What is a Credit Score? Credit scores are three-digit numbers, usually on a scale of 300 to 850, and indicate whether a borrower is likely to make timely payments on their bills. Besides providing lenders with a better glimpse into your creditworthiness, a credit score also allows financial institutions, insurance companies, and other entities to make faster decisions about your applications. FICO is the most widely used credit score by lenders. The Fair Isaac Corporation developed it. What is Considered a Good Credit Score? Most lenders view credit scores above 670 as “good,” while official FICO scores between 670 and 739 are considered “good.” Borrowers with higher credit scores are likely to have better rates and greater chances of approval. FICO scores are categorized into five categories: poor, fair, good, very good, and exceptional. Below is a breakdown of the ranges: ✅ Poor (<580): Below average, and lenders will rate you as a high-risk borrower. ✅ Fair (580–669): Below av
This blog is a helpful guide with tips on securing funding for your small business, with insights into how to approach investors and secure loans.