Good Credit Score Range For Getting Loans

Loans are given to people with a variety of different credit scores, but a good credit score is obviously ideal. Generally speaking, a person with the best chance of getting loan approval should have a credit score of at least 650. A score of 650 is typically considered a good credit score and indicates fair credit management. Many lenders consider a 650 score high enough for them to be willing to loan money.

Credit Scores of 700 and Above

A person with a credit score of 700 and above has excellent credit according to Experian, which is one of the leading credit bureaus in the United States. Getting as much as a $25000 personal loan is often possible for people with incredibly high scores. The vast majority of lenders will offer loans with excellent terms to people with scores in this range. People who have excellent credit benefit from lower interest rates and monthly payments as well as less hassle in applying for loans.

Credit Scores Between 600 and 700

Chances of getting a loan are good for people with credit scores between 600 and 700. People who have scores below 650 might have a little bit more trouble getting approval than people with scores above 650. There is also a good chance that people with scores below 650 might end up with high interest rates and larger monthly payments. A score of 650 to 700 is considered a good credit score by most lenders, whereas a score between 650 and 600 might be considered fair. A $1500 loan or below is often not a problem for people to attain when they have fair to good credit.

Credit Scores Below 600

People with credit scores below 600 are considered to have bad credit. Most reputable lenders are reluctant to work with people who have credit scores that fall within this range. This does not necessarily mean that people with bad credit cannot get loans. There are actually several terrible credit personal loans in existence, but most traditional banks do not offer them. Unfortunately, loans given to people with terrible credit often come with equally terrible terms, meaning astronomically high rates of interest and monthly payments. These loans include payday loans, signature loans with no credit check, and other cash advances. Lenders who offer these loans also tend to be more difficult to work with when payments are late or missed. These lenders are much more likely to make non-stop harassing phone calls and also to take legal action over non-payment.