Did you know that if you move your residence a lot, you credit score can be lowered dramatically? This is one of the most obscure facts about credit scores; nevertheless, it is true. The theory is that people move around a lot if they're trying to avoid creditors and collectors, so therefore, if you're moving around, then you too must be avoiding them as well.
You may have the best driving record in the world. You have no tickets on your record, no accidents, no citations whatsoever. But, you see that red car, and you have to have it. Well, insurance rates are based on statistics, and red cars get in more accidents and their drivers receive more speeding tickets. Guess what? You buy that red car, and especially if it's a convertible, your insurance rates will be driven up substantially. I always check with my insurance agent before buying a car to see how it's going to affect my rate.
So you think you just get charged with a late fee if your payment doesn't arrive on time? The Credit Card Act of 2009 eliminated Universal Default. This means your credit card can't increase your rates if you're delinquent on another account, such as your water bill. However, creditors can refuse to extend credit to begin with if they see you've been late making payments. It's all about their risk.
So, can you think of anything you're doing that might raise a flag?