Best Credit Score
TweetHow Can I Get The Best Credit Score.
There are several mysterious and vague aspects of the credit scoring formula, including its unconventional scoring range that starts at 300 (rather than 0 or 1) and ends at 850. Why a 550 point variable? Who knows (and who cares, really)? What you need to know and care about is your credit score and how to obtain the best credit score possible.
The best credit score you can attain is 850. Yes, an 850 is nearly unheard of nowadays and is really no different than a 750. What? If the best credit score is 850, how can a 100 point decrease be the same? Lenders are looking for the best credit score range which is anything higher than 749. The best credit score range of 750 - 850 is considered an "A" credit score which will qualify you for the best loan rates and terms.
The rest of the scoring range breaks down like this: 749 - 700 = "B" rating, 699 - 600 = "C", 599 - 500 = "D", anything below 500 = "F". The further you move away from the best credit score range, the higher your interest rates will be and the worse your terms. Get too low and you won't qualify for a loan or credit card at all. If you are in the "D" or "F" range creditors see you as too great a risk and won't lend you their money.
Not only does your credit rating affect new loans but existing accounts as well. Creditors whom you already have accounts with often look at your credit records to see if you pose any new risk to them. If your credit score is lower from when they issued you credit, your creditor may raise your rates and/or lower your limits. Conversely, creditors have been known to reward good behavior as well. If they see an improvement in your score and you are in the best credit score range, your interest rate might be lowered and your limits raised (to encourage continued business).
Your credit score will fluctuate depending on account activity and your personal behaviors, so do everything in your power to achieve the best credit score possible and then maintain it.
Here are a few tips on how to maintain the best credit score: pay your bills on time every month, keep account balances below 30%, have a healthy mix of credit, spread out your debt, apply for new credit only when necessary, don't close accounts as a strategy to raise your score.
The best credit repair companies will educate you on how to take proactive measures to improve your credit. Disputing negative items is only one of the many ways to improve credit status, the best credit repair companies provide learning materials to help you learn the other things you should be doing to maintain healthy credit and overall financial status.
Unfortunately these principles aren't always easy to follow, especially when you hit hard times. If they were easy, everyone would be in the best credit score range. Just do the best you can to stay on top of your accounts. The more diligent and consistent you are, the more likely you are to achieve and maintain your best credit score.
