Whats a good credit score
There are many people all over the world about whats a good credit score. Fair Isaac has determined a good credit score to be anything above 690 but that does not mean that you are guaranteed to be able to gain credit or a loan with that score.
Many companies will still see those with a credit score of 690 as being at risk; they are only border line to having a bad one. Because of that, rather than asking whats a good credit score, you should find out what a very good or excellent score is. Most companies will loan money to someone with a score in the high 700s, from around 770 any above. This is considered a very good score and people are a lower risk. So, now the question is how to get your score up to that.
There are a number of ways that you can raise your credit score but some are much easier than others. One of the best ways to get your score high and keep it there is by making your regular payments and never defaulting on them. This also means that you need to have something that you can make payments with.
The best way to prove that you can borrow money is by taking out a credit card. There is no need to worry about the APR, as you will struggle to get a low APR when you have never borrowed money in the past. The trick that you will do is spend your regular money on the card and then pay it off in full at the end of each month. This will allow you to prove that you can borrow money and always pay it back. You will also not gain any interest on the card because you will keep paying the balance off.
Another way to prove that you can borrow money is by taking out a loan and proving that you can make the month repayments. This is something that you will need to think about carefully because there is no point in taking the loan out if you do not really need it; it all depends on how much you need to raise your credit score by. Take out the smallest amount possible for the shortest term so that you do not rack up as much interest.
Being on the electoral role will automatically take your credit score up. This is simply because the companies will be able to check for your identity. When you move home, make sure that you get yourself registered at your current address. Also, if you can, buy your own home rather than renting; this will show that you are more stable and paying off a mortgage will show that you can make the monthly repayments.
Rather than asking whats a good credit score, you should actually look into raising your score. A good credit score does not mean that you will be able to borrow money. In fact, you will usually need a very good score to do that.