1. What is Age of Credit Score?

The Age of Credit Score represents the average age of all credit accounts in your credit history. It is calculated by dividing the sum of all account ages (in months) by the total number of accounts. This metric is an important factor in determining your credit score, as lenders prefer to see a longer, well-established credit history.

2. How Does the Calculator Work?

The calculator uses the following formula:

Where:

• Sum of Account Ages — Total months of all credit accounts combined
• Number of Accounts — Total count of credit accounts

Explanation: This calculation provides the average age of your credit accounts, which is a key component in credit scoring models. Older credit histories generally contribute to higher credit scores.

3. Importance of Age of Credit Score

Details: The age of your credit history typically accounts for about 15% of your FICO score calculation. A longer credit history demonstrates to lenders that you have more experience managing credit responsibly. This factor considers both the age of your oldest account and the average age of all your accounts.

4. Using the Calculator

Tips: Enter the total sum of all account ages in months and the total number of credit accounts. Both values must be positive numbers (sum of ages > 0, number of accounts ≥ 1).

5. Frequently Asked Questions (FAQ)

Q1: How does age of credit affect my credit score?
A: Generally, a longer credit history will improve your credit score. Credit scoring models consider both the age of your oldest account and the average age of all accounts.

Q2: What is considered a good average age of credit?
A: While there's no definitive number, an average account age of 7 years or more is generally considered excellent. Accounts between 2-6 years are considered good, while less than 2 years may need improvement.

Q3: Will closing old accounts affect my credit age?
A: Yes, closing old accounts can lower your average credit age, which may negatively impact your credit score. Closed accounts typically remain on your credit report for 7-10 years but stop contributing to your average age calculation once removed.

Q4: How can I improve my average credit age?
A: Keep old accounts open, avoid opening too many new accounts at once, and be patient as your accounts naturally age over time.

Q5: Does authorized user status affect credit age?
A: Yes, being an authorized user on an older account can help increase your average credit age, as the entire history of that account may be added to your credit report.