A 690 credit score is considered good by most lenders. While there is room for improvement, most lenders are willing to approve applicants with this score. Boosting your score before applying for a loan is important if you want to qualify for the best interest rates. The FICO credit score scale ranges from 300 to 850, and a score of 690 is considered Good.
Credit scores are used by lenders to determine whether you qualify for loans, utilities, or other financial products. Having a high score means that you will be approved with lower rates and can qualify for a broader range of products. The lender may also consider your debt-to-income ratio.
While having a low credit score is not the end of the world, it can limit your job options. Having a bad score can also make it difficult to rent an apartment. Most employers and landlords do a credit check. While they won’t see your exact numerical score, they will see any negative items in your credit history. Also, it can affect your insurance costs. While a 690 credit score should not affect your life negatively, it’s still worth doing some research.
Your credit score can increase or decrease if you make timely payments and avoid over-utilizing credit cards. If your utilization rate is over 30%, lenders will view you as a risky borrower. You can also increase your credit score by lowering the balances on your credit cards. A 690 credit score is not an excellent score, but it’s a solid starting point.
While 690 credit score is acceptable for an auto loan, the best interest rates will only be offered to those with higher scores. Regardless of the down payment or the term of your loan, it’s essential to keep in mind that lenders look at your score when determining whether it’s a good fit for you.
The best way to increase your credit score is to make all of your payments on time. In fact, FICO and VantageScore view payment history as one of the most important factors when evaluating your loan application. Paying your bills on time shows a lender that you have the financial ability to repay a loan.
It’s important to understand that your credit score is based on the information in your credit report. Therefore, it’s important to review your credit reports on a regular basis. This way, you’ll be more aware of any changes that can impact your score. One helpful resource is Experian’s interactive guide to credit reports.