FICO Score
What the FICO score is, its 300 to 850 range, the five factors it measures and their weights, and how to read your score in context.
What Is a FICO Score?
FICO stands for Fair Isaac Corporation, the company that created the most widely used credit scoring model in the United States. When a lender checks your credit, they are almost always looking at a FICO score.
FICO scores range from 300 to 850. Higher is better. A score of 800 or above is exceptional and qualifies you for the best available interest rates on mortgages, auto loans, and credit cards. A score below 580 is considered poor and will result in declined applications or very high-rate offers.
FICO Score Ranges and What They Mean
| Score Range | Category | What to Expect | |------------|----------|----------------| | 800 to 850 | Exceptional | Best available rates, instant approvals, highest credit limits | | 740 to 799 | Very Good | Near-best rates, approvals for premium cards and prime loans | | 670 to 739 | Good | Most mainstream cards and loans approved, competitive rates | | 580 to 669 | Fair | Some approvals, but higher rates and fewer premium options | | 300 to 579 | Poor | Most unsecured credit applications declined; secured cards and credit-builder products available |
The Five Factors of a FICO Score
Payment history (35%) The most important factor by far. Every on-time payment helps. Every late payment hurts. A payment reported 30 or more days late is a significant negative mark that stays on your report for 7 years. The impact diminishes over time as the late payment ages, especially after 2 years.
Credit utilization (30%) Your total credit card balances as a percentage of your total credit limits. Below 30% is good. Below 10% is better. See credit utilization explained for the full breakdown.
Length of credit history (15%) How long your accounts have been open, including the age of your oldest account, your newest account, and the average age of all accounts. Longer history is better. This is why you should keep old accounts open even if unused.
Credit mix (10%) Having both revolving credit (credit cards) and installment credit (auto loans, mortgages, student loans) is better than having only one type. However, this is a minor factor and not worth taking on unnecessary debt to improve.
New credit (10%) Recent credit applications and new accounts. Each hard inquiry from a credit application temporarily reduces your score by a small amount. Multiple new accounts opened in a short period can amplify this effect. The impact fades within 12 months for inquiries.
Multiple FICO Versions
Fair Isaac has released multiple versions of the FICO score: FICO 8, FICO 9, FICO 10, FICO 10T, plus industry-specific versions for mortgage, auto, and bankcard lending. Most general credit card applications use FICO 8. Mortgage lenders typically use older versions (FICO 2 from Experian, FICO 4 from TransUnion, FICO 5 from Equifax).
The scores are generally similar but can differ by 10 to 30 points on specific profiles. FICO 9 is more lenient on medical collections than FICO 8, for example.
How to Access Your FICO Score
Your FICO score is available free through:
- Discover's Credit Scorecard (available to anyone, not just cardholders)
- Some bank and credit union online portals
- Experian free membership (provides FICO 8)
Free services like Credit Karma and Capital One CreditWise typically show VantageScore, which is similar but not identical to FICO. For a lender-accurate view, use services that specifically label their score as FICO.
See also: credit score, credit utilization.