Your One Stop Resource for Saving Money.
All about credit score range - The Bills.com Blog
Bills.com Blog > Credit Questions > Credit Score Range
All about credit score range
Monday, Oct 8, 2007
Question: What's the break-down on credit scores between a bad score, fair score, good score and excellent score?
Answer: The Fair Isaac Corporation Credit Score, or FICO Score, is the most widely used credit scoring model in the United States. When considering a potential borrower for a loan, the lender will analyze the borrower's credit score, along with other factors, such as income and assets. FICO scores range between 300 and 850, with the average U.S. credit score being 723.According to Fair Isaac, a credit score above 700 places you in the low credit risk category (perfect or "A" credit), meaning you should qualify for the best interest rates, depending on other factors such as income. A score between 690 and 600 is considered a moderate credit score, and many people say you are "Alt-A" if you are between about 650-680. This means that while you will not receive the best interest rates, you should still
be able to borrow at reasonable rates.
A score below 600 generally means that you will be considered a relatively high credit risk, and your interest rates will probably be quite a bit higher than a consumer with a better credit score. A score below 550 is generally considered poor credit; a score this low will likely prevent you from obtaining many loans, and those you can obtain will carry high interest rates and fees.
There are several other scoring models, such as the Vantage Score
A score below 600 generally means that you will be considered a relatively high credit risk, and your interest rates will probably be quite a bit higher than a consumer with a better credit score. A score below 550 is generally considered poor credit; a score this low will likely prevent you from obtaining many loans, and those you can obtain will carry high interest rates and fees.
There are several other scoring models, such as the Vantage Score
and the Beacon score, which lenders use when making loan decisions, so the ranges I mention above are not absolute. However, Fair Isaac is the most common scoring model, so the information I provided should serve a good guide. For more information about credit reports, credit scoring, and ideas on how to improve your credit score, I encourage you to visit the Bills.com Credit Resources page. Also read the Undertading your credit score article to learn more.
I hope this information helps you Find. Learn. Save.
Best,
Bill
www.bills.com
I hope this information helps you Find. Learn. Save.
Best,
Bill
www.bills.com
Also, make sure to get a free financial health check-up with Bills IQ!
Submit questions/comments about this post:
Bill has answered all sorts of questions and has been able to provide those in need of financial guidance with helpful and valuable advice and information on their specific financial area of interest. If you need specific guidance on any of the above mentioned financial areas, feel free to Ask Bill your financial questions and get better informed. Also, make sure to get a free financial health check-up with Bills IQ!
Information provided by Bills.com is for general informational purposes only and is not be
construed as legal, financial, bankruptcy, tax or other professional advice. Should you
require more detailed information or specific professional advice tailored to your situation you
should consult an attorney, financial planner or tax advisor.
While we believe all information provided by Bills.com to be accurate as of the date of its posting, we cannot ensure its accuracy. Use of this site and any information contained on or provided through this site is provided without any representations, warranties or guarantees. Bills.com is not responsible or liable for any decisions or actions anyone may take based on the information provided. Please see Terms of Use.
While we believe all information provided by Bills.com to be accurate as of the date of its posting, we cannot ensure its accuracy. Use of this site and any information contained on or provided through this site is provided without any representations, warranties or guarantees. Bills.com is not responsible or liable for any decisions or actions anyone may take based on the information provided. Please see Terms of Use.
© 2006 - 2009Bills.com LLC. All Rights Reserved.