If your credit score is 733, 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 733 indicates that you typically pay your bills on time, according to most lenders. This post will go into more detail about what a 733 credit score means when it comes to loan applications and what you can do to raise it.
Navigating the Road to Your Dream Ride with a 733 Credit Score
The open road beckons, and you’re itching to get behind the wheel of your dream car. But before you hit the gas, let’s take a pit stop and examine your credit score – a crucial factor in determining your car loan journey.
733: A Solid Score, but Room for Improvement
A 733 credit score falls squarely in the “good” category, placing you above the average American consumer’s score of 714. This means you’re considered a relatively low-risk borrower, and lenders will likely look favorably upon your loan application.
However, while a 733 score opens doors, it doesn’t guarantee the best deals. Aiming for a higher score can unlock even more advantageous loan terms and potentially lower interest rates saving you money in the long run.
Unlocking the Best Rates: Your Credit Score Roadmap
Here’s how you can navigate the path to a stellar credit score:
1. Maintain Low Credit Utilization: Strive to utilize no more than 3% of your available credit. This demonstrates responsible credit management to lenders.
2. Pay Your Bills on Time: Maintaining a good credit history requires regular, on-time payments. Even minor late payments can negatively impact your score.
3. Diversify Your Credit Mix: Using a variety of credit products, such as installment loans and credit cards, demonstrates responsible credit use. Applying for new credit should be done carefully though, as hard inquiries can momentarily lower your score.
4. Time is on Your Side: The longer your credit history, the better. Maintaining active accounts responsibly over time strengthens your credit profile.
5. Monitor and Dispute Errors: Regularly review your credit reports for errors and promptly dispute any inaccuracies.
733: Gearing Up for a Smooth Car Loan Ride
With a 733 credit score, you’re well-positioned to secure a car loan. However, to optimize your experience, consider these tips:
1. Shop Around: Compare rates from multiple lenders to find the best deal. This can significantly impact your long-term savings.
2. Consider a Cosigner: If you have a limited credit history or a lower score, a cosigner with good credit can improve your chances of approval and potentially lower your interest rate.
3. Be Prepared: Gather necessary documentation like income verification and proof of residence to expedite the loan approval process.
4. Negotiate: Don’t hesitate to negotiate terms like interest rates and loan amounts with lenders.
5. Make Timely Payments: Consistent on-time payments not only build your credit score but also ensure a smooth loan repayment experience.
The Road Ahead: A Higher Score for a Smoother Ride
While a 733 credit score is a solid foundation, remember, the journey towards a higher score is an ongoing process. By adopting responsible credit habits and diligently managing your finances, you can pave the way for even more favorable loan terms and financial opportunities in the future.
Additional Resources:
- Credit Karma: https://www.creditkarma.com/credit-scores/733
- Upstart: https://www.upstart.com/credit-score/733-credit-score
Remember, a higher credit score can open doors to better deals and lower interest rates, saving you money in the long run. So, buckle up, take control of your credit, and enjoy the ride to financial success!
Can I get a personal loan with an 733 credit score?
You can get a personal loan with an 733 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.
Can I get a mortgage with an 733 credit score?
With your 733 credit score, you should have no problem getting approved for a mortgage, provided that your assets, employment status, and income are all high enough to warrant the loan. A score of 620 is needed for conforming mortgages, or conventional loans that adhere to Fannie Mae or Freddie Mac requirements, while a 580 is needed for FHA mortgages with small down payments. Your score puts you comfortably over both thresholds. Having said that, there are a few things to keep in mind.
For one thing, you’re unlikely to qualify for a lender’s best mortgage rates. Lenders typically reserve their top rates for borrowers with very good or exceptional credit scores. However, with a 733 credit score, you should qualify for rates on-par with national averages.
Additionally, even though your score makes you eligible for a mortgage, it’s crucial to understand that the stronger the rest of your qualifications are generally expected to be, the lower your score is. For instance, in accordance with Fannie Mae’s most recent lending guidelines, you are eligible for a mortgage with a debt-to-income ratio (DTI) as high as 45% and a standard 20%2020% down payment if your credit score is above 720. If you don’t, your DTI is capped at 36%.
Credit Scores for Buying a Car: Current Tiered Rates & Scores (Former Dealer Explains)
FAQ
What credit score do you need to buy a $30000 car?
What credit score do I need for a $35000 car?
What is an excellent credit score to buy a car?
What credit score do I need to buy a $15000 car?
Can you get a car loan with a 733 credit score?
You should be able to get approved for a decent car loan with a 733 credit score, considering that more than 60% of all auto loans go to people with credit scores below 740. Still, it’s important to compare your auto loan options carefully if you want to get a low APR.
Is 733 a good credit score?
A 733 credit score is a good credit score. The good-credit range includes scores of 700 to 749, while an excellent credit score is 750 to 850, and people with scores this high are in a good position to qualify for the best possible mortgages, auto loans and credit cards, among other things. Credit Rating: 733 is a good credit score.
Is a 733 FICO ® score good?
A 733 FICO ® Score is Good, but by raising your score into the Very Good range, you could qualify for lower interest rates and better borrowing terms. A great way to get started is to get your free credit report from Experian and check your credit score to find out the specific factors that impact your score the most.
What credit score do you need to buy a car?
According to our latest auto loan rate report, shoppers with scores above 700 qualify for some of the lowest interest rates in the marketplace. These buyers are considered to have good or excellent credit since they’re near the top of the credit score range, which spans from 300 to 850 points.