720 Credit Score

720 Credit Score

Maintaining a good and accountable credit score entails preventing it from hitting below 720. Once it does, you run a great risk of not being approved for the lender’s best rate. Therefore you really want to maintain a 720 credit score or above.

720 Credit ScoreWhen your number is 720 or higher, you’re at about an average range.  You don’t have to try and raise it since creditors almost always categorize you with those of higher scores. Lucky you, a score of 720 is considered to be the low end of the top tier. Meaning, risk of default on loans is statistically very low for borrower with credit scores like this.  However, there is nothing wrong with trying to improve your cushion.  Let’s shoot for 750 or 800!

Pushing Above a 720 Credit Score

When you are in the range above 720 you are able to start getting the lenders most favorable rates, maybe not under all circumstances, but pretty often.  You can certainly ask for the best possible conditions and you might get it. Having a score this good or better can just about guarantee you will qualify even for big ticket items you would wish to have. Creditors may even let you borrow more than 80 percent of the value of your home without requiring private mortgage insurance.

Having a good credit score does not only pave way for buying a house or a car, but also gets you ahead of others, employment-wise, particularly with financial establishments. As harsh as it may seem, many employers today only hire people with credit scores of 720 and above. Credit scores seem to act as an indicator of their work ethics, devotion, and their decision-making abilities.

However, if you have never even tried borrowing money, don’t expect your credit score to be high as it is based on how and when you borrow. Simply put, if you don’t borrow, you are not able to score well. You borrow to establish credit, and keep in mind that borrowing responsibly is key.

Use Discipline to Avoid Slipping Below a 720 Credit Score

A score under 720 may not be great but there’s always something you can do about it. The one thing you must absolutely have is discipline. It is always your responsibility to be aware of your credit score at all times. It’s not like it entails a lot of hard work since there are many services nowadays that provide for credit score monitoring.

When you have a 720 credit score, your number is in pretty good shape.  With a little effort to keep good credit habits going, you can maintain or improve upon this number.