What is a good credit score?
Complete guide to credit score ranges and improvement, from 300 to 850.
Understanding credit score ranges
Credit scores range from 300 to 850, with higher scores indicating better creditworthiness. Understanding where your score falls and what it means for your financial opportunities is crucial for making informed decisions.
- 711
- Average US credit score
- 740+
- Score for best rates
- 48%
- Have very good or better scores
Credit score ranges explained
The five FICO bands, how many Americans sit in each, and what each one opens or closes.
| Range | Score | Share of Americans | What it means |
|---|---|---|---|
| Excellent | 800-850 | 23% | Outstanding credit with access to the best rates and terms available in the market |
| Very Good | 740-799 | 25% | Above-average credit that qualifies for competitive rates and good credit products |
| Good | 670-739 | 21% | Average credit that provides reasonable access to mainstream credit products |
| Fair | 580-669 | 18% | Below-average credit with limited options and higher costs for credit products |
| Poor | 300-579 | 13% | Poor credit requiring significant rebuilding efforts and professional guidance |
Excellent
800-850
23% of AmericansBenefits & Opportunities
- Lowest possible interest rates on loans and credit cards
- Best credit card rewards programs and premium perks
- Easy approval for any credit product
- Lower insurance premiums in most states
- Better rental and employment opportunities
- Higher credit limits and better terms
Challenges & Limitations
- Maintaining perfect payment history consistently
- Optimizing credit utilization ratios below 10%
- Managing multiple credit accounts responsibly
Very Good
740-799
25% of AmericansBenefits & Opportunities
- Competitive interest rates on most loans
- Access to good credit card rewards programs
- Easy approval for most credit products
- Reasonable insurance rates
- Good rental and employment prospects
Challenges & Limitations
- May not qualify for the absolute best promotional rates
- Some ultra-premium credit cards may be out of reach
- Room for improvement to reach excellent status
Good
670-739
21% of AmericansBenefits & Opportunities
- Access to most credit products and services
- Reasonable interest rates, though not the best
- Standard approval processes for loans
- Decent selection of credit cards available
Challenges & Limitations
- Higher interest rates than excellent/very good credit
- Limited access to premium credit products
- May require larger down payments on loans
- Credit limits may be lower than desired
Fair
580-669
18% of AmericansBenefits & Opportunities
- Some credit options still available
- Secured credit cards can help rebuild credit
- Subprime auto loans and personal loans possible
- Credit-builder products available
Challenges & Limitations
- High interest rates on all credit products
- Limited credit card options, mostly secured cards
- Difficulty getting approved for traditional loans
- Higher insurance premiums and deposits
- May need cosigners for major purchases
Poor
300-579
13% of AmericansBenefits & Opportunities
- Secured credit cards available for rebuilding
- Credit-builder loans from some financial institutions
- Significant room for improvement with proper strategy
Challenges & Limitations
- Very limited credit options available
- Extremely high interest rates when credit is available
- Difficulty renting apartments or getting utilities
- May need cosigners for most financial products
- Higher deposits required for services
What affects your credit score
Five factors make up a FICO score. Payment history and utilization together are nearly two thirds of it.
Payment History (35% impact)
Your track record of making payments on time. Late payments, missed payments, and defaults have the biggest negative impact.
Credit Utilization (30% impact)
How much credit you're using compared to your limits. Keep utilization below 30%, ideally under 10%.
Credit History Length (15% impact)
How long you've had credit accounts. Keep old accounts open and avoid closing your oldest credit card.
Credit Mix (10% impact)
Variety of credit types like credit cards, auto loans, and mortgages. Don't open accounts just for mix.
New Credit (10% impact)
Recent credit inquiries and new accounts. Limit applications and space them out over time.
Key takeaways
- 740+ for best rates
- 670+ for good options
- 800+ for excellent
- Anything above 711 is ahead of the US average
Ready to improve your score?
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Use our credit toolsCredit score goals by financial product
Mortgage Loans
- Conventional loans
- 620+
- Best rates
- 740+
- FHA loans
- 580+
Credit Cards
- Basic cards
- 580+
- Rewards cards
- 650+
- Premium cards
- 720+
Auto Loans
- Subprime loans
- 500+
- Good rates
- 650+
- Best rates
- 720+
Personal Loans
- Basic approval
- 600+
- Good rates
- 680+
- Best rates
- 720+
Insurance
- Standard rates
- 650+
- Preferred rates
- 720+
- Best rates
- 780+
Rentals & Services
- Apartment rental
- 600+
- Utilities (no deposit)
- 650+
- Cell phone plans
- 550+
Frequently asked questions
- How to boost credit score in the UK?
- In the UK, credit scores work differently than in the US, with three main agencies: Experian (0-999), Equifax (0-700), and TransUnion (0-710). To boost your UK credit score: 1) Register on the electoral roll at your current address, 2) Pay all bills on time including utilities and mobile phone contracts, 3) Keep credit utilization below 25% of available limits, 4) Don't apply for multiple credit products in short periods, 5) Check your credit reports regularly for errors and dispute them, 6) Consider a credit-builder card if you have limited credit history, 7) Show stability by staying at the same address and job for longer periods, and 8) Use services like Experian Boost to include positive payment history from bank accounts, streaming services, and other regular payments.
- What is the most damaging to a credit score?
- The most damaging factors to your credit score are: 1) Payment history issues (35% of your score) - late payments, missed payments, defaults, charge-offs, and bankruptcies, 2) High credit utilization ratios above 30%, especially above 90%, 3) Debt collections and judgments against you, 4) Foreclosures and repossessions, 5) Bankruptcy filings (Chapter 7 or 13), 6) Hard inquiries in large numbers over short periods, and 7) Closing old credit accounts which reduces your credit history length. Among these, missed payments and defaults have the most immediate and severe impact, potentially dropping your score by 60-100+ points depending on your starting score and credit profile.
- Can I repair my credit myself?
- Yes, you can absolutely repair your credit yourself - and it's often the most cost-effective approach. Here's how: 1) Get free credit reports from all three bureaus annually at annualcreditreport.com, 2) Review reports carefully for errors, outdated information, or fraudulent accounts, 3) Dispute any inaccuracies in writing with detailed documentation, 4) Pay down high credit card balances to reduce utilization, 5) Set up automatic payments to ensure you never miss due dates, 6) Don't close old credit cards unless they have high annual fees, 7) Consider becoming an authorized user on a family member's account with good payment history, and 8) Be patient - credit repair takes 3-6 months to show significant results. You only need professional help if you're dealing with complex issues like identity theft or legal matters.
- Why is my credit score going down when I pay on time?
- Several factors can cause your credit score to drop despite making on-time payments: 1) Increased credit utilization - if your balances have grown relative to your credit limits, 2) Credit limit decreases by your card issuers due to economic conditions or changes in your credit profile, 3) Closed accounts reducing your total available credit, 4) Natural aging of positive payment history (older positive marks have less impact), 5) New hard inquiries from recent credit applications, 6) Changes in your credit mix (closing installment loans while keeping only credit cards), 7) Errors on your credit report that need to be disputed, and 8) Identity theft or fraudulent accounts opened in your name. Check your credit reports to identify the specific cause and take appropriate action.
- What is a realistically good credit score?
- A realistically good credit score depends on your goals and current situation. For most people: 1) 670-739 is considered 'Good' and qualifies you for most credit products with reasonable terms, 2) 740+ is 'Very Good' and gets you competitive rates on loans and better credit card offers, 3) 800+ is 'Excellent' but the practical benefits over 740 are often minimal. For specific goals: Auto loans - 650+ gets decent rates, mortgages - 620+ for conventional loans (though 740+ gets the best rates), credit cards - 650+ for decent options, 720+ for premium rewards cards. The median US credit score is around 711, so anything above 700 puts you ahead of average. Focus on reaching 740+ for the best practical benefits, as the difference between 750 and 850 is often negligible in real-world lending decisions.
By the numbers
What the data says
- February 2026
21.52%
Average interest rate on credit card accounts that carry a balance
Commercial bank cards assessed interest
Source: Federal Reserve, G.19 Consumer Credit - Q2 2025
4.4%
Share of all household debt in some stage of delinquency
Source: Federal Reserve Bank of New York, Household Debt and Credit Report - Q2 2025
$1.21 trillion
Outstanding credit card balances in the US
5.9% higher than a year earlier
Source: Federal Reserve Bank of New York, Household Debt and Credit Report
National figures from the sources shown, as of the period on each card. They are context, not a forecast or advice for your situation.
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