Northern Mortgage
Know your credit
What’s your score?
YOUR SCORE IS USED BY LENDERS TO DETERMINE HOW LIKELY YOU ARE TO RE-PAY DEBTS.
![20211122 Credit Score Score Breakdown [900px]](https://i0.wp.com/northernmtg.com/wp-content/uploads/2022/01/20211122-Credit-Score-Score-Breakdown-900px.jpg?resize=900%2C743&ssl=1)
![20211122 Credit Score Factors [1000px]](https://i0.wp.com/northernmtg.com/wp-content/uploads/2022/01/20211122-Credit-Score-Factors-1000px.jpg?resize=1000%2C711&ssl=1)
HOW IS MY SCORE IS DETERMINED?
Credit scores are calculated by comparing your:
- Payment history (~35%)
- Amount owed (~30%)
- Age of credit (15%)
- New credit (10%)
- Type of Credit (10%)
Are you hurting or improving your credit score?

FACTORS WHICH HURT YOUR SCORE
- Late payments over the last 24 months
- Maxed-out balances
- Closing accounts
- Recurring account opening & closing
- Opening multiple accounts too quickly

FACTORS WHICH IMPROVE YOUR SCORE
- On-time payments
- Low balances
- Keeping accounts open
- Limiting number of accounts
- Reducing number of revolving debts, and prioritizing fixed debts
Hits to your credit
Your credit profile can be affected by inquires from potential lenders. Many inquiries can have a negative effect on your credit.
What is a soft hit?
Soft hits are inquiries without negatively affecting your credit profile. Some examples:
- Free yearly copy of your credit report
- Inquiries by insurance companies
- Auto dealer inquiries
- Employer inquiries


What is a Hard hit?
Hard hits are inquiries which may negatively affect your credit profile, even if the application is denied. Some examples:
- Lender inquiries
- Retail store inquiries
- Other installment inquiries
Get your credit score
Request a free yearly credit report:
Need more details or guidance? Contact a Loan Officer!

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Need a home loan or refinance?
What a GREAT experience! Northern and the rest of the staff were fast, reliable, and very pleasant to work with. I would recommend them to anyone and will use them again in the future!
Our counter offer was accepted! Thank you, Courtney, for helping us get pre-approved so quickly; we couldn’t have done this without you!
I worked with Northern Mortgage to purchase my first home and I couldn’t be happier with the experience. Our Loan Officer Bill was accommodating, efficient, and genuine! Thank you, Bill!