The next are your tradelines. This is what we're seeing on the screen and we're going to break it down here in the next slide. But this is what is commonly referred to as tradelines. And they can be anything from installment loans, such as a house, a home loan, or a car loan or a revolving charge, like a credit card. For most people credit accounts are what makes up the bulk of their credit report. open accounts or accounts that you are currently paying, whether they are installment or revolving have the most effect on your credit score.

Closed accounts factor less than your FICO credit score, that open accounts but are still a major factor. A trade line lists the type of account how long ago you opened it, the balances and details of your payment history. The amount of your credit limits for revolving debt is not paramount. What amounts is the ratio between your balance and credit limit commonly referred to as your credit ratio, but this only applies to revolving debt and credit cards.