Credit Score Chart – Episode #88

Consumers need to see how their credit score charts against other people and against what the lenders are saying the matching interest rates are.

The population of the U.S. is split when it comes to FICO scores.  About 40% of us have a 750 or above, but 55% have a 700 or above.

Population statistics are meaningless though.  You shouldn’t care if you are keeping up withe the Jones and the Smiths, especially if there scores are lower.    The key relationship is between FICO scores and interest rates.  Now, credit scores are not the only factor in determining interest rates.  I just met a woman with a thin file, but she was well off and willing to put down 50% on a home loan. She got a great rate.  But back to the more typical scenario, the one for the rest of us.

Note, that the chart from myFICO shows that the best interest rates go to 760 FICO scores and above.  This chart back in May 2005 used to have a top range of 720+, but was changed to 760 and above and has been this way ever since.