Questions: Krysta has a great credit score. What does that indicate to lenders? - Indicated Not indicated - Krysta deposits her paycheck directly into her checking account, balances the account often, and never spends more than she has in the account. - Krysta typically keeps high balances on her credit cards.

A great credit score generally indicates to lenders that an individual is a responsible borrower. It suggests that the person has a history of managing credit well, making payments on time, and not overextending their credit limits. Here's how the given scenarios relate to Krysta's credit score:

1. Krysta deposits her paycheck directly into her checking account, balances the account often, and never spends more than she has in the account.

   • Indicated: While these actions demonstrate good financial habits, such as budgeting and managing cash flow, they do not directly impact a credit score. However, these behaviors can indirectly support a good credit score by ensuring that Krysta has the funds available to pay her credit obligations on time.

2. Krysta typically keeps high balances on her credit cards.

   • Not indicated: Keeping high balances on credit cards can negatively impact a credit score, as it may suggest that the individual is over-reliant on credit and potentially at risk of default. A high credit utilization ratio (the amount of credit used compared to the credit limit) is generally seen as a negative factor in credit scoring models.

In summary, a great credit score indicates to lenders that Krysta likely has a history of timely payments and responsible credit management, but the specific actions mentioned in the scenarios have varying impacts on her credit score.