What Is a Good Credit Score?
What is the average credit score? The Bar Finally, a way to tell exactly what is “good” credit. They actually come right out and give numbers. High 700s Fair Isaac: “Those agencies [Fannie Mae and Freddie Mac], which buy mortgages from banks and resell them to investors, have indicated to lenders that any consumer with a FICO score above 620 is good while consumers below 620 should result in further inquiry from the lender, Watts said… Once you get into the upper echelon of FICO scores — in the high 700s — lenders don’t care how high your score is or isn’t, Watts said.” – Knight Ridder (alt) 770 Freddie Mac: 770: A+ SmartMoney.com: “The very best rates go to people with scores above 770, but a score of 700 is considered good (the average score is somewhere around 725), says Craig Watts, Fair Isaac’s spokesperson.” Frontline, PBS: “The best credit rates are given to people with scores above 770, but a score of 700 — out of a possible 850 — is considered good, according to Fair Isa
Because there are many different credit scoring systems with different scales, a “good” credit score depends on the scoring system used by your particular lender. However, you can get a very good idea of whether you have a “good” credit score by getting a credit score and report from Experian. If you have a “good” credit score from Experian, you likely will have a “good” credit score with your lender.
Your lender is best able to answer this question based on its criteria. There are many different credit scoring systems with different numeric scales. Each lender determines what a good score is based on its experience and the credit scoring system it is using. However, you can get a very good idea of whether you will have good credit scores overall even if the numbers are very different by getting your VantageScore and VantageScore report. The VantageScore was designed with you in mind. The VantageScore scale approximates the familiar academic grading scale (A, B, C, D, F), giving you immediate insight into whether you are a good credit risk, poor credit risk, or somewhere in between. In general, if you have a good VantageScore, most other credit scores will be good, as well, even if the scoring scale is not the same.
