Credit score range is typically between 300 and 850. Within that range, scores can usually be placed into one of five categories: poor, fair, good, very good and excellent.
Poor Credit Score
A poor credit score is typically defined as a score between 300 and 579. A score in this range indicates that you may have difficulty obtaining credit or loans, and if you do, you may be charged higher interest rates. If you have a poor credit score, it’s important to take steps to improve it. Some ways to improve your credit score include paying bills on time, keeping credit card balances low, and disputing errors on your credit report.
Fair to Good Credit Score
A fair credit score is typically defined as a score between 580 and 669. A score in this range indicates that you may have difficulty obtaining credit or loans, and if you do, you may be charged higher interest rates.
A good credit score is typically defined as a score between 690 and 719. Scores 720 and above are considered excellent, while scores below 630 fall into the bad credit range.
If you have a fair credit score, it’s smart to try to move it well into the good credit zone. Moving your credit score from fair to good gives you access to better financial opportunities: With a higher credit score, you may be able to get better interest rates on loans, insurance and credit cards. You’ll also have access to credit card offers with better rewards, cash back and maybe even 0% interest rates.
Excellent Credit Score
According to the FICO credit scoring model, an excellent credit score falls between 800 and 850 points. The VantageScore model categorizes an excellent credit score as anything above 781.
Having an excellent credit score can help you qualify for the best interest rates on loans, credit cards, and mortgages. It can also make it easier to get approved for rental applications and other financial products.