Saturday, July 18, 2009

What Is A Good Credit Score?

So what is a good credit score? In order to answer the question of what is a good credit score, let us take a look and the credit score scale. The credit score scale would usually stretch from a score of 300 to a score of 850. So what is a good credit score on this scale? The higher you are on the scale the better is your score. If your score is near 300, this is not too good, even bad. Somewhere around 600 would be the middle score. The score of 850 is the highest. The answer to the question of what is a good credit score will also depend on what type of financing you are applying for.

The higher is the amount of the loan, the higher is the credit score a person will need. The answer to the question of what is a good credit score is also dependent on the collateral that you place for a loan. The higher is the collateral the lower is the score you will need to get approved for the financing. Another thing that the answer to the question of what is a good credit score depends on is the amount of money that you make. The higher is your income the lower is the score you will need to get approved. Another influencing factor is the amount of debt that you already have.

So the answer to a question of what is a good credit score depends on many factors. It also depends on the credit company that you are applying to, as different credit companies will have different business rules to determine the loan eligibility. In general, the answer to the question of what is a good credit score will be the following: the good score is somewhere in the range of 750 to 850. A very good score is in the range of 800 – 850. Hopefully this information will help you to determine what a good credit score is.

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