Credit scores range drastically, anywhere from below 300 to above 800. The higher the number, the better your credit score is and the less of a credit risk you are to banks or loan programs. Your credit score increases over time and as you open more credit and loan accounts. The following includes a more detailed description of where your credit score may lie:
Excellent Credit
- Credit score above 760
- Excellent credit risk
- Long credit history
- Multiple established credit and loan accounts
- No negative public records
- Qualifies you for the best deals
Very Good Credit
- Credit score between 725 and 759
- Very low credit risk
- Credit accounts paid on time each month
- Qualifies you for some of the lowest rates
Good Credit
- Credit score between 660 and 724
- Low credit risk
- May have had late payments in the past
- All accounts are currently paid on time
- Standard amount of credit card debt
- Qualifies you for competitive interest rates and terms
Fair Credit
- Credit score between 560 and 669
- Moderate credit risk
- May have older negative public records
- May have higher credit card debt balances
- May have too many applications for new credit
- Qualifies you for decent rates, but not the best available
Bad Credit
- Credit score between 280 and 559
- High credit risk
- May have high amounts of credit card debt
- May have late payments, collections, or bankruptcy records
- May have not been using credit cards and loans regularly
- Difficult to be approved for standard credit products
- Qualifies you to be approved for accounts tailored to people with no credit or bad credit
