Know Your Credit Score Ratings

Know Your Credit Score Ratings

You have any idea on how your credit score plays a big role in your life. If you don’t feel yet you can know when the cell phone companies, creditors, utility companies, insurance companies, associations, landlords, creditors and even your employers ask you to submit a credit score copy. These all parties will be very interested in knowing your credibility.

When you apply for a credit card or a bank loan they will have look on your credit report and FICO score to decide whether or not you are capable to make your future payments. If you have a clean past payment history, null obligations and good credit score ratings these determinants will help you to prove your future ability to repay your debts.

Your credit score ratings should be considered as your financial report card. This shows your stability, integrability and accountability to your bankers and employer.

Let’s have a brief note on credit scores range.

The following table will tell you what is your credit score ratings

By seeing the above credit score table , estimate yourself on where you are standing and how important it is to improve the credit score to get insurance, utilities, housing, new credit cards, employment and so on.

Basically credit scores range starts from 300 to 850. Recent researches have shown only 10% of the people is having a credit score above than 800 and nearly 5% of the people having the credit score below 550. For the people who have good and excellent credit score ratings all credit card companies and bankers are willing to provide their loan with low interest because they are low risky people. So if you do not have a credit score above 700 , its time to repair your credit.

Credit scores range & Its pros

what is an excellent credit score

You may have heard the term excellent score when talking about the credit cards. So what is an excellent credit score? Let’s learn in few seconds.

If your Credit scores lies anywhere between 760 to 849 then you are in the safe zone. You are the most trustworthy for the eyes of all creditors and bankers. You can get any type of card you apply.

Great score

If your credit scores range falls anywhere between 700 to 759, then your this credit score ratings are set to great score. You can obtain most favorable terms and interest you need to pay on credit cards will be bit higher than the one in the excellent score.

Good score

Credit scores falls in the range 660 to 699 are known as good scores. You are still eligible to get the loans with minimal risk but again the interest rate you will be paying on the loan will be bit higher than the people who possess the great score.

Fair score

Credit scores ranging from 620 to 659 are set to have a rating as fair score.  These people are eligible to obtain the credit cards and loans at moderate interest rates.

Poor Score

People who have the credit score in the range 580 to 619 can get a loan but interest rate will be very high.

Bad credit score

If your credit scores lies anywhere between 500 to 579, it is not most desirable one. The only credit card you can get approval is secured credit cards. But don’t worry there are of course many ways to rebuild your credit scores. You can execute do it yourself credit repair options or seek a help from best credit repair companies. Both will help you immensely.