Most Americans say improving their credit score is a priority, yet a striking number cannot explain the specific behaviors that move the number.
A spring 2026 Harris Poll survey for FICO found that 83% of consumers consider maintaining or improving their score a priority this year.
The same research revealed a deeper problem beneath that surface-level motivation, one that involves a fundamental misunderstanding about how credit scoring works.Â
Two-thirds of respondents either incorrectly believe income directly affects their credit score or acknowledge they are not sure whether it does.
Cindy Scott, senior regional manager at Charles Schwab, understands the cost of that confusion because she experienced it herself after graduating from college.Â
She has written about improving her own score after college through the same habits she now recommends to clients.
What the five scoring factors reveal about your credit profile
A FICO score is a three-digit number calculated from five weighted categories, according to myFICO. The relative weights indicate which behaviors carry the most influence on the final score.
Payment history carries the largest single weight at 35% of the total score, and the impact of a missed payment depends on how late the payment is and the borrower’s existing score, FICO notes.
Amounts owed represent 30% and center on your credit utilization ratio, which measures how much of your available credit you use.
Length of credit history contributes 15%, while new credit and credit mix each account for 10%. Scott’s framework focuses most heavily on the first two scoring categories because they represent nearly two-thirds of the overall calculation.
The Spring ’26 FICO Score Credit Insights report identified specific knowledge gaps among consumers, including the misconception that income directly affects credit scores.
The national average FICO score slipped to 714 this year, and 24% of consumers reported skipping or underpaying a loan payment because of inflation.
“What makes this particularly interesting is that we’re simultaneously seeing a record share of consumers demonstrating strong, consistent credit behaviors,” Ethan Dornhelm, head of scores analytics at FICO, said in the report.
The credit mistakes Schwab’s Scott warns clients to avoid
The most damaging mistake Scott identifies is paying bills late, and she confirmed she rebuilt her score by making consistent on-time payments after college.
“That’s what I did to improve my own score when I got out of college,” Scott wrote in the guide. She explained that she now pays her bills before the due date and uses automatic payments to ensure nothing falls through.
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The second mistake involves carrying balances that push your credit utilization above 30% of your available credit limit overall.
Scott said the best guide is to treat your true spending limit as only what you can pay off each billing cycle, not the maximum shown on your statement.
“People who have utilization ratios less than 10% are the lowest risk for that particular metric, which is why you earn such a large amount of credit score points,” said John Ulzheimer, credit expert formerly of FICO and Experian, in a CNBC interview.
The third mistake involves opening new credit cards just to take advantage of rewards and discounts.
Scott cautioned that every new application triggers a hard inquiry on your report, and multiple inquiries in a short window signal higher risk.
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Keeping unused credit cards open strengthens your score
One counterintuitive element in Scott’s framework involves credit cards you no longer actively use, because closing them can damage your score in two ways.
Closing an old account lowers the average age of your credit history, which accounts for 15% of your FICO score. It also shrinks your total available credit, which raises your utilization ratio even if your actual spending and outstanding balances remain exactly the same.
If you have low balances and a lot of unused credit limits elsewhere, then closing a card could be meaningless
Scott recommended keeping those accounts open and in good standing over a longer period, even if you no longer use the card for everyday purchases.Â
She added that carrying a balance is not required to benefit from the account’s contribution to your score, a common misconception among borrowers.
FICO’s spring 2026 data showed that 48.1% of consumers now hold scores of 750 or higher, up from 43.3% in 2019.Â
FICO attributed the trend to consistent long-term credit behavior, and Scott has identified keeping older accounts open as one habit that supports a longer credit history.
How to catch credit report errors before they affect your borrowing
Scott recommended checking your credit report at least once a year through AnnualCreditReport.com, which offers free reports from Experian, Equifax, and TransUnion.
Your report shows your full payment history, current balances, bankruptcy records, and any lawsuits tied to your financial profile.
Reviewing it carefully can surface errors that lower your score without your knowledge, including debts listed under the name that you never opened.
Scott encouraged readers to dispute any entries they believe are inaccurate. The Consumer Financial Protection Bureau directs consumers to file disputes with the credit bureau reporting the error.
She also recommended freezing your credit report if you have no plans to apply for new credit soon, noting the process is easy to reverse.
A credit freeze restricts access to a credit report without affecting existing accounts, according to the Federal Trade Commission. Scott described the process as easy to reverse if the borrower later applies for new credit.
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