Your credit history is an important factor since it is used as a gauge as to whether you are likely to repay your debts. Your credit score is based on a numerical system ranging from 300 (poor) to 850 (excellent). Making payments on time each month and reducing the total amount you’ve borrowed will gradually raise your credit score, while spending closer to your maximum available credit or making late payments (or missing them entirely) will decrease it. You can view your credit score from any of the major credit reporting companies: Equifax, TransUnion, and Experian. It is important to review your credit report once a year to make sure the data is accurate, as incorrect or outdated information can hurt your score and negatively impact your mortgage qualification. Before you apply, obtain a copy of your credit report and make sure that the information on it is accurate. If you find a discrepancy in your credit report, make sure you can prove it’s an error and then contact that creditor to correct the issue.