Understanding the FICO Score Scale
These days, times are hard and everyone seems to be losing their jobs, homes and other worldly possessions. If you are one of the many that are in financial crisis right now, then you may be aware that your FICO is slowly but surely decreasing. If you are unaware of your FICO, or what it actually is, then you may want to start understanding the FICO score scale.
The FICO score is what most credit establishments such as banks, lenders and credit card companies look at before they approve a customer. If you have ever applied for a credit card, then you surely know that a credit check is run before you find out if you can qualify for the card. In order to qualify for a loan or a credit card, your FICO score needs to be at a certain level.
Excellent FICO Score
Those who have a high FICO score typically have anywhere from a 750 to 850 score. This means that you have made good on every single payment, and you rarely miss anything. In this economy, a score like this is very hard to find. Most people nowadays have a fair credit score or even a poor.
Fair FICO Score
When you have a fair FICO score, this usually means that your score is 660 to 749. Those who might have missed a couple of payments have a score like this. You might even have a default or a chargeback on your account. In order to find information such as this, you would need to obtain a copy of your credit report. Typically, a score like this still means that you are credit worthy and you can still qualify for a loan or a credit card.
Poor FICO Score
If you are having a hard time getting a loan or a credit card, then this typically means that you have very poor credit. Your FICO score might even be as low as 620. Those who have low credit scores such as this will have a hard time rebuilding their credit due to the fact that they have too many defaulted loans or credit cards.
Know your FICO Score
It is incredibly important that you know what your FICO score is at all times and where you fit within the FICO score scale. If you are looking into buying your first home, you will need to know how much you can qualify for with any given lender. In order to find out this information, you will need to know what your credit score is. You can get a copy of your credit report online. Your first credit report request will be free and if you want to monitor your report, then you should look into paying a yearly fee.
The fact of the matter is you should always know what your credit score is. This will protect you from any identity theft attempts that may occur. Get online right now and find out where you fit within the FICO score scale and how you can get your credit back on the right track!