How to raise mortgage fico score?

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Raising your mortgage FICO score is crucial when it comes to securing a favorable mortgage loan. Your FICO score, a three-digit number ranging from 300 to 850, is a key factor that lenders consider when determining your creditworthiness. A higher FICO score not only increases your chances of getting approved for a mortgage but also allows you to qualify for lower interest rates. In this article, we will explore effective strategies to raise your mortgage FICO score and improve your overall financial health.

Review Your Credit Report

Before you can start working on improving your FICO score, it’s essential to review your credit report. Obtain a copy of your credit report from each of the three major credit bureaus – Equifax, Experian, and TransUnion. Carefully examine the report for any errors, such as incorrect personal information or accounts that don’t belong to you. Dispute any inaccuracies you find to ensure your credit report reflects accurate information.

Pay Your Bills on Time

One of the most significant factors affecting your FICO score is your payment history. Late payments can have a detrimental impact on your score. Make it a priority to pay all your bills, including credit card payments, loans, and utilities, on time. Consider setting up automatic payments or reminders to help you stay on track.

Reduce Your Credit Utilization Ratio

Your credit utilization ratio is the percentage of your available credit that you are currently using. Aim to keep this ratio below 30%. If your credit card balances are high, focus on paying them down to reduce your overall credit utilization. Additionally, avoid closing old credit card accounts, as this can negatively impact your credit utilization ratio.

Manage Your Credit Mix

Lenders like to see a diverse credit mix, including a combination of credit cards, installment loans, and mortgages. If you don’t have a mortgage or other installment loans, consider diversifying your credit mix by responsibly using a small personal loan or a secured credit card. However, only take on new credit if you can manage it responsibly and make timely payments.

Avoid Opening Multiple New Accounts

While having a diverse credit mix is beneficial, opening multiple new accounts within a short period can raise red flags for lenders. Each time you apply for new credit, it results in a hard inquiry on your credit report, which can temporarily lower your FICO score. Be mindful of opening new accounts and only do so when necessary.

Keep Old Accounts Open

Closing old credit card accounts may seem like a good idea, but it can actually harm your FICO score. Length of credit history is an important factor in calculating your score. Closing old accounts shortens your credit history, which can negatively impact your score. Instead, keep those old accounts open, especially if they have a positive payment history.


Raising your mortgage FICO score requires a combination of responsible financial habits and strategic credit management. Reviewing your credit report, paying bills on time, reducing credit utilization, managing your credit mix, and being cautious about opening new accounts are all effective strategies to improve your FICO score. By implementing these practices, you can increase your chances of securing a favorable mortgage loan and enjoy the benefits of lower interest rates.


– Equifax:
– Experian:
– TransUnion: