Why Your Payment History Matters

Making up 35% of your FICO score, your payment history is not something to take lightly. According to MyFICO.com, “having no late payments in your credit report doesn’t mean you’ll get a “perfect score.” But, it contributes greatly to your overall score.

The components of your payment history

  • Revolving credit –  credit cards(secured/ unsecured) and retail cards 
  • Installment loans – mortgages, car loans, student loans, etc.
  • Public records and collection items – lawsuits, bankruptcies, accounts in collection

What makes up your payment history?

  • Number of accounts being paid timely
  • Payment history on revolving and installment loans
  • How much debt is owed
  • How recent a payment has been missed
  • How many past due payments are reported on your credit report
  • Adverse public records such as lawsuits, bankruptcies, and wage garnishments
  • The duration each delinquency, collection item, or adverse public record was placed on your credit report (30, 60, 90, 120+)
  • How much is owed on delinquent accounts including collection items

Mindful Reminder

Improving your payment history takes time and perseverance especially if the debt is substantial. Understanding this, practicing patience is important as there is no quick fix to debt. Learn how to create mindfulness around your finances. In doing so, you can implement a self-care regime that will help through tough times. Recognizing small accomplishments and rewarding yourself will also ease the process. With a clear and stable mind anything is possible.


Bucci, S .  (2022). How does payment history affect your credit score? Retrieved from https://www.bankrate.com/finance/credit-cards/payment-history-credit-score/

Jayakumar, A.  (2019). How does payment history affect your credit score? Retrieved from https://www.nerdwallet.com/article/finance/payment-history-affect-credit-score

MyFICO.  (n.d). Payment history. Retrieved from https://www.myfico.com/credit-education/credit-scores/payment-history

Treece, K, Tarver, J .  (2022). Focus on payment history-it’s the most important credit factor. Retrieved from https://www.forbes.com/advisor/credit-score/payment-history/