Is 846 a Good Credit Score? A Comprehensive Guide to Exceptional Credit

In summary, obtaining a very good or excellent score can lead to access to some of the best deals and prices available. Excellent credit scores typically indicate you have a good chance of being approved for loans and other credit products with favorable terms, though lenders take a number of factors into account when evaluating a credit or loan application. Editorial Note: Intuit Credit Karma receives compensation from third-party advertisers, but that doesn’t affect.

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Congratulations! An 846 credit score is considered exceptional, placing you among the top 21% of consumers nationwide This stellar score opens doors to a world of financial opportunities, including:

  • Prime interest rates: Enjoy the lowest interest rates on loans, mortgages, and credit cards, saving you thousands of dollars over time.
  • Easy loan approvals: Get approved for loans and credit cards with minimal hassle, thanks to your proven track record of responsible credit management.
  • Premium rewards: Access exclusive credit cards with lucrative rewards programs, earning valuable points, miles, or cash back on everyday purchases.
  • Favorable insurance rates: Secure lower insurance premiums on your car, home, and other assets, reflecting your low-risk profile.

What Does an 846 Credit Score Mean?

A credit score of 846 indicates excellent creditworthiness, a track record of responsible credit management, and a low likelihood of future debt default. This score is within the 800–850 score range, which is referred to as “Exceptional.”

Benefits of an 846 Credit Score

An 846 credit score unlocks a plethora of benefits, including:

  • Lower interest rates: Qualify for the most competitive interest rates on loans and credit cards, saving you significant money over the long term.
  • Higher credit limits: Access higher credit limits on credit cards, providing you with greater financial flexibility and reducing your credit utilization ratio.
  • Improved loan terms: Secure loans with favorable terms, including lower down payments, longer repayment periods, and lower monthly payments.
  • Access to premium credit cards: Qualify for exclusive credit cards with premium rewards programs, earning valuable points, miles, or cash back on everyday purchases.
  • Lower insurance premiums: Secure lower insurance premiums on your car, home, and other assets, reflecting your low-risk profile.
  • Enhanced financial security: Enjoy greater financial security and peace of mind, knowing that you have access to favorable credit options when needed.

How to Get an 846 Credit Score

Even though it takes commitment and prudent credit management to reach an 846 credit score, it is undoubtedly possible. Here are some key strategies to boost your credit score:

  • Pay your bills on time: This is the single most important factor influencing your credit score. Make all payments on time, every time, to avoid late payment penalties and negative marks on your credit report.
  • Keep your credit utilization low: Aim to keep your credit utilization ratio, which is the amount of credit you’re using compared to your available credit, below 30%. This demonstrates responsible credit management and improves your credit score.
  • Check your credit reports regularly: Review your credit reports from all three major credit bureaus (Experian, TransUnion, and Equifax) for any errors or inaccuracies. Dispute any errors promptly to ensure your credit reports are accurate.
  • Limit new credit applications: Applying for new credit can result in hard inquiries on your credit report, which can temporarily lower your score. Limit new credit applications to avoid unnecessary inquiries.
  • Build a positive credit history: Establish a long and positive credit history by using credit responsibly and making timely payments. The longer your positive credit history, the better your credit score will be.

Maintaining an 846 Credit Score

Once you’ve achieved an exceptional credit score, it’s crucial to maintain it. Here are some tips:

  • Continue paying your bills on time: This remains the most important factor in maintaining a high credit score.
  • Monitor your credit utilization ratio: Keep your credit utilization below 30% to avoid negatively impacting your score.
  • Avoid closing old credit accounts: Closing old accounts can shorten your credit history, which can lower your score.
  • Review your credit reports regularly: Continue checking your credit reports for errors and dispute any inaccuracies promptly.
  • Use credit responsibly: Use credit for responsible purchases and avoid carrying large balances on your credit cards.

An 846 credit score is a testament to your excellent credit management and opens doors to a world of financial opportunities. By following the tips above you can achieve and maintain this exceptional score unlocking numerous benefits and enhancing your financial well-being.

How to get an 846 credit score

While there isn’t a single right way to raise your credit score, there are a few things you should know in order to keep it up to date.

Understanding these credit factors is a good idea even if you have excellent credit. This is especially true if you’re looking to apply for a new loan or want to get the highest possible score.

By dividing the amount of credit you are currently using by the total amount of credit you have access to, you can determine your credit utilization rate. You should try to keep this under 30%, but usually, the lower your utilization rate, the better.

There are two strategies to improve your credit utilization: having high credit limits and maintaining low credit card balances. You can ask your credit card issuer to raise your credit limit if you need to quickly reduce your credit utilization, but be aware that this could result in a hard inquiry.

If you have a high credit utilization rate and intend to apply for a new card soon, think about paying off some of your current card debts early. Prior to submitting a new application, you might be able to lower your credit utilization rate and even raise your scores if you pay off your balances before they are reported to the credit bureaus.

Your payment history is an important factor in your credit health. A single late payment can potentially have a big impact on your scores.

It might be worthwhile to call your credit card issuer to inquire about the possibility of having the late payment removed if you’ve missed a deadline, particularly if it hasn’t happened previously.

Demonstrating to lenders your ability to manage multiple credit accounts is an additional approach to showcase your credit usage experience. This may apply to loans such as mortgages that are paid back in installments as well as credit cards, which are a form of revolving credit.

However, we usually advise against applying for a loan merely to raise your credit score, particularly if it will be expensive. Additionally, if you apply for a new loan, your credit may suffer from a hard inquiry being recorded on your reports.

An 846 credit score is often considered very good — or even excellent.

Your credit score can act as a bridge rather than a barrier if you have excellent credit. A high score can help you get the best terms on mortgages, auto loans, and premium rewards credit cards.

Having excellent credit scores doesn’t guarantee approval, but it certainly helps. This is because lenders will find you more appealing if you have great credit scores because they may interpret them as a sign that you are less of a risk. Additionally, they will be less inclined to hedge their bets with low credit limits, security deposits, and down payments the more they trust you to return the money you borrow.

Of course, your credit scores aren’t the only factor lenders look at. They also consider details like your employment status and income.

It’s also important to keep in mind that you might have dozens of different credit scores. Furthermore, it might not be obvious which score a specific lender considers or what level of score is required to get you approved on the best terms.

But in general, your excellent credit scores will impress them.

Take a look at how your credit scores stack up against the scores of people from different generations.

This Is What Your FICO Score REALLY Means

FAQ

How many people have 850 credit score?

How many Americans have an 850 credit score? Only 1.31% of Americans with a FICO® Score have a perfect 850 credit score. While a score this high is rare among any demographic, older generations are more likely to have perfect credit. Baby boomers make up a whopping 59.4% of the people with an 850 credit score.

Is 846 a good credit score for a mortgage?

Even the most restrictive mortgage products have credit score requirements in the mid-700s. A credit score of 846 will generally qualify you for a lender’s best interest rates. As a real-world example, the average 30-year fixed mortgage interest rate was just over 7% as of late October 2022.

What is a perfect credit score?

A perfect FICO credit score is 850, but experts tell CNBC Select you don’t need to hit that target to qualify for the best credit cards, loans or interest rates.

What percentage of the population has a credit score over 800?

Less than 21% of people have a credit score over 800. A credit score of 800+ is considered perfect credit, indicates that a borrower uses credit very responsibly, and qualifies the person for the best loan and credit card terms.

What is a 846 FICO ® score?

Your 846 FICO ® Score falls in the range of scores, from 800 to 850, that is categorized as Exceptional. Your FICO ® Score is well above the average credit score, and you are likely to receive easy approvals when applying for new credit. 21% of all consumers have FICO ® Scores in the Exceptional range.

Is 846 a good credit score?

Credit Rating: 846 is an excellent credit score, which is even better than a good score. You can even classify an 846 credit score as being perfect. Borrowing Options: All borrowing options are available, and the terms are likely to be very attractive. For example, you should be able to qualify for the best credit cards and the best personal loans.

How can i Improve my 846 credit score?

Best Way to Improve an 846 Credit Score: Reducing the credit utilization on your credit card accounts could quickly boost your score. You can also check out your WalletHub credit analysis for personalized tips.

What is the average utilization rate for a credit score of 846?

Among consumers with FICO ® credit scores of 846, the average utilization rate is 5.8%. The best way to determine how to improve your credit score is to check your FICO ® Score. Along with your score, you’ll receive a report that uses specific information in your credit report that indicates why your score isn’t even higher.

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