A 494 credit score is not a good credit score, and it’s well below the national average credit score of 702. A score this low indicates you’ve had significant payment problems in the past, perhaps even to the extent of going through bankruptcy or having your home foreclosed, which signals risk to potential lenders.
As a result, a 494 credit score will make it difficult to qualify for a loan or unsecured credit card. You will need to focus on rebuilding your credit before trying to get a mortgage, car loan, etc.
Key Things to Know About a 494 Credit Score
- Credit Rating: 494 is a bad credit score.
- How Common: About 1% of people have a credit score that's 499 or lower.
- Borrowing Options: Most borrowing options are unavailable. If you do get a credit offer, the terms will not be attractive. For example, you could borrow a small amount with certain unsecured credit cards or a personal loan with no credit check, but the interest rates and fees will be high.
- Best Way to Improve a 494 Credit Score: Apply for a credit card with no credit check and pay the bill on time every month.
If you sign up for a free WalletHub account, you can also get a personalized credit analysis, which will tell you exactly what you need to improve and how to do it. In addition, you can check your latest credit score for free on WalletHub to see exactly where you stand.
Check Your Latest Credit Score – 100% Free
Below, you can learn more about what a 494 credit score can get you and how to fix your situation.
How 494 Compares to the Rest of the Credit Score Range
A credit score of 494 is in the bottom tier of the credit score range, as you can see from the table below.
| Credit Score Range | Credit Category |
| 800 – 850 | Perfect |
| 750 – 799 | Excellent |
| 700 – 749 | Good |
| 640 – 699 | Fair |
| 571 – 639 | Poor |
| 500 – 570 | Very Poor |
| 400 – 499 | Bad |
| 300 – 399 | Very Bad |
You can learn more by checking out WalletHub’s guide on the credit score range. It’s also important to remember that even though a 494 credit score is not in the good credit tier, you may still qualify for some credit offers.
What Does a 494 Credit Score Get You?
| Type of Credit | Do You Qualify? |
| Secured Credit Card | YES |
| Unsecured Credit Card | NO |
| Personal Loan | NO |
| Auto Loan | NO |
| Home Loan | NO |
Note: It may be possible to qualify for an unsecured credit card, personal loan, auto loan or home loan in rare cases, but the terms are unlikely to be worthwhile. If you apply for the average offer, you’re more likely to be rejected than approved.
Opinions are our own. This content is not provided, commissioned or endorsed by any issuer. WalletHub independently collected information for some of the cards on this page.
Credit Cards with a 494 Credit Score
The best type of credit card for a 494 credit score is a secured credit card with no credit check when you apply. These credit cards offer high odds of approval even for people with the lowest credit score possible because your credit history doesn’t factor into the approval decision.
Best Credit Cards for a 494 Credit Score
Car Loans with a 494 Credit Score
Less than 5% of auto loans go to people with a credit score in the 300-539 range, and the share of loans given to applicants with a 494 credit score in particular is likely just a small fraction of that.
As a result, your odds of getting approved for a decent auto loan are slim. You will need to compare your options carefully and consider either placing a bigger down payment or purchasing a vehicle that’s less expensive.
Mortgages with a 494 Credit Score
Less than 1% of first mortgages go to people with a 494 credit score, in part because FHA-backed home loans require a minimum score of 500. Working to improve your credit score before you apply will make it much easier to get approved and will save you a lot of money on interest and fees.
Student Loans with a 494 Credit Score
Student loans are among the easiest loans to get when you have a low credit score, considering that roughly 10% of them are given to applicants with a credit score of 300-539. A new degree may also make it easier to repay the loan if it leads to more income.
Note: Borrower percentages above are based on data from Equifax (2025).
What Factors Cause a 494 Credit Score?
A 494 credit score can be caused by a series of financial problems that convey to lenders that you could be a risky borrower. These include having the following items listed in your credit report:
- Bankruptcy filings
- Property foreclosures
- Repossessions
- Collection accounts
- Late or missed payments
- High credit utilization
- Multiple credit inquiries with a short period
It’s important to note that things like high credit utilization and multiple credit inquiries alone won’t lead to a 494 credit score, but they won’t help your score either. Learn more about what affects your credit score.
How to Fix a 494 Credit Score
Get Your Credit Analyzed
A free WalletHub account allows you to get personalized credit-improvement advice. When you sign up, check out the credit analysis page, where you’ll find grades for each part of your credit score, telling you exactly what to fix, as well as specific advice for how to improve each area.
Avoid Quick Fixes
Any company that advertises the ability to quickly “repair” or “fix” your credit is a scam. There are no fast solutions to bad credit. Recovery is a process that will likely take at least 12-18 months, just to progress to a “fair” rating.
Review Credit Reports for Errors
Your “bad” rating may be the result, at least in part, of erroneous information on your credit reports. So check your latest credit report for things like accounts you didn’t open and on-time payments mistakenly listed as late, and dispute any inaccurate records you find.
Catch Up on Missed Payments
If you’ve missed some monthly payments, making them up could help prevent credit score damage from worsening, assuming your account hasn’t defaulted yet. At that point, the damage from delinquency will already be done, and your top concerns will be a collection account and a lawsuit. A collection account is bad for your credit score, but you can avoid that by repaying amounts owed.
Explore Debt Solutions
When you have a lot of debt, it can seem like you’re out of options. But that’s not the case. There are several avenues you can explore for some measure of relief. For example, you could try to negotiate a debt settlement agreement, whereby some of your balance will be forgiven in exchange for you repaying the rest right away. Or you could propose a new payment plan to your creditor, also known as debt management. Even something as simple as consulting a non-profit credit counselor could go a long way.
So at the very least, it’s worth considering how the most popular debt solutions compare and apply to your situation.
Get a Secured Credit Card
Unsecured credit cards for bad credit tend to be a bad deal, offering little in the way of a loan at a hefty cost. And since a credit card is the most accessible credit-building tool available to consumers, it’s best to simply open a secured credit card. Secured cards are unique in that they require users to place a refundable security deposit, the amount of which serves as their spending limit. This protects issuers from risk, which enables them to charge minimal fees and offer nearly guaranteed acceptance.
Always Pay on Time Moving Forward
Payment history accounts for the largest share of your credit score, and every month provides a new opportunity to improve in this regard. Each month you pay your credit card bill by the due date covers up previous mistakes just a bit, gradually establishing a new track record of responsibility.
The best part is you don’t even need to use your credit card to benefit. If you don’t make any purchases, you’ll still be credited as paying on time when the issuer reports account information to the major credit bureaus each month. So if you don’t trust yourself to spend responsibly, remove temptation by locking your card in a drawer.
Add to Your Deposit Over Time
The more credit extended to you, the faster your credit score will rise. And since you have control over your credit line when using a secured card, you can expedite your credit building efforts by simply depositing more money. Don’t worry, you’ll get your deposit back, minus any outstanding balances and fees (if any), when you close your account.
Build an Emergency Fund
Setting money aside for financial emergencies won’t itself improve your credit score, but it will insulate you from the types of unforeseen events that could completely derail your credit building efforts. In fact, it’s best to begin feeding an emergency fund before focusing on getting out of debt – if you have any.
Be Patient
At the end of the day, you also just have to wait. Negative records in your credit report cannot be removed if they are accurate. They will remain for 7-10 years, depending on the offense, and the only thing you can do about it is dilute these records with positive information, such as reports of on-time payments.
The credit score shown on WalletHub is based on your TransUnion credit report as well as the VantageScore 3.0 model, and it may differ from what your lender or insurer uses. WalletHub’s assessment of what constitutes limited, bad, fair, good, and excellent credit may also differ from your lender’s assessment. In addition to your credit score, lenders may consider other factors, such as your income and your debt.
