Credit Union Information
What Is a GOOD Credit Score?
What actual number is a good score depends on the scoring model, the type
of loan,and the lenders acceptable risk level and credit policies. For some models
like FICO, the higher the score, the better. For other models, the lower the score,
the better. If the score on a borrower's credit report is too low for one product
,it may be acceptable for other products. Likewise, if one lender turns down a request
for credit, it does not mean that another one will. For instance, an automobile dealer
may accept a lower score than a creditor who offers an unsecured fine of credit.
Although each lender has different standard, the following is a general guideline based
on your FICO score.
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FICO Score
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Credit Rating
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Above 730
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Excellent Credit
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700-729
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Good Credit
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Lender will take a
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670-699
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closer look at your
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credit file
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585-669
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Higher risk
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Limited credit
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Below 585
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availability
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Many lenders reserve their most favorable quotes of rates and fees for applicants in the
upper FICO score ranges - 700 and above. Mortgage applicants in the low 600s and
below get progressively higher rate quotes and are charged higher loan fees. FICO scores,
in other words, often determine v. hat you pay for the money you borrow.
If you're interested in current average interest rates, visit myFICO.com.
Why Should you get your credit score?
When you order your own personal credit report, you can see the same credit history
a !c-rider sees, but a score can tell you more. It tells you how the lender is likely to
evaluate your history.
If you want to get an idea of your total credit picture, having your credit score as well
as your credit report can help you in several ways:
. Know where you stand before applying for credit
Prevent surprises when applying for credit by knowing where you stand.
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