A 700 credit score is quite common. If you are wondering whether a 700 credit score is good or bad, and you would like to know how to improve your credit score then read this article to discover the benefits of and methods of getting a good credit score which is above the 700 level.
In this article we will look at why having a good credit history is important how to find out what your credit score is if you do not already know, and discuss whether a 700 credit score is good or bad. We will also look at methods that you can use to rebuild and repair low FICO scores. After reading this article you should have a pretty good idea about how these scores are calculated and what you can do to improve them.
Why having a good credit history is important
These days it is very important to have a good credit history and score. Reports and scores determine whether a lender will let you borrow money at a good rate of interest. If you have a very poor credit history then it is unlikely that anyone will be willing to lend you any money at all, as you will be considered a bad risk to them and they will think that you are less likely to meet your payments than someone with a better history of managing their debt.
If you are thinking of applying for a car loan, mortgage or any credit-card then it is probably a good idea to check out your FICO score and history with the credit reporting bureaus first. If you apply for a loan, mortgage or credit-card and get turned down, this enquiry on your report can be seen by other lenders and may put them off lending money to you as repeated applications can harm your FICO score.
How to find out what your credit score is if you do not already know
If you do not know what your credit score is then you can find it out by applying to the credit bureaus. These credit reporting agencies are Experian, TransUnion and Equifax. They are obliged to provide you with one copy of your free credit report every 12 months. There may be a charge for them to provide you with your actual credit score though. This FICO score may be slightly different with each credit reporting agency.
You should also be aware that lenders may calculate your credit score differently to the credit reporting agencies. When you request your credit score from either Experian, TransUnion or Equifax they will only take into account your personal credit history. If you are financially linked to another individual who has a poor credit history then this may not be apparent from looking at your FICO score as provided by the credit bureaus.
If for example you have a joint bank account with your husband or wife and they have a poor history of managing debt, then this may reflect poorly on you, and you may not find it as easy as you might think to obtain loans.
Is 700 A Good Credit Score?
A 700 credit score is quite good. A FICO score over 700 is very good, but anything below the 700 mark is not so great. The typical range of values that credit scores can be is anywhere between 350 and 850, these figures are quite extreme though, 700 is fairly typical. The chances are that if this is your FICO score that it can be improved. If you have a score of 620 for example, it could definitely use some work. Let us take a look at some methods that you can use to get your FICO score over 700 or even higher. Any work that you do to improve your credit score is well worthwhile and will result in you being able to get a loan at a better interest rate and lenders will be more inclined to want to do business with you.
Methods that you can use to improve and repair a FICO score
Try to repay any loans or credit-cards that you have on time each month. If you are struggling to meet your payments then contact the lender and they may be able to work out an easier way for you to clear your balance, such as extending the loan over a longer period. Always pay your household utility bills on time. Try not to miss any payments at all. Request your credit report from the credit bureaus and dispute any errors that you find on it. This will get any mistakes deleted from your report.
If you are able to pay off any loans or credit cards then do so, but do not close the accounts. This is because lenders often calculate your score based on how much debt you have compared to the total amount of money which you have available to borrow.
In conclusion, if you have a 700 credit score it is actually quite good. This does not mean that you cannot improve on it and make yourself a more attractive prospect to consumer credit lenders such as banks and credit card companies. If you do decide to get your credit score over 700 then make sure that you follow a proven system which if successful, will open up the possibility of you being able to borrow money at a good interest rate. This is something that you can do yourself and there is no need to employ anyone else to do this for you.
You certainly should not employ the services of any credit repair companies which claim to be able to improve your situation instantly. Getting and improving on a 700 credit score is something that you can do yourself quite easily. All you need is a step-by-step blueprint which provides you with all the information that you need to know. There is one such step-by-step method to raise your credit score which I recommend.