A good credit score is generally considered to be 720 or higher. Lenders, however, can each have different standards for what they consider to be a good credit score, so it‘s important to keep building your score to receive the most favorable interest rates and highest rates of credit approval.
Only about 13 percent of people have scores of 800 or higher. This is what it takes to get that kind of credit score.
- 4 – 6 credit card accounts
- no late payments in past 7 years
- an installment loan – either a mortgage or car loan – with perfect payment history
- average of 10 years credit history and a few accounts with 20 years of good history
- low number of credit inquiries – fewer than 3 in the past 6 months
- no bankruptcies, foreclosures, charge-offs or collections
- debt levels no more than 35 percent of overall credit limits per account