What Is a Good Credit Score? The Range That Gets You the Best Rates
800+ is excellent but 740+ gets you the same rates. Here is what each range actually means for your wallet.
FICO scores range from 300-850. The ranges: 800-850 Exceptional, 740-799 Very Good, 670-739 Good, 580-669 Fair, 300-579 Poor. The magic number is 740 — this is where you unlock the lowest mortgage rates, best credit card offers, and easiest approval for loans. The difference between 740 and 800 is minimal in terms of rates offered.
What Each Score Costs You
On a $300,000 30-year mortgage: 760+ score gets about 6.0% ($1,799/month). 700 score gets about 6.5% ($1,896/month). 660 score gets about 7.0% ($1,996/month). 620 score gets about 7.5% ($2,098/month). The difference between a 760 and 620 score: $299/month and $107,640 over the loan. Your credit score is literally worth six figures in lifetime borrowing costs.