As confusing as credit scores can be, most people get the basic concept: You want a high score, not the worst credit score. What qualifies as a good credit score depends on the scoring model you’re talking about (and there are dozens of them), but a common range is 300 to 850. The higher your score, the better. You don’t have to aim for an 850 to get the best terms on a loan or qualify for top-tier credit cards, but anywhere in the high 700’s is a good place to be.
Though it’s uncommon to have the worst credit score, having bad credit isn’t. More than a quarter (27.66%) of consumers have a credit score between 300 and 600, which is considered bad credit or subprime credit. Conversely, 20% have a super prime credit score (781 to 850). The average credit score was 645 when TransUnion pulled the data.
To get a home you will need a credit score over 580 at least for the most forgiving loan but generally over 620 for most loans. These are the bare minimum credit requirements for getting a mortgage. The higher the credit score the better the interest rate you will have and the less you will end up paying. If you have poor credit we have a great program to improve your credit score to mortgage ready in just six months. Credit repair is a lifestyle change, one that requires you to see the world through new eyes and search for lessons in ordinary circumstances.