The definition of a "good" credit score has shifted.
Not because the ranges changed, they didn't. But because lenders are applying those ranges differently than they did five years ago.
I've been running a credit repair company for eight years. We've worked with over 5,000 clients across every score bracket. And what we're seeing in 2026 is this: the score that got you approved in 2021 might not get you the same terms today.
Interest rates are higher. Underwriting is tighter. And lenders are drawing harder lines between score tiers.
So let's break down what each range actually means, and more importantly, what it gets you in the real world.
Understanding FICO Score Ranges and What Lenders Actually Use
Most people don't realize there are multiple credit scoring models.
FICO has over 50 different versions. VantageScore has its own set. And depending on what you're applying for, lenders might pull a completely different score than what you see on a credit monitoring app.
The most common model is FICO Score 8. But if you're applying for a mortgage, they'll likely use FICO 2, 4, or 5. Auto lenders often use FICO Auto Score. Credit card companies might use FICO Bankcard Score 8.
Here's the standard FICO range that most lenders reference:
- 300-579: Poor
- 580-669: Fair
- 670-739: Good
- 740-799: Very Good
- 800-850: Exceptional
VantageScore uses similar brackets but with slightly different cutoffs.
The score you see on Credit Karma or through your bank's free monitoring tool is often VantageScore 3.0. That's not the same score your mortgage lender will pull.
In the last quarter alone, we reviewed 1,456 cases where clients were confused about why they were denied or given worse terms than expected. The most common reason? They were looking at the wrong score model.
So before you apply for anything major, know which score the lender will actually use.
Poor Credit Score Range: 300-579 (What This Really Means for You)
If your score falls between 300 and 579, most traditional lenders won't approve you.
This range signals high risk. It usually means there are serious derogatory marks on your report: charge-offs, collections, bankruptcies, foreclosures, or multiple missed payments.
But here's what most people don't understand: a poor credit score doesn't always mean poor behavior.
We've handled cases where a client's score was in the 400s because of a single medical debt they never knew existed. Or because an identity theft incident went unresolved. Or because a creditor reported incorrect information that was never challenged.
In January 2026, we worked with a client whose score was 512. She had never missed a payment in her life. But a hospital billing error from 2023 was reported as a $4,800 collection. It took three months of documentation requests and disputes to get it removed.
Her score jumped to 681 in one reporting cycle.
That's not unusual. When your score is this low, even one removal can create a massive swing.
What You Can Get with a Poor Credit Score
With a score in this range, your options are limited but not nonexistent.
- Secured credit cards: These require a cash deposit that becomes your credit limit. They're designed to help you rebuild.
- Credit-builder loans: Small loans held in a savings account while you make payments. Once paid off, you get the money back.
- Subprime auto loans: Available but with interest rates often above 15-20%.
- Rent-to-own agreements: More common for furniture, electronics, or housing.
Mortgages are nearly impossible in this range. Even FHA loans, which allow scores as low as 500, require a 10% down payment and rarely get approved without significant compensating factors.
The goal here isn't to get approved. It's to fix what's broken and move up to the next tier as quickly as possible.
Fair Credit Score Range: 580-669 (When Lenders Start Saying Yes)
A fair credit score means you're past the worst, but you're not out of the woods.
Lenders will approve you, but they'll charge you for the risk.
This range usually reflects a mix of negative and positive information. Maybe you had some late payments a few years ago, but you've been on time recently. Or maybe your utilization is too high. Or maybe you have a short credit history with limited accounts.
We analyzed 892 client files in Q2 of 2025 where scores were stuck between 600 and 650. The most common issues were:
- High credit card utilization (above 50%)
- One or two collections under $1,000
- A single 30- or 60-day late payment in the past two years
- Short credit history (less than three years)
The good news? All of these can be fixed with the right strategy.
What You Can Get with a Fair Credit Score
This is the range where you start to unlock real financial products, but at a cost.
- FHA home loans: Available with as little as 3.5% down if your score is 580 or higher.
- Conventional mortgages: Possible at 620 or above, but expect higher interest rates and mortgage insurance.
- Auto loans: Easier to get, but interest rates typically range from 10-15%.
- Unsecured credit cards: Available, but often with annual fees and low limits.
- Personal loans: Approval rates improve, but APRs can exceed 20%.
Let's talk numbers. A client with a 620 score who takes out a $300,000 mortgage at 7.5% interest will pay roughly $2,098 per month. A client with a 740 score at 6.5% interest pays $1,896 per month.
That's $202 per month. Over 30 years, that's $72,720 in additional interest.
Your score in this range is costing you real money. The faster you move up, the more you save.
Good Credit Score Range: 670-739 (Where Most People Land)
A good credit score is exactly what it sounds like: good enough.
You'll get approved for most loans and credit cards. Your interest rates will be reasonable. You won't face the same scrutiny as someone with a lower score.
But you're also not getting the best deals yet.
This is where roughly 21% of Americans fall, according to FICO data. It's the most common score range for people who pay their bills on time, keep their balances manageable, and avoid major financial mistakes.
What You Can Get with a Good Credit Score
With a score in this range, you're in the approval zone for nearly everything.
- Conventional mortgages: Approved with competitive rates and minimal hassle.
- Auto loans: Interest rates between 5-8%, depending on the lender and your debt-to-income ratio.
- Premium credit cards: Access to cards with rewards programs, but not always the highest-tier benefits.
- Personal loans: APRs typically between 10-15%.
- Business credit: Easier to qualify for small business loans or lines of credit.
Here's the difference in real terms. A $25,000 auto loan at 7% APR over five years costs $495 per month with total interest of $4,686. The same loan at 5% APR costs $472 per month with total interest of $3,307.
That's a $1,379 savings just by being in the "very good" range instead of "good."
The gap between good and very good is smaller than the gap between fair and good. But it still matters.
Very Good Credit Score Range: 740-799 (When You Start Getting the Best Rates)
This is where lenders start competing for you.
A very good credit score signals low risk. You've proven you can manage credit responsibly over time. You pay on time. You keep your balances low. You don't open accounts recklessly.
About 25% of Americans have scores in this range.
We work with a lot of clients who reach this tier and then plateau. They assume there's no reason to push higher. But there's a meaningful difference between a 750 and an 800, especially when it comes to large loans.
What You Can Get with a Very Good Credit Score
At this level, you're getting near-premium pricing on everything.
- Mortgages: Access to the best advertised rates. Lenders will negotiate with you.
- Auto loans: Interest rates between 3-5%. Some manufacturers offer promotional rates as low as 0% APR.
- Top-tier credit cards: Travel rewards cards, premium perks, high limits.
- Personal loans: APRs as low as 6-8%.
- Business loans: Easier approvals with better terms and higher credit limits.
Let's look at a mortgage example. A $400,000 home loan at 6.25% interest costs $2,462 per month. The same loan at 6.0% costs $2,398 per month.
That's $64 per month. Over 30 years, that's $23,040.
Your score in this range isn't just about approval anymore. It's about negotiating power.
Exceptional Credit Score Range: 800-850 (What Perfect Credit Actually Gets You)
An exceptional credit score is rare.
Only about 21% of Americans have a score above 800. And the difference between 800 and 850 is mostly symbolic.
Lenders don't offer better rates at 830 than they do at 800. The pricing tiers max out around 760-780 for most products.
But there are still benefits.
What You Can Get with an Exceptional Credit Score
At this level, you're essentially risk-free in the eyes of lenders.
- Mortgages: The absolute lowest rates available. No questions asked.
- Auto loans: Promotional 0% APR offers are almost always available to you.
- Credit cards: Instant approvals for any card you want. Six-figure credit limits are common.
- Personal loans: The lowest APRs, often under 6%.
- Negotiating leverage: You can shop around and lenders will bend to keep your business.
But here's what people at this level often overlook: maintaining an 800+ score requires consistent habits, not perfection.
You can still have high utilization one month and drop 20 points. You can still apply for a new card and see a temporary dip. The score will recover quickly, but it's not untouchable.
We've seen clients stress over maintaining an 820 when they could have just as easily operated at 780 with no financial difference.
Don't chase a perfect score just for the number. Chase the habits that create the score.
How Credit Score Requirements Changed in 2026
Here's what shifted.
Lenders tightened their underwriting standards in late 2024 and into 2025. That trend continued into 2026.
Higher interest rates mean lenders are more cautious. They're approving fewer borderline applicants. They're requiring larger down payments. They're pulling credit from all three bureaus instead of just one.
In Q4 of 2025, we tracked 2,117 applications across mortgages, auto loans, and credit cards. Here's what we found:
- Mortgage approvals for scores between 620-679 dropped by 18% compared to 2023.
- Auto loan interest rates for scores between 580-669 increased by an average of 1.2%.
- Credit card approvals for scores below 600 declined by 22%.
This doesn't mean it's impossible to get approved with a fair or good score. It just means the margin for error is smaller.
If your score is on the edge of a tier, even one disputed account removal or one balance paydown can make the difference between approval and denial.
What Actually Determines Your Credit Score Tier
Your score tier isn't random. It's the result of how the five scoring factors stack up.
Here's what separates someone with a 680 from someone with a 740:
- Payment history: The 740 has zero late payments in the past seven years. The 680 has one or two.
- Credit utilization: The 740 keeps balances under 10%. The 680 is closer to 40%.
- Length of credit history: The 740 has accounts averaging eight years old. The 680 has accounts averaging three years old.
- New credit: The 740 hasn't opened a new account in over a year. The 680 opened three accounts in the past six months.
- Credit mix: The 740 has a mortgage, two credit cards, and an auto loan. The 680 only has credit cards.
These aren't made-up examples. These are actual client profiles we pulled in January 2026.
The difference between good and very good isn't luck. It's behavior and time.
How to Move Up to the Next Credit Score Tier
If you're trying to improve your score, focus on the factors that move the fastest.
Start with utilization. This is the only factor that has no memory. Pay down balances, redistribute debt across cards, and request credit limit increases. We've seen 30-50 point jumps in one month from utilization changes alone.
Dispute inaccurate information. If there's something on your report that can't be verified, challenge it. One collection removal can push you from fair to good in a single cycle.
Stop opening new accounts. Every hard inquiry and every new account lowers your average age. If you're on the edge of a tier, wait six months before applying for anything new.
Keep old accounts open. Length of credit history rewards age. Even if you're not using an old card, keep it active with a small recurring charge.
Set up automatic payments. Payment history is 35% of your score. One missed payment can undo months of progress. Automate everything.
The clients who move up the fastest are the ones who treat their credit file like a business asset. They monitor it quarterly. They dispute errors immediately. They optimize utilization before applying for anything major.
That's the difference between hoping your score improves and making it improve.
The Bottom Line on Credit Score Ranges in 2026
A good credit score in 2026 starts at 670. But "good enough" depends entirely on what you're trying to do.
If you're applying for a mortgage, you want 740 or higher. If you're financing a car, 680 will get you approved but 720 will save you thousands. If you're applying for a premium credit card, 750 is the floor.
The ranges haven't changed. But the stakes have.
I've spent nearly a decade helping people understand how these numbers work in the real world. And the one thing I tell every client is this: your credit score isn't fixed. It's a reflection of how your data is being reported right now.
If that data is inaccurate, your score is inaccurate.
And if the data can't be verified, it doesn't belong on your file.
That's not theory. That's the law.
Your score is only as accurate as the information behind it. Make sure that information can be defended.