December 5th, 2012

Credit Report Card Break-Down: Average Age of Open Credit Lines


Credit Report Card Break-Down: Age of Open Credit Lines

Last time, we talked about how your percentage of on-time payments affects your credit. Before that, it was all about your open credit card utilization and how a high percentage can really ding your score. Today, we’re discussing another factor in your Credit Report Card: your average age of open credit lines.

Your credit history says a lot about you as a borrower. Of course, there’s whether or not you’ve made payments on time, but there’s also just how long your history is. In Credit Karma’s Credit Report Card, we take a look at the average age of your open credit lines, since many scoring models weigh newer credit lines more heavily.

How does my credit history length affect my credit?

Your credit history length is a significant factor in your credit score. Based on that, the average age of your credit cards is a strong indicator of your credit history. Basically, the longer that you’ve responsibly managed credit (like credit cards), the higher your credit score. Lenders and creditors can get a more thorough and accurate evaluation of your creditworthiness by looking at years and years of your credit use.

This is reflected in the score comparison charts you’ll see in your Credit Report Card.

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