Assuming the fact that a credit score is an important factor in applying for a credit (people ask us a lot: “I need help trying to get a loan, but I have poor credit”), it must be either good or fair. As 90% of financial bureaus and lenders tend to use FICO scoring system, which covers numbers from 300 to 850, credit scores are divided into good, fair, and bad scores. Detailed information about good and fair scores you may find on our website. Bad scores are about number restrictions as well.
According to FICO scoring system, the lowest and the worst credit score is 300. Nevertheless, it’s important to understand that a bad score differs depending on the type of the credit. For instance, a home loan requires a credit score, which is above 620.
Something that is lower is considered to be a bad credit score. Generally, a bad credit score starts from the point 580 and lower. With such credit score it’s usually difficult to have a credit approved. If your credit score ranges from 580 to 620 you still have chances to get a short-term loan with bad credit but you will more likely pay higher interest.
If you can’t boast with your credit score, you, at least, have chances to improve the situation. Our blog contains detailed information about how to improve your credit score.
Your way to a good credit! Learn how long it takes to get there.