What is a good credit score?

credit-score

An excellent credit score is like the highest math score on the SAT. With both, 800 is exceptional.

But if your credit score isn’t anywhere near that number, you need to know what constitutes a good credit score that will allow you to qualify for a loan at a decent interest rate.

The answer: It should be at least in the mid to high 600s.

If your score isn’t that high yet, you’ll need to exercise good lending behavior, take some strategic steps, and be patient. You may also want to take advantage of two new programs offered by companies in the credit industry that are designed to improve those numbers (more on these programs below).

The FICO score is the credit scoring brand used by most consumer lenders, so it’s the one you pay the most attention to. FICO credit scores typically range from a low of 300 to a high of 850. (A few custom FICO scores for auto loans or bank cards range from 250 to 900, says Can Arkali, a senior scientist in credit analysis and development). FICO scores).

When you receive a credit score report from your lender, your number is often represented on a continuum as a spectrum or rainbow, with bright green indicating the 800 range and red representing not so good.

FICO says there is no “cutoff” where, for example, a good credit score becomes a very good credit score, or a very good credit score becomes exceptional. But Experian, one of the 3 major credit bureaus that supply data used in the FICO score, sets the limits like this:

  • More than 800: Exceptional. Only 1% of borrowers in this range are likely to become seriously behind on their payments. You will be easily approved for the lowest rates.
  • 740-799: Very good. The 2% of borrowers in this category are likely to become seriously delinquent. You may be able to get better rates from lenders, but it’s not guaranteed.
  • 670-739: Good. 8% could become seriously behind in their payments. This range is where most Americans are found. You’re an “acceptable” risk.
  • 580-669: Regular. An estimated 27% in this group could become delinquent. You are a candidate for subprime loans at higher rates.
  • 579 and below: Poor. FICO does not trust this group at all; it is estimated that 61% could fall seriously behind in their payments. If you can get credit, you’ll probably have to put up a security or deposit. You may also have to pay a fee that higher scoring borrowers don’t pay.

Stay out of the high-risk group (subprime)

Bruce McClary, vice president of communications for the National Foundation for Credit Counseling, says a high-risk FICO score, in which a borrower is offered no or very expensive credit, is similar to the Experian range, with “good” starting at 660 or 670.

“If someone’s score drops below 600 on the FICO scale, that’s a critical situation,” says McClary. “A lot of lenders won’t lend to them, and the ones that do lend to them are going to offer the highest cost or interest rate possible.”

With a FICO score of less than 600, you may be able to get a subprime credit card or bank loan (called a signature loan), but it could charge you up to 36% interest, the maximum allowed by law, he says. McClary.

Katie Ross, education and development manager for American Consumer Credit Counseling, a nonprofit organization that provides guidance to consumers across the country on budgeting, credit, debt and related topics, sets the cutoff between fair and good at 600. “What matters most is that you manage your credit so that you’re above the regular credit score range,” she says.

It’s not a label for life

There are many things you can do to ensure that you have a good credit score. Most importantly, make your credit card and loan payments on time. 35% of the FICO score is based on your payment history.

Those with poor or high-risk credit histories might consider signing up for one or both of Fair Isaac Corporation’s new credit enhancement programs, Experian Boost and UltraFICO. Boost, which launched in March, includes utility payments in the score calculation, and UltraFICO, expected to roll out nationally later this year, reviews banking history. To learn more, check out these new ways to improve your credit score.

Keep in mind that a major drop in your luck or behavior could drop your credit score by 100 points, but you’re unlikely to drop in the 300 range.

In fact, McClary says he’s never actually seen a 300 FICO score ā€” or an 850 score, for that matter. The lowest score he’s ever seen was 425, he says, and in that case the borrower had already been bankrupt and was behind on payments to multiple creditors.

“Obsessing about perfecting your score could be a waste of time,” says Ross. “Your efforts should be more focused on keeping your score within a healthy range.”

.

85 Comments

  1. Tetracyclines are effective against both gram positive and gram negative organisms cialis

  2. oral cialis 5mg tadalafil 5mg drug top rated ed pills

  3. accutane 20mg brand buy accutane generic buy azithromycin online

  4. lasix pills ventolin buy online albuterol over the counter

  5. buy ramipril 10mg generic purchase altace generic buy cheap generic etoricoxib

  6. buy levitra 20mg online buy hydroxychloroquine 200mg sale order plaquenil 400mg

  7. generic temovate order buspar generic brand amiodarone 100mg

  8. diamox canada acetazolamide 250 mg pill buy azathioprine 25mg for sale

  9. Since she was still cognizant and aware of us I just couldnt euthanize her so I made her a hospice area in the garage and in the kitchen and nursed her as best I could keeping her comfortable venta de levitra generico

  10. order carvedilol 25mg for sale order coreg pill buy aralen 250mg online cheap

  11. hello there and thank you for your info ā€“ I have definitely picked up anything new from right here. I did however expertise several technical issues using this web site, as I experienced to reload the web site a lot of times previous to I could get it to load correctly. I had been wondering if your web hosting is OK? Not that I am complaining, but sluggish loading instances times will sometimes affect your placement in google and can damage your high quality score if advertising and marketing with Adwords. Well Iā€™m adding this RSS to my e-mail and can look out for much more of your respective interesting content. Ensure that you update this again soon..

  12. proventil online purchase proventil pill oral phenazopyridine 200mg

  13. buy generic baricitinib 4mg lipitor price buy generic atorvastatin

  14. buy adalat for sale perindopril canada buy allegra 180mg pills

  15. norvasc 5mg cheap prilosec 10mg drug omeprazole online order

  16. buy lopressor 50mg generic buy tenormin 50mg online cheap medrol 8 mg for sale

  17. crestor 20mg pill crestor sale motilium usa

  18. tetracycline pills buy generic flexeril online buy ozobax online cheap

  19. buy ampicillin generic buy cipro 1000mg online oral metronidazole 400mg

  20. buy toradol 10mg without prescription colcrys 0.5mg cost inderal ca

  21. septra price cephalexin online cleocin online

  22. erythromycin where to buy erythromycin tablet tamoxifen for sale

  23. rhinocort order online purchase bimatoprost generic careprost allergy nasal spray

  24. order topamax 200mg online cheap generic levaquin order levaquin sale

  25. buy methocarbamol online cheap buy generic suhagra 50mg cheap sildenafil 50mg

  26. dutasteride without prescription avodart pills order mobic 7.5mg sale

  27. cost celecoxib order flomax 0.2mg generic cheap ondansetron 8mg

  28. order aldactone 25mg without prescription buy generic valtrex 500mg order valtrex 1000mg pill

  29. buy finasteride pills for sale viagra next day sildenafil cheap

  30. tretinoin cream price where can i buy retin order avana 100mg online cheap

  31. purchase cialis online cheap generic cialis 20mg brand name viagra

  32. buy tadalafil 10mg voltaren 100mg pill indocin 50mg over the counter

  33. tadalafil usa diflucan generic pills for ed

  34. buy lamisil generic order cefixime buy trimox pills for sale

  35. azulfidine 500 mg pills sulfasalazine 500mg drug order verapamil 240mg for sale

  36. anastrozole 1mg price order anastrozole without prescription catapres online buy

  37. imuran price order micardis generic order telmisartan generic

  38. order antivert pills order spiriva generic buy minocycline 50mg

  39. buy molnupiravir 200mg generic naprosyn generic buy generic cefdinir 300 mg

  40. best otc ed pills viagra for women viagra for sale

  41. order lansoprazole for sale purchase albuterol buy protonix 40mg pill

  42. phenazopyridine 200 mg canada order amantadine 100mg pill amantadine 100 mg sale

  43. buy ed pills best price canadian cialis and healthcare cialis 20mg us

  44. avlosulfon 100mg without prescription aceon buy online buy aceon 8mg

  45. fda approved over the counter ed pills tadalafil 5 mg tablet buy tadalafil 20mg without prescription

  46. fexofenadine 120mg tablet order fexofenadine 180mg pill order glimepiride 1mg online

  47. cialis online purchase These data suggest that SREBP1 induction is associated with the development of resistance to estrogen deprivation therapy

  48. order arcoxia 120mg online cheap mesalamine 800mg for sale order astelin sale

  49. hytrin 5mg usa terazosin sale order cialis 20mg pill

  50. buy irbesartan 150mg purchase buspirone generic cost buspirone 5mg

  51. purchase albendazole online cheap albendazole 400mg usa medroxyprogesterone 10mg cost

  52. order luvox pills buy generic luvox 50mg cymbalta 20mg pills

  53. how to get glucotrol without a prescription order betamethasone 20gm for sale order betamethasone 20gm without prescription

  54. buy generic acetaminophen famotidine 40mg over the counter buy famotidine generic

  55. cost tindamax 500mg purchase nebivolol without prescription purchase bystolic without prescription

  56. buy generic prograf for sale order requip 1mg without prescription buy ropinirole 1mg without prescription

  57. where to buy diovan without a prescription cheap combivent 100 mcg ipratropium over the counter

  58. calcitriol 0.25 mg price purchase calcitriol for sale buy tricor without prescription

  59. decadron canada order zyvox buy starlix online cheap

  60. ciprofloxacin 500 mg pill duricef 250mg generic order duricef 500mg pill

  61. seroquel pills order sertraline 100mg sale generic escitalopram

  62. epivir canada accupril 10 mg pills accupril canada

  63. frumil generic buy frumil online zovirax medication

  64. prozac tablet fluoxetine pill letrozole cheap

  65. bisoprolol pills myambutol 1000mg sale cheap terramycin

  66. zaditor 1mg generic ketotifen 1 mg drug buy generic tofranil

  67. order cialis 20mg sale viagra over the counter order viagra 100mg pills

  68. acarbose price order repaglinide 1mg for sale fulvicin uk

  69. buy mintop generic order minoxidil generic erection pills online

  70. aspirin pill order aspirin for sale buy imiquad for sale

  71. dipyridamole pills gemfibrozil us buy pravastatin 20mg for sale

  72. melatonin us order norethindrone 5 mg sale danazol 100 mg uk

  73. fludrocortisone generic generic bisacodyl 5mg loperamide 2 mg generic

  74. purchase duphaston purchase jardiance without prescription buy generic empagliflozin

  75. This was beautiful Admin. Thank you for your reflections.

  76. prasugrel order buy prasugrel without a prescription order tolterodine 1mg generic

  77. cost etodolac how to buy cilostazol pletal price

  78. Some really excellent info, Sword lily I detected this.

  79. how to buy micardis buy generic plaquenil 200mg buy generic molnupiravir 200mg

  80. cost cenforce naproxen 250mg cost chloroquine 250mg without prescription

  81. cialis dosage 40 mg purchasing viagra on the internet order sildenafil online cheap

  82. buy omnicef pill glycomet online buy prevacid 15mg online

  83. buy modafinil cheap prednisone 40mg price buy deltasone without prescription

  84. buy accutane 20mg buy amoxicillin pills brand azithromycin 500mg

  85. sugarhouse casino online caesars casino online buy furosemide 40mg without prescription

Leave a Reply

Your email address will not be published. Required fields are marked *