What Counts as a Good Credit Score, and What Can Help Improve Yours?
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A FICO score of 670 to 739 is considered good. Learn what affects your score and how credit habits can influence borrowing options.
A good credit score can widen your borrowing options and may help you qualify for lower interest rates. For FICO scores, the “good” range is 670 to 739. That gives you a useful benchmark, but the number alone doesn’t tell the whole story: lenders set their own criteria, and a score in the good range may still fall short of the best available rates.
How FICO score ranges are described
FICO scores run from 300 to 850. The categories below show how myFICO describes the scale:
| Score range | Rating | What it may mean |
|---|---|---|
| 300–580 | Poor | Qualifying for credit can be difficult. If approved, you may face very high interest rates. |
| 580–669 | Fair | Many lenders may approve an application, but higher rates can make borrowing costly. |
| 670–739 | Good | You may qualify for many credit products, though the lowest rates may remain out of reach. |
| 740–799 | Very Good | Your score may meet many lenders’ requirements for their lower interest rates. |
| 800–850 | Exceptional | Your score exceeds many lenders’ requirements, and lenders may view missed payments as less likely. |
A score of 700 falls in the good range. Experian reports that the average U.S. credit score is 713, so 700 is somewhat below that figure while still meeting the FICO definition of good. Credit score models differ, though. FICO and VantageScore are two examples, and a score or range in one model may not map exactly to another.
What goes into a credit score
Your score is calculated from information in your credit report, which records how you’ve handled credit. Several parts of that history can affect the result:
- Payment history: Whether you pay credit cards and loans on time matters. Late or missed payments can affect a score for a long time; the source describes an impact that may last up to seven years.
- Credit utilization: This compares the credit you’re using with the total credit available to you. Keeping utilization low can help; the guidance here suggests staying below 30%.
- Length of credit history: The age of your accounts is part of the calculation. Keeping accounts open may help preserve a longer record, provided the accounts still suit your needs.
- New credit activity: When a lender checks your report as part of a credit application, the inquiry may be recorded as a hard inquiry. One can lower your score by a few points, and several in a short period can have a larger effect.
- Credit mix: Having experience with different kinds of credit, such as credit cards and installment loans, can play a role. This factor is less important than the others listed above.
Why the score can matter
A score above 670 may make it easier to find financing than a score in the fair or poor ranges, but approval and pricing depend on the lender and the application. If you’re considering a large purchase, such as a home, the interest rate on a loan can affect its cost over time. A stronger score may also help when comparing borrowing options for consolidating debt, though taking on a new loan still means considering its costs and repayment terms.
Credit can matter outside borrowing, too. A prospective landlord may check a credit score as part of a rental application. A record of paying bills on time can be relevant, but landlords may consider other factors as well.
Habits that may support a higher score
Start with on-time payments. Since payment history is a key scoring factor, paying credit card and loan bills by their due dates is a practical step. If remembering dates is difficult, setting reminders or arranging payments ahead of the deadline may help you stay consistent.
Next, watch how much of your available credit you’re using. Paying down card balances can reduce utilization; keeping balances below 30% of total credit limits is the suggested target. When a balance falls, the available credit on that account may increase, which can lower the utilization ratio if your spending stays steady.
Think carefully before applying for several accounts in a short span. Each application may lead to a hard inquiry, and repeated inquiries could affect your score. Apply when you have a clear need, rather than opening multiple cards simply because they’re available.
Closing an older card can also have effects worth weighing. It may shorten the length of your credit history and reduce your total available credit, potentially raising your utilization ratio. Keeping an account open can preserve those parts of your profile, but choose based on your circumstances and the account’s terms.
There’s no quick fix in these steps: payment history and account age develop over time. A good score can improve access to more affordable financing, but it doesn’t guarantee approval or a particular rate. Check which score model you’re looking at, keep balances manageable, and make timely payments as you plan for future credit needs.
