credit utilisation ratio. On the other hand, having too many credit cards have an adverse effect on your credit score. As a thumb rule, you should try to avoid having more than three active credit cards at any given time. Too many cards can cause difficulty in repayments, causing your credit score to drop: Plus, it may also indicate that you require too much credit to get by.
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