credit score rangeAll of us citizens in the United States have to be evaluated by the Fair Isaac Corporation’s FICO score. This includes a credit score range from 300 to 850. 300 being the lowest and the worst score to possess, while 850 is the best and the most prime score one can hold.

Some say it is next to impossible for anyone to actually get an 850 score. However, many who work hard at it can actually get score to rank in the 800 range and can receive many financial benefits including low interest rate, excellent lending terms, and high amounts of money that they can borrow. More details about the meanings behind your scores can be found at this credit score range page.

The credit score range is comprised of 3 major credit bureaus which include Equifax, Experian and Trans Union. They all have various models of comparing your scores. For instance, Trans Union uses the FICO risk scoring model, Experian uses a version called the PLUS Score and Equifax uses the scoring system called the Fair Isaac Score Model. They are each slightly different from each other which explains why your scores by look different from each bureau.

Credit Score Range Interpretation

Even though all of us who have social security numbers and are legal residence in the United States have credit scores, very few of us actually know what a credit score range really means.

To explain it in simple terms, it means that in a strong economy with a great amount of money to lend then you can easily get loans for any kind of credit score, even if you have a low score in the 580 range. But if we are in a down economy and the banks have to be more conservative with their investments, they will not feel as comfortable with providing lending terms to one who is a sub-prime borrow with a low FICO score.

Instead, they will go after the Alt-A borrower with credit scores in the 700+ range since they are of much less risk. You see, a strong credit report is all relative to how responsible you are with your money and how well you service your debts. If you can show the 3 bureaus that you are responsible and service your debts on time for many years, you will be granted more credit worthiness and will have high scores.

Paying take the consistent actions on regular basis like paying down your minimum monthly payments on your cards, servicing all of your debts, monitoring your FICO scores regularly and addressing any errors that show up you will build strong profile. Please use the resources throughout this site to boost your scores and in time you will have a very solid credit score range.

credit score scaleWith all of the economic turmoil going on these days, it can be hard to keep a strong position on the credit score scale. Fortunately there are ways for you to make sure that you are on the right track to high ratings with your 3 credit scores.

Credit Score Scale Tips

Balancing your budget is an important step to making sure that your expenses do not get out of hand. Check with your credit card company or go online to find out just how much debt you are carrying before you make any major purchases.

A lot of people do not know this but carrying debt can actually benefit your credit score scale rating. When you have some debt each month and handle it properly, it will show lenders that you can be responsible with using your credit. Now if you have high amounts of debt and do not pay off your minimum monthly payment on your cards then it could be a bad thing.

You will want to service your debts by paying over the minimum amount that is due to increase your credit score scale rank. It is also important to use your cards frequently. When you are charging your cards and paying them off, you are building up a reputation of handling personal credit in a responsible manor.

Another beneficial tip is to always ask for credit raises. When you raise your credit lines you will raise your credit score scale position. When creditors approve higher limits, the 3 credit bureaus will recognize this and reward you with a higher score on the credit score chart. Many companies will raise you limits when they see that you use your cards properly and that you can handle the extra credit that is awarded. Calling your creditors and asking them to raise you limits can be done about every 6 months.

It is also beneficial to use your cards often and for a long period of time. With a lot of age and experience, you will show depth which will go a long way in boosting your credit score scale so that lenders will provide you with the financial options that you need.