Hey there, credit-savvy friend! Are you wondering if your 803 FICO® score is the golden ticket to financial freedom? Well, grab your metaphorical seatbelt because we’re about to take a deep dive into the world of exceptional credit scores.
Spoiler alert: An 803 FICO® score is exceptional, placing you in the top 21% of consumers nationwide. That’s a pretty sweet spot to be in!
But what does it all mean? Let’s break it down:
- Benefits: With an 803 FICO® score, you’re practically a VIP in the eyes of lenders. You’ll likely qualify for the best credit cards, personal loans, and mortgages with the lowest interest rates and most favorable terms. Think of it as having a backstage pass to the financial world.
- Stats: Only 21% of consumers have FICO® scores in the Exceptional range, so you’re part of an exclusive club. That means you’re doing something right when it comes to managing your credit. Keep up the good work!
- Tips: Even though you’re already rocking a stellar credit score, there’s always room for improvement. To climb even higher, focus on reducing your credit utilization and keeping your payment history spotless.
Now let’s get down to the nitty-gritty:
- What does an 803 FICO® score get you? Think of it like having a VIP pass to the financial world. You’ll likely qualify for the best credit cards, personal loans, and mortgages with the lowest interest rates and most favorable terms.
- How to get an 803 FICO® score: If you’re not yet a member of the 800+ credit score club, don’t fret! You can learn how to join by checking your free personalized credit analysis on WalletHub. They’ll tell you exactly what you need to change and how to do it.
- Who has an 800+ credit score? Only 14.5% of people have a credit score of 800 or higher, so you’re in good company.
- Do you need an 850 credit score? Not really. Reaching the highest possible credit score won’t save you more money in most cases. So, don’t stress about pushing your score to the absolute limit.
Remember, your credit score is a reflection of your financial health. By maintaining an exceptional credit score, you’re setting yourself up for a bright financial future. Keep up the good work, and enjoy the perks that come with having an 803 FICO® score!
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Call to Selected Readers: Please contact trina if you have discovered an error on your credit report that has negatively impacted your credit score or if your low credit has prevented you from obtaining a credit card or a loan. paul@nbcuni. com to share your story.
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Credit scores are used by lenders to assess a borrower’s creditworthiness, or the possibility that they will be able to repay their loan in full and on schedule.
This three digit number between 300 to 850 is calculated based on the information in your credit report. There are two most popular scoring models: FICO and VantageScore. However, lenders tend to favor FICO more than the other.
A lender will review your credit score whenever you apply for a line of credit in order to assess whether to grant you a loan and what terms are reasonable. Since your credit score also affects the interest rate you’ll pay on a mortgage or the annual percentage rate (APR) on a new credit card, having a high credit score can save you hundreds or even thousands of dollars.
Select delves deeper into what it means for consumers to have a credit score of 800 and how it influences the kinds of credit that are available to them below.
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What it means to have a credit score of 800
A credit score of 800 means you have an exceptional credit score, according to Experian. According to a report by FICO, only 23% of the scorable population has a credit score of 800 or above.
FICO considers five factors in the calculation of your credit score:
- Payment history (35%), namely: Ensure that your payments are made in full and on schedule.
- Amounts Due (30%): Your Credit Utilization Ratio (20%): This represents the percentage of the credit you use compared to the amount you’ve been extended (20%): This represents the percentage that should be low.
- Duration of credit history (15%): Having a longer credit history will be advantageous.
- Aim for a variety of credit sources, including installment loans, credit cards, and mortgages. Credit mix percentage (10%)
- Do not apply for too many lines of credit in a short amount of time for new inquiries (10%).
If your credit score is 800, you most likely have a high credit utilization ratio, a lengthy credit history, and consistent on-time payments. All this information shows lenders that youre likely to make good on your loan.
According to a 2021 survey conducted by LendingTree, nearly all people with credit scores of 800 or above made their payments on time and in full — they also tend to have a low average credit utilization ratio of 5.7% and have old active accounts, with the average being at least 27 years.
That said, you dont necessarily need to have a perfect credit score in order to get favorable terms on loans or low APRs on credit cards, as only a very small percentage of people have a perfect credit score. A recent FICO report showed that in April 2019, just 1.6% of the U.S. scorable population had a FICO score of 850 — its typically unnecessary to aim for a credit score above 800.
Generally speaking, to get the best terms on loans and/or mortgages, your credit score should be higher than 760. Put differently, an 800 credit score places you in the upper echelon of credit scores, making it easier for you to get the best terms on a personal loan or mortgage.
This Is What Your FICO Score REALLY Means
FAQ
Can I buy a house with an 803 credit score?
Can I get a mortgage with a 803 credit score?
What percentage of the population has a credit score over 800?
What is an acceptable FICO score?
Is 803 a good credit score?
Credit Rating: 803 is an excellent credit score, which is even better than a good score. You can even classify an 803 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.
What is a 803 FICO ® score?
Your 803 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.
What is the average utilization rate for a credit score of 803?
Among consumers with FICO ® credit scores of 803, the average utilization rate is 11.5%. 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.
Can I get a personal loan with an 803 credit score?
Most personal loan lenders will approve you for a loan with an 803 credit score. In fact, you will likely qualify for the best loan rates available. However, keep in mind that your credit score is just one factor that lenders consider when deciding whether to approve your loan application.