Credit score FAQs

A credit score is a three-digit number, usually between 300 and 850, that summarizes how reliably you have repaid borrowed money. Lenders use it to decide whether to approve you and at what interest rate. Higher is better.

On the VantageScore 3.0 and FICO scales, 661–780 is generally considered good and 781+ excellent. Most mainstream lenders offer their competitive rates from the mid-600s up, with the best pricing above roughly 740.

They are competing scoring models built on the same bureau data. Both run 300–850 and weigh similar factors, but formulas differ, so the same file can score 10–40 points apart between models. Improving the underlying factors raises both.

You have three bureau files (Equifax, Experian, TransUnion), multiple scoring models, and model versions — dozens of legitimate scores in total. Treat any one score as a strong estimate of the others.

Payment history (roughly 35–40% of the weight) and credit utilization (about 20–30%) dominate. Length of credit history, credit mix, and recent inquiries make up the rest. One 30-day late payment can outweigh years of small optimizations.

Utilization is your card balances divided by your card limits, per card and overall. Under 30% is the standard guidance; under 10% is where top scores live. It has no memory — pay balances down and the score effect shows within a cycle or two.

No. Checking your own score or report is a soft inquiry, which never affects your score. Only hard inquiries — from actual credit applications — can lower it, typically by five points or fewer, temporarily.

Usually under five points, fading over a few months and falling off entirely after two years. Multiple inquiries for the same loan type within a short shopping window (14–45 days depending on model) count as one.

It can, two ways: you lose that card's limit (raising overall utilization) and eventually its age history. If the card has no annual fee, keeping it open with occasional small use is usually the better move.

Traditionally no — most landlords and utilities do not report. Opt-in services can add rent or bill history to your file, which helps thin files most. Missed utility bills can hurt regardless if they go to collections.

Paying revolving balances down (utilization) works within one or two statement cycles. Recovering from a late payment or collection takes longer — meaningful recovery in 6–12 months of clean history, with impact fading further over time.

Start with a secured card or credit-builder loan, use it lightly, and pay in full every month. Becoming an authorized user on a trusted person's old, clean card adds history quickly. Expect a usable score within about six months.

Most derogatory marks — late payments, collections, charge-offs — stay for seven years. Chapter 7 bankruptcy stays for ten. Their scoring impact fades substantially before they fall off, especially once newer clean history accumulates.

File the dispute with the bureau reporting it — Equifax, Experian, and TransUnion each accept disputes online. The bureau must investigate within 30 days and remove anything unverifiable. Disputing is free; never pay a service for something you can do directly.

Nothing a credit repair company can do legally is something you cannot do yourself for free: dispute errors, request goodwill adjustments, and let time pass. Be wary of any company promising to remove accurate negative information — that is not possible legitimately.

Network lenders here start considering applications around 560–580, with competitive APRs from the mid-600s and the best rates above roughly 720. Prequalifying with a soft check shows your realistic range without touching your score.

Solid cash back cards generally approve from the mid-600s. Premium travel cards typically want 700+. Below 600, secured cards are the reliable path — they report identically and rebuild your file.

Score is one input. Lenders also weigh income, debt-to-income ratio, recent inquiries, and employment. A denial letter must state the reasons — read it; it tells you exactly what to fix.

No. Prequalification uses a soft inquiry with your written FCRA consent. A hard inquiry only happens if you proceed to a formal application with a lender you choose.