Is it possible to achieve an ideal credit degree of 850?

Over the past two years, the average credit degree for adults has been about 715 years old. If you are perfect, 715 degrees may not look high enough, because the most popular recording models range from a maximum of 850.

But is it possible to even get 850 degrees? According to Viko, it is. However, it is incredibly rare. Less than 2 % of the population have perfect credit grades. Even for me-a former credit consultant from NFCC and a credit expert-850 has been far-reaching so far. This year, the Fico 8 degree reached the highest level in 842.

However, I am not in a hurry to strike 850, and it should not be. Why? Unlike the ego batch, there is no benefit for perfect degrees. In fact, as soon as you are in the seventieth of the last century, your credit degree actually qualifies you to get the best credit cards and loans available on the market.

Wide most widely used credit registration model FicoThat ranges from 300 to 850. The perfect 850 credit score is achieved, but most of the population will have high degrees. According to the latest data available, about 1.7 % of the United States have FICO from 850.

The group most vulnerable to perfection is the oldest adults, because they have the benefit of the longest credit date and more financial stability, both of which help build high degrees.

Does this mean that you should wait for retirement to build excellent credit? Certainly no!

In 2016, Fico High The case of a 43 -year -old young man was, at the time, the youngest person had a “exceptional” credit degree (800 or higher). I think that many 30-Somethers have joined that ranks since then, bearing in mind that the average credit degree for adults in the United States has increased by about 20 points since then.

For me, I am 42 years old, and my grades were in the eighties about 10 years ago. Of course, I benefited from work as a credit advisor in the early thirties, a job that included a review of credit reports every day and educational workshops on credit grades.

Again, there is no right to get 850 perfect credit. However, if you insist on the goal of perfection, there are some main ways to improve your chances.

According to Fico, “Agnevers” – or people with credit grades of 795 or higher – have these common features:

• There are no missing debts on their credit reports

• Credit cards balances remain less than 5 % of their credit limits

• The oldest 30 -year -old debt account

I have also picked up some tricks to accelerate the growth of credit degree over years of studying credit and results reports. Depending on your situation, you may be able to repeat some or all of them:

1. He became an accredited user: To start my credit file, I asked a family member to add to the oldest credit card User approved. By doing this, my grades benefited from its positive history with the credit card.

2. I got my own card: After getting about 80 points per year, I Submit an application for my credit card (I now have two in total).

3. The annual limit increases: I am sure of that The maximum demand increases On my credit cards at least once a year. I do this directly through creditors’ applications to avoid a difficult inquiry that would reduce my grades. When my border is increased, it helps to lower my country Credit use rate It usually increases my grades with a few points.

4. Dual batches every two weeks: Last year, it turned from Pay the credit card balances Once a month to pay them off every two weeks, keeping my credit use low. This change helped me earn about eight points.

Getting a credit degree 850 does not help you in any concrete way. You do not need 850 to qualify to get the best interest rates and loan conditions, and you do not need to qualify to get credit cards that are difficult to obtain.

For practical purposes, anything can be considered essentially more than 800, but FICO is low degrees of up to 670 Good credit grades.

So, if you are concerned about improving your degrees, try not to focus much on a number that looks important in terms of symbolism, such as “ideal” 850.

For example, let’s say you want to qualify for a mortgage. You can qualify for Federal Housing Department (FHA) With credit degrees up to 500, as long as you provide at least 10 % for the batch provided. to Traditional loansMost of the lenders will agree to you on their lowest interest rates with 760 or higher degrees, and you will not have to pay the special mortgage insurance (PMI) if the batch provided is not less than 20 %.

It is possible to obtain a credit degree exceeding 850, given that some credit registration models, such as Fico Auto Score and Fico Bankcard, are used up to 900. However, these degrees are not usually used by lenders, and there is no practical benefit exceeding higher than 850.

Credit score is 780 very good if the registration range rises to 850. It can help you with 780 or higher degrees in qualifying to get the best offers available on credit cards and loans.

Nearly 20 % of people have credit grades from 800 to 850.