If your credit score is 738, you are right in the middle. As of 2021, the average FICO score for a consumer in the United States is 714, according to Experian, with a score between 670 and 739 generally regarded as good.
An average credit score of 738 indicates that you typically pay your bills on time, according to most lenders. This post will go into greater detail about what a 738 credit score means when it comes to loan applications and how you can raise it.
So, you’ve checked your credit score and it’s sitting at 738. Congratulations! That’s considered a good credit score by many lenders But what does that actually mean? And how can you leverage your good credit to unlock even better financial opportunities?
What a 738 Credit Score Means
A 738 credit score puts you in the “Good” category, which means you’re doing a great job managing your credit. This score opens doors to a wider range of financial products with better terms, including:
- Mortgages with lower interest rates: This can save you thousands of dollars over the life of your loan.
- Auto loans with lower interest rates: This can help you save money on your monthly payments.
- Credit cards with valuable rewards programs: You can earn points, miles, or cash back on your everyday purchases.
- Lower insurance premiums: Some insurance companies offer discounts to customers with good credit.
How to Maintain and Improve Your 738 Credit Score
While a 738 credit score is good, there’s always room for improvement. The following actions will help you maintain your current score and possibly raise it to the “Excellent” range:
- Pay your bills on time, every time. This is the most important factor in your credit score. Even one late payment can have a negative impact.
- Keep your credit utilization low. This is the amount of credit you’re using compared to your total available credit. Aim to keep it below 30%.
- Don’t apply for too much new credit. Every time you apply for a new credit card or loan, it results in a hard inquiry on your credit report. Too many hard inquiries in a short period can lower your score.
- Become an authorized user on a credit card with good credit. This can help you build your credit history without having to open a new account.
- Monitor your credit reports for errors. You can get a free credit report from each of the three major credit bureaus (Equifax, Experian, and TransUnion) once a year at AnnualCreditReport.com.
What to Do with Your 738 Credit Score
It’s time to put your newfound knowledge of your 738 credit score to use. Here are some ideas:
- Shop around for a mortgage or auto loan. With good credit, you’ll qualify for lower interest rates, which can save you a lot of money.
- Apply for a credit card with valuable rewards. There are many great credit cards out there that offer cash back, travel rewards, or other perks.
- Consider refinancing your existing debt. If you have high-interest debt, refinancing to a lower rate can save you money over time.
Remember, your credit score is a reflection of your financial health. You are putting yourself in a better financial position for the future when you take action to raise and preserve your credit score.
Additional Resources:
- Credit Karma: https://www.creditkarma.com/
- Experian: https://www.experian.com/
- Equifax: https://www.equifax.com/
- TransUnion: https://www.transunion.com/
Disclaimer: I am an AI chatbot and cannot provide financial advice. The information provided above is for general knowledge and informational purposes only, and does not constitute professional financial advice. It is essential to consult with a qualified financial advisor for any financial decisions.
Can I get an auto loan with an 738 credit score?
Absolutely. Your 738 credit score will qualify you for an auto loan, assuming your income justifies it. But it’s crucial to understand that the interest rate you receive can vary significantly depending on your credit score. And this is especially true in auto lending.
According to MyFICO, as of November 2022, the average APR on a 60-month new auto loan for someone with a FICO Score of 720 or higher is 5.64%. With a score in the 690-719 range, it’s 6.83%. And for a borrower with a score in the 660-689 tier, the average APR is 9.19%. For context, this means on a $40,000 new car loan, someone with a 730 would pay about $4,000 less in interest than a borrower with a 680, even though the scores are both in the “good credit” category.
It’s also important to note that, even for borrowers with identical credit scores, interest rates can differ dramatically between lenders. So, if you’re buying a home or car, it’s important to shop around for the best loan terms. In fact, the FICO credit score model is designed to encourage rate shopping. For the purpose of credit scoring, any inquiries for the same kind of loan on your credit reports made within a short period of time (typically two weeks) will be combined into one inquiry. Therefore, it doesn’t hurt your credit score to apply at multiple lenders.
Can I get a personal loan with an 738 credit score?
You can get a personal loan with an 738 credit score, but not every lender may approve you. Some lenders require scores well into the 700s for consideration. However, depending on the lender, you may get a personal loan with rather competitive terms.
If you’re in the market for a personal loan, you might want to check your loan offers because startup-powered personal loans are primarily intended for borrowers who might not have excellent credit but are nevertheless deemed credit-worthy based on non-traditional variables.
How Much Can You Borrow With a 700 Credit Score? (What Is a Good Credit Score?)
FAQ
Can I buy a house with a 738 credit score?
What can a 738 credit score get me?
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Type of Credit
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Do You Qualify?
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Auto Loan
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YES
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No Annual Fee Credit Card
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YES
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Credit Card with Rewards
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YES
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0% Intro APR Credit Card
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MAYBE
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How rare is a 750 credit score?
Does an 800 credit score make a difference?
Is your 773 credit score good or bad?
FICO scores range from 300 to 850. As you can see below, a 773 credit score is considered Very Good. Most lenders will lend to borrowers with credit scores in the Very Good range. With a score of 773, your focus should be maintaining your credit status to make sure you get the best interest rates available.
Is 733 a good or bad credit score?
This is the highest score that lenders usually look at, and it’s essentially the point where financial problems become almost non-existent. A 733 Credit Score is considered a GOOD credit score. This means you have a slightly above-average credit score, and most lenders will see you as a low-risk borrower.
Is a credit score of 717 considered a good score?
Credit scores of 717 are considered good. people who achieve good credit are those who typically have scores between 700 and 749, while people with poor credit scores are generally unattractive and ineligible to qualify for the best mortgages, auto, and credit cards possible.
Is a 731 credit score good?
If you are wondering if 731 credit score is “good” or “bad”, then you have no need to worry. The answer is that credit score under 731 is considered a good score and is actually very close to even qualifying the holder as an excellent credit risk.