Before you treat your discrete variables as categorical, consider whether you should at least evaluate the linear component by treating it as continuous. For variables with partial orderings, or with both linear and nonlinear components, consider combining continuous and categorical variables together.
Believe it or not, your credit score will be higher if you have 6-10 credit accounts than if you have just one or two. Here are action items to consider to improve this section of your credit report: 1  Pay on time. 2  Credit cards. 3  Utility bills. 4  Library dues.
Pay your bills on time. One of the most important things you can do to improve your credit score is pay your bills by the due date. You can set up automatic payments from your bank account to help you pay on time, but be sure you have enough money in your account to avoid overdraft fees.