Your FICO score is a three-digit score that lenders can use when deciding whether or not to loan money to you. Over 90% of lenders use the FICO score when making credit decisions. When it was created more than 30 years ago, the idea was to give both lenders and borrowers an accurate and fair report on the borrower's repayment history. Calculating a FICO score is quite complicated, but it basically depends on five factors. The five factors are: Your payment history How much you owe The types of credit you have that make up your credit mix The length of your credit history How many new credit accounts you have opened This combination of data will generate a three-digit score. While lenders have different criteria for what they consider an acceptable score, the FICO categories are as follows: 300-579-poor 580-669-fair 670-739-good 740-799-very good 800-850-exceptional When lenders pull your credit report, they will see a number that will fall into one of these categories. They can use that information to determine whether they will lend money to you, how much you qualify for, and at what rate.