Here we take a look at the question, “Is 670 a good credit score?”
Are you in the habit of paying close attention to your credit score?
If not, you’re ignoring an incredibly important aspect of your financial life. After all, the quality of your credit score can have a huge impact on your ability to make purchases, qualify for loans and credit cards, rent apartments, and even get jobs.
So you can see why improving your credit score can help make it much easier to enjoy the type of lifestyle you want and enjoy.
Keep reading to find out whether or not you’re in need of credit score help so you can take your ability to enjoy financial independence to the next level.
What Is a FICO Score?
Any time you apply for credit, the creditor will check your credit score. The FiCO score is an instrument that makes the process of determining an individual’s creditworthiness quick and easy. That’s why it’s so important to check your FICO regularly in order to understand where you stand before applying to appoint a new credit account or attempting to purchase a home.
What Determines Your FICO Score?
There are several factors that determine your FICO score. They include the number of active credit accounts you have, the age of these accounts, the quality of your overall payment history, any debts that have been referred to collection agencies, and the percentage of debt to available credit.
You might be surprised to learn how much each of these individual elements contributes to your FICO score. For example, simply making monthly credit card payments on time can make a huge difference, even over a short period of time.
FICO Score Ranges
Why should you care about your FICO score? Because it will deeply impact whether or not you’ll qualify for credit cards and traditional loans.
Here are the various ranges you should be aware of:
EXCEPTIONAL: 800 – 850
VERY GOOD: 740 – 799
GOOD: 670 – 739
FAIR: 580 – 669
Is 670 Good?
It’s important to understand that a 670 credit score is right on the line between fair and good. Because of this, having a credit score of 670 can still make it challenging to get approved by creditors. Keep in mind that when rebuilding your credit, some credit card companies will approve you for limited amounts of credit, which is a very positive step.
Tips for Improving Your FICO Score
Improving your credit score is much easier than you might imagine. The key is to be very disciplined about making all payments on time, minimizing debt, and keeping your debt-to-available-credit ratio as low as possible every single month.
Answering the Question “Is 670 a Good Credit Score?”
It’s no secret that everyone should work hard to maintain the best credit score possible. But you also need to understand the quality of your current credit score. Fortunately, this insight into the question “Is 670 a good credit score” shows that you’re doing great but still need to continue improving.
Please contact us today to schedule an appointment with one of our credit counseling professionals.