The best credit score that you can get is 850. But it’s neither easy to reach to this pinnacle of the credit score range, nor always possible. Less than 1% of people have the best credit score possible. And even if you manage your finances perfectly, you still may not achieve it. Fortunately, it’s not something you need to strive for, either.
Everyone with a credit score of 800+ actually has “perfect credit.” That’s because a score of 800 or better is generally all you need to get the best possible credit cards, loans, insurance premiums, etc. In other words, a higher score won’t save you more money once you join the 800+ club.
You can see how close you are to perfect credit and the best possible rating by checking your latest credit score for free on WalletHub. WalletHub is the only site with free credit scores and reports that are updated on a daily basis.
Below, you can learn more about the best credit score, including what it takes to earn it and what it gets you.
Best Credit Score on the Scale
Having a credit score of 850 is the final benchmark on a 550-point scale. The following table will give you a sense of just how much such a score distinguishes you from the rest of the consumer population.
|Credit Rating||Credit Score Range||Percentage of Consumers|
|Good Credit||660-719 (Good Credit)||17%|
|Fair Credit||620-659 (Fair Credit)||13%|
|Bad Credit||300-619 (Bad Credit)||31%|
Note: The average person’s credit score is 669, which falls in the good credit range. Population percentages add up to more than 100, as perfect credit is within the excellent credit range.
What the Best Credit Score Gets You
A score of 800+ gives you access to the best the credit world has to offer. A score in this range demonstrates that you’ve made good choices in every aspect of your financial life. Lenders will essentially see you as a “no-risk” client.
With the best credit score, you’ll enjoy:
- The best deals on credit cards and loans. With great responsibility comes great offers. You’ll have an interest rate around 5% lower than the average person, along with higher credit lines and more valuable rewards. Getting approved should be no issue.
- Lower insurance premiums. Financial trustworthiness is an attractive trait to insurers. On car insurance alone, people with excellent credit can save from 29%-50% compared to someone with no credit.
- More job options. Employers can’t check your credit score. However, they can pull a version of your credit report, upon which the score is based, if you let them. Having the best credit history possible will serve almost like a character reference.
How to Get the Best Credit Score
One of the most crucial parts of raising your credit score is simply to stay on top of it. By joining WalletHub for free, you can review daily updates to your credit score and report as well as enjoy 24/7 credit monitoring. You’ll also get a personalized credit analysis with advice on how to improve and how long it will take.
But that alone isn’t enough. You also need to adopt other responsible habits and make good decisions on a daily basis. More specifically, here’s what you need to do if you want the best credit score:
- Never miss a payment. Late payments are a big blemish on credit history. You need to pay on time every time in order to reach the top.
- Have lots of credit, but utilize only a little. About 30% of your credit score calculation comes from how much of your credit you use. You should aim to use less than 30% of your available credit, but 1-10% is what will really grow your score.
- Build a long history. The length of your credit history and the average amount of time you’ve had each account are other large factors. Don’t close accounts unless you really need to, because even having them open but unused will grow your history and show you’re not desperate.
- Add to your credit. Ideally you should aim to have at least 4 different kinds of credit accounts and/or 21 total accounts. This demonstrates both responsibility and security.
These aren’t the only ways to bring up your score. Check out WalletHub’s complete credit improvement guide for even more advice.
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