Credit Score Meaning

You know your credit score is important, but what is the credit score meaning? What does that number mean to companies?
The answer is actually a bit more complicated than it should be, because there are no standard guidelines, but based on what people have said in the past we can make approximations about what you can expect.
Your score will matter when you go to apply for all sorts of things including renting housing, car rentals, any kind of insurance, some employers will look at your score when you apply for a job, and most heavily, your credit will be looked at when you apply for any loans. When you apply for any of these things companies will take your information and evaluate it, each company has set what the credit score meaning will be for them, but based on patterns we can see how companies will generally react to your information. The score you get is based on the information in your credit report, which you can get free online. The lower your score, the worse your interest rates will be on insurance or loans, and if you fall too low on the scale you’ll have problems getting approved at all.
The entire scale is from 350 to 850, with numbers on either end being very rare.
Anything below 600 will give you a hard time applying for anything. Your interest rates will be terrible, and you’ll get turned down a lot.
With 600-649 most financial companies will work with you, but your rates will still be very high.
The range of 650-679 will get you approval at basically any company. Your interest rates won’t be too bad, but they could be better.
When you get to 680-720 you should be very happy! You should always be approved, your interest rates should be good, although you won’t always be offered the absolute top rate.
When you get over 730 you have hit the excellent rates. Everyone will be happy to work with you, you’ll get offered the best rates, and no financial door will be closed to you.
As far as your finances go, knowledge really is power. The fact that you’re even seeking this information out helps put you ahead in the game, knowing what to expect from companies and credit score meaning will really help you plan your next moves.

About