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Q: What is the FICO number is considered PRIME
A: Before entering the FICO score can be considered first, it's probably a good idea to briefly cover what a FICO score is and what the first term regarding the rating of credit and loans. A FICO score is a three digit number which is determined by taking various factors in your credit report. FICO scores range from 300 to 850 and the lower end to the upper end. Like most consumers have three different credit reports (one for each of the three credit bureaus including Equifax, Experian and TransUnion) and each of these credit reports probably contain slightly different information, then it is likely that most adults have three different FICO scores. According to Fair Isaac, the company that created the FICO scoring method, about 90% of all lenders use FICO scores to make decisions about a consumer credit.
A FICO score takes into account a number of factors, including your payment history, number, type and age of your credit accounts and how much available credit you have. Consumers with higher FICO scores generally receive better financial conditions when they borrow money, if you apply for a mortgage, a car loan or signing up for a new credit card. These types of loans are usually called prime loans or "A". On the other hand, consumers with lower credit scores will generally get less favorable terms. These are called sub-prime loans.
So, now to answer the original question of what FICO score range is considered paramount. According to the Federal Information Centre of citizens (FCIC), a government organization that publishes information for US consumers, a FICO score in the 700+ range will be considered a good credit risk for most lenders.
In the eyes of most lenders, FICO credit scores above 700 are very good and a sign of good financial health. FICO scores below 600 indicate high risk to lenders and could lead lenders to charge you much higher rates or deny your application for credit.
It is important to note that many lenders may take factors beyond your FICO or other credit score into account when making lending decisions. But in general, consumers with FICO scores above 700 should be able to qualify for the best financial terms when applying for any type of credit or loan.
The best way we know how to access your FICO score is to sign up for the Equifax credit monitoring service. Equifax offers a free Equifax FICO score at registration accompanied by a credit report from the three free office. The service also includes three office credit monitoring report which alert you if changes post to your credit file. You can learn more about Equifax and other credit report monitoring services at NextAdvisor.com