You would never know how much a good credit report can help you. Let’s be real: a good credit score range is what everyone wants to see in their credit report. It’s crucial. A good credit means that lenders, as well as banks can see that you are financially stable and a good potential client.
Credit scores, based on the FICO scoring system (stands for Fair Isaac Corporation), range from 300 to 850 and as you would expect, the higher the score the better. The things go like this:
– If you have a score ranged between 760-849, you won’t have a problem with bank rates and terms, as you will get the best proposals, because it’s an excellent score.
– Having a score between 700-759 is also very good; you can apply for different loans and credit cards while getting a decent interest rate.
– If your score is 620-699, although it’s very low, you can still go for a loan application, but your interest rate will be very high.
– If you score falls below 619, then you will have little to no chances of getting a loan. Although there might be banks that can lend you funds, but it will be for a limited amount and with a high interest rate.
Depending upon your credit score, you will either be able to get a loan or not. Banks will ALWAYS check your score as well as different lenders. It doesn’t matter whether you’re going for a credit card, mortgage/car loan, if you have a bad credit score you can’t get any of these.
Therefore, a good credit score lies between 700-849. Any score that falls in that range, it’s awesome and you’re bound to getting good offers with decent interest rates.