What Is a Good Credit Score? The Complete 2026 Guide

Your credit score affects your mortgage rate, car loan rate, apartment applications, and sometimes even job offers. Here’s everything you need to know.

Credit Score Ranges (FICO)

Score Range	Rating	What It Means
800–850	Exceptional	Best rates on everything
740–799	Very Good	Near-best rates
670–739	Good	Approved for most loans, decent rates
580–669	Fair	Higher rates, some denials
Below 580	Poor	Difficulty getting approved

A “good” credit score starts at 670. A “great” score is 740+. At 740+, you typically qualify for the best mortgage and auto loan rates available.

Why Your Credit Score Matters in Dollars

The difference between a 620 and a 760 credit score on a $400,000 30-year mortgage can be over $80,000 in total interest paid. Your credit score is worth real money.

Credit Score  Mortgage Rate  Monthly Payment  Total Interest
760+          6.5%           $2,528           $510,000
700–759       6.7%           $2,576           $527,000
680–699       6.9%           $2,625           $545,000
660–679       7.2%           $2,714           $576,000
640–659       7.7%           $2,849           $626,000
620–639       8.2%           $2,989           $676,000

The 5 Factors That Make Up Your FICO Score

1. Payment History (35%) — The biggest factor. One missed payment can drop your score 50–100 points. Pay on time, every time.

2. Credit Utilization (30%) — The percentage of your available credit you’re using. Keep it under 30%. Under 10% is ideal for excellent scores.

3. Length of Credit History (15%) — Older accounts help. Don’t close your oldest credit card even if you don’t use it.

4. Credit Mix (10%) — Having both revolving credit (credit cards) and installment loans (auto, mortgage) helps slightly.

5. New Credit (10%) — Hard inquiries from applying for new credit temporarily lower your score by 5–10 points. Multiple mortgage or auto loan inquiries within 45 days count as one.

How to Improve Your Credit Score Fast

Fastest wins (30–90 days):

• Pay down credit card balances to below 10% utilization
• Dispute any errors on your credit report (1 in 5 reports has errors — check free at AnnualCreditReport.com)
• Become an authorized user on a family member’s old, well-managed card

Medium-term (3–6 months):

• Set up autopay on all accounts so you never miss a payment
• Don’t close old cards
• Avoid applying for new credit unnecessarily

The most important rule: Payment history is 35% of your score. One 30-day late payment can take 12–18 months to recover from. Autopay is the single best credit protection you have.