What is a good credit score?

A credit score is a number, usually between 300 and 850, that provides a snapshot of a consumer’s creditworthiness. Lenders use these scores to determine whether a borrower qualifies for a loan, and in many cases, to set interest rates and other terms. By checking and maintaining a score of good or better, customers can qualify for Best rewards credit card and other loans.

What is a good score?

Two companies dominate the market for credit scores: FICO (opens in new menu) and VantageScore (opens in new menu). FICO considers a score of 670 to 739 to be good, while VantageScore considers a score of 661 to 780 to be good. FICO (opens in new menu) boasts that 90% of the top lenders trust their score, and consumers need to focus on their FICO score first. Credit card companies, however, often look at FICO and VantageScores.

How do you measure up to other borrowers?

The average FICO score in the US will be 716 in 2022. And as the chart below shows, about 67% of US consumers have a good score, or better. according to the Experian (opens in new menu). About 20% of adults in America are “invisible debt” or “unscorable,” meaning they have little or no credit history, and as a result, no scores.

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(Image credit: Experian)

The latest edition of the VantageScore also uses a 300 to 850 scale, with 61% of Americans having a VantageScore of Good or better.

The VantageScore Donut graph ranges from bad to good

(Image credit: Experian)

How to check your score?

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