10 tips on building a high credit score.

[Pabo]

I am not sure what the requirements are for credit ratings in the US, but in Australia it is a different ball game, as we have completely different rules regarding lending.

 

However I am amazed how many people live either paycheck to paycheck, and living beyond their means of earning. And interestingly most people cannot comprehend how I live day to day.

 

I never had a credit card (but have a debit Visa card, which is much standard eftpos card now), nor I do not use internet banking. I usually carry some cash, and still use a cheque book (check book) and don't have any loans. I am very old fashion in my ways, but at least I know what I have.

 

But in simple terms, live a simple life, and don't get caught up and be enticed by offerings this system offers. 

Edited July 21, 2022 by Pabo

[Cushi]

13 hours ago, Pabo said:

I am not sure what the requirements are for credit ratings in the US, but in Australia it is a different ball game, as we have completely different rules regarding lending.

 

However I am amazed how many people live either paycheck to paycheck, and living beyond their means of earning. And interestingly most people cannot comprehend how I live day to day.

 

I never had a credit card (but have a debit Visa card, which is much standard eftpos card now), nor I do not use internet banking. I usually carry some cash, and still use a cheque book (check book) and don't have any loans. I am very old fashion in my ways, but at least I know what I have.

 

But in simple terms, live a simple life, and don't get caught up and be enticed by offerings this system offers. 

I agree that one’s should save money to avoid living paycheck to paycheck and not live beyond their means. I also agree that one’s should live a simple life and not use credit cards to buy things they don’t need or can’t afford or get in unnecessary debt. 
 

However, it’s good for one’s to build credit as early in life as possible because, at least here in the United States, having a poor credit score or no credit at all will disqualify you from Getting a home/mortgage loan. And if you do get a loan, you’ll be paying hundreds more a month and tens of thousands more over the life of the loan. I say this because most US citizens can’t afford to pay cash for a home. 
The same goes with cars. Having poor credit will disqualify you from getting a car loan or if you do you’ll be paying high interest rates. You also can’t get approved for personal loans from the bank.
Having poor credit also means paying higher car and home owners insurance. It’s also prevents you from getting certain jobs. I was once fired from a sales job because my friends brother hired me and he didn’t do a credit check. They later found out that I didn’t have credit so I lost my job. 
I don’t know if these things would apply where you live, but credit is very important here in the U.S. 

 

Having poor credit will cost many people tens of thousands throughout their lifetime. It’s good to pay cash for everything but you don’t want to have bad or no credit when the moment comes when you need good credit. It’s best to just avoid all that and work on your credit as fast as one can.

Edited July 22, 2022 by *Jack*

[Pabo]

3 hours ago, *Jack* said:

They later found out that I didn’t have credit so I lost my job.

What the????? You need a credit rating in order to get have a decent job? That is so ridiculous!

 

Here in Australia, all you need is a Tax File Number (equivalent to your Social Security Number), and maybe a Working With Children Check (if you happen to work with children), for government agency jobs maybe a Police Check, a list of your qualifications, registered licenses for tradepersons. There is no requirement regarding your credit rating or history, other than knowing your bank account details to transfer your pay into, also a superannuation fund for the employer to put money (a statutory amount required by law) for your retirement.

 

Credit rating does not get against any insurance for you house, car, health, or other insurable assets, only past insurance claims may of your were fraudulent or at fault, or traffic offences may impact the insurance premium.

 

So for us in order to get a loan for a car, home, or other asset purchases (or personal loan for holidays and such) from a registered financial institution, it is about your spending habits that are recorded from your bank account(s), whether you pay your bills on time, what your income is, whether you have any existing other loans and what assets you may have to act as security just in case you default on your repayments. For us, it is basically proving that you can service the loan repayments with the earnings you get, and enough security to cover it if you were to default.

 

The only time you may have a "bad credit rating" if your creditor registers if you had any possible missed payments (can be anyone whom you have a account with such telephony services, council, trade suppliers, insurance companies etc), if you had defaulted on repayment to payday loan providers, or other smaller short term loan providers, or you have been declared bankrupt. We can get apply for these credit reports for ourselves, but if I done one for myself, it would show I have no bad credit history.

 

I knew of a person who went into a bank to get a home loan on a house that he was thinking of purchasing. However, he didn't have a bank account at all, as he was paid in cash by his employer (totally legal as his income was declared by him and his employer) and had been working for this employer for over 10 years since he left school. Because he didn't have a bank account, he wasn't able to get any loan from the bank, as he needed at least 2 years worth of banking history to see whether he could afford it. Even though he can supply copies of his payslips and tax returns to verify his income, because they cannot see his "spending history", he wouldn't be able to get any loan. So he opened up a bank account so that he in 2 years time can get a loan. When he asked how much he needed to deposit into the account, they said he only needed $1 dollar to open a account, so he pulled out a roll of cash and said that there is about $50,000 in cash there to open up his account with. They said was that all of the cash he had on him, he said "no, I got about 3 times as much in a safe at home". All he wanted to borrow was about $200K for a $400K home, as he already had more than half of that in cash to buy the house. But he also had to get his employer to put his pay into his account, so that they can see that he was getting paid, and how he was spending his money. So he paid from his bank account his rent and his monthly telephone bills which they were direct debited. He also deposited about $150K into a 2 year term deposit that was getting good interest rate, and still had some cash left over which he used up for his shopping, fuel and other discretionary expenses for the next 2 years, and still had cash afterwards. Meanwhile his bank account just grew and grew, as 3 times was going into as much as he was spending out of it.

 

There are two types of debt - necessary debt and un-necessary debt.

 

Necessary debt - Home and maybe a car. These are only the 2 things you should have a loan for, and if you can get away with driving a cheaper less expensive car, then only your home.

 

Un-necessary debt - everything else. If you want a holiday? Save for it. Want that faster computer? Save for it. Anything else? Save for it.

 

When my youngest brother got a higher paying job, all of his work mates spoke to him about getting an investment property and such to minimise his tax and such. His wife liked the idea but he said to her that he would asked me first what he should do. He told her what I may say would be brutal, but it will be best thing to do in the long term. So he asked me about it. He was happy to still drive around in a old Corolla hatch and a old VN Commodore that they owned outright, and they would serve him for a couple of more years. I said the housing market is overpriced, and whilst the interest rates are extremely low, pay as much off his home loan, and when interest rates start going up, then you may see people cannot hold onto their "investment" properties and may soon start selling them off for cheaper that they are now. For every dollar you pay extra in your home loan repayment, you basically save one and half times in interest over of the life of the loan. So he followed my advice and started to smash as much into his home loan. It helped that he was a penny saver in regards to the food shopping, but he and his family still has a few nice things from time to time. However, a couple of years later he needed to replace that old Corolla as it gave up the ghost and was able to get himself a 3yr old Hilux dual cab at a reasonable price. He asked if he should borrow off the home loan, which I said if you do, make sure that you make the repayments as if you had taken out a loan on its own over the 4 years.

 

That was just over 5 years ago when he first asked for this advice, and he had gotten to the point where he cannot put any more money off his home loan (and basically paid back the Hilux monies) due to the terms and conditions of the loan arrangement that his loan broker had arranged. I said that when that period of time is up for that arrangement, bypass his broker as he is only feathering his own pocket, go into one of the local Building Societies (similar to banks which are not owned by shareholders) and get your loan refinanced that you can pay it out as fast as you can. He had borrowed about $390K to buy his home, then used another $40K for the Hilux, and the last time I was speaking to him they owed only about $180K. Basically he had paid $260K plus interest in about 5-6 years, and still has a good lifestyle with his young family. Now that the interest rates are rising, many are starting to feel the pinch on their costs of living, and most of his workmates are feeling it too and are always talking about what they are to do. What is my brother doing? He is now sitting back watching them squirm. He no longer works overtime, and his wife now earns some money working nightfill a couple of days a week, as she wanted to be home with them until they started school. In another 5 years time, he would own his own home outright.

Edited July 22, 2022 by Pabo

[Ishaya]

16 hours ago, *Jack* said:

I agree that one’s should save money to avoid living paycheck to paycheck and not live beyond their means. I also agree that one’s should live a simple life and not use credit cards to buy things they don’t need or can’t afford or get in unnecessary debt. 
 

However, it’s good for one’s to build credit as early in life as possible because, at least here in the United States, having a poor credit score or no credit at all will disqualify you from Getting a home/mortgage loan. And if you do get a loan, you’ll be paying hundreds more a month and tens of thousands more over the life of the loan. I say this because most US citizens can’t afford to pay cash for a home. 
The same goes with cars. Having poor credit will disqualify you from getting a car loan or if you do you’ll be paying high interest rates. You also can’t get approved for personal loans from the bank.
Having poor credit also means paying higher car and home owners insurance. It’s also prevents you from getting certain jobs. I was once fired from a sales job because my friends brother hired me and he didn’t do a credit check. They later found out that I didn’t have credit so I lost my job. 
I don’t know if these things would apply where you live, but credit is very important here in the U.S. 

 

Having poor credit will cost many people tens of thousands throughout their lifetime. It’s good to pay cash for everything but you don’t want to have bad or no credit when the moment comes when you need good credit. It’s best to just avoid all that and work on your credit as fast as one can.

 

I'm beginning to understand how it is easier to live and survive in Nigeria than abroad.Nigerians abroad always say this but I never got the point,Lol.

 

here in Nigeria you don't need all that requirements to get a good job or to get a good home.in fact I've never seem anyone with a credit card here only debit cards,honestly banks don't even talk about credit cards since people don't care about it.

 

If I have to get a credit card in my locality,I think it will be to build my credit just incase of emergency,which seem very useful regardless of where you live,since people are afraid to lend money to other people this days,it's good to arrange to borrow from your bank in emergency.

 

But I always try to avoid credit,I prefer to save for the rainy days like you rightly suggested.

 

credit score is not used in my place or even talked about,but It seem like a good way to assess someone's ability to pay a debt.

 

I have a question,does poor credit score contribute to the increasing number of homeless people in the US?

 

[New World Explorer]

I only use credit card to generate reward points and online purchases, never go in debt with it. Always have top up amount that would require me to spend considerable money to level with my approved amount. 

Whatever I spend I quickly replenish. (Banks do not like me) 

 

Credit card debt is bad! avoid it. (Don't do below,  LOL )

 

[Cushi]

15 hours ago, Pabo said:

What the????? You need a credit rating in order to get have a decent job? That is so ridiculous!

 

Here in Australia, all you need is a Tax File Number (equivalent to your Social Security Number), and maybe a Working With Children Check (if you happen to work with children), for government agency jobs maybe a Police Check, a list of your qualifications, registered licenses for tradepersons. There is no requirement regarding your credit rating or history, other than knowing your bank account details to transfer your pay into, also a superannuation fund for the employer to put money (a statutory amount required by law) for your retirement.

 

Credit rating does not get against any insurance for you house, car, health, or other insurable assets, only past insurance claims may of your were fraudulent or at fault, or traffic offences may impact the insurance premium.

 

So for us in order to get a loan for a car, home, or other asset purchases (or personal loan for holidays and such) from a registered financial institution, it is about your spending habits that are recorded from your bank account(s), whether you pay your bills on time, what your income is, whether you have any existing other loans and what assets you may have to act as security just in case you default on your repayments. For us, it is basically proving that you can service the loan repayments with the earnings you get, and enough security to cover it if you were to default.

 

The only time you may have a "bad credit rating" if your creditor registers if you had any possible missed payments (can be anyone whom you have a account with such telephony services, council, trade suppliers, insurance companies etc), if you had defaulted on repayment to payday loan providers, or other smaller short term loan providers, or you have been declared bankrupt. We can get apply for these credit reports for ourselves, but if I done one for myself, it would show I have no bad credit history.

 

I knew of a person who went into a bank to get a home loan on a house that he was thinking of purchasing. However, he didn't have a bank account at all, as he was paid in cash by his employer (totally legal as his income was declared by him and his employer) and had been working for this employer for over 10 years since he left school. Because he didn't have a bank account, he wasn't able to get any loan from the bank, as he needed at least 2 years worth of banking history to see whether he could afford it. Even though he can supply copies of his payslips and tax returns to verify his income, because they cannot see his "spending history", he wouldn't be able to get any loan. So he opened up a bank account so that he in 2 years time can get a loan. When he asked how much he needed to deposit into the account, they said he only needed $1 dollar to open a account, so he pulled out a roll of cash and said that there is about $50,000 in cash there to open up his account with. They said was that all of the cash he had on him, he said "no, I got about 3 times as much in a safe at home". All he wanted to borrow was about $200K for a $400K home, as he already had more than half of that in cash to buy the house. But he also had to get his employer to put his pay into his account, so that they can see that he was getting paid, and how he was spending his money. So he paid from his bank account his rent and his monthly telephone bills which they were direct debited. He also deposited about $150K into a 2 year term deposit that was getting good interest rate, and still had some cash left over which he used up for his shopping, fuel and other discretionary expenses for the next 2 years, and still had cash afterwards. Meanwhile his bank account just grew and grew, as 3 times was going into as much as he was spending out of it.

 

There are two types of debt - necessary debt and un-necessary debt.

 

Necessary debt - Home and maybe a car. These are only the 2 things you should have a loan for, and if you can get away with driving a cheaper less expensive car, then only your home.

 

Un-necessary debt - everything else. If you want a holiday? Save for it. Want that faster computer? Save for it. Anything else? Save for it.

 

When my youngest brother got a higher paying job, all of his work mates spoke to him about getting an investment property and such to minimise his tax and such. His wife liked the idea but he said to her that he would asked me first what he should do. He told her what I may say would be brutal, but it will be best thing to do in the long term. So he asked me about it. He was happy to still drive around in a old Corolla hatch and a old VN Commodore that they owned outright, and they would serve him for a couple of more years. I said the housing market is overpriced, and whilst the interest rates are extremely low, pay as much off his home loan, and when interest rates start going up, then you may see people cannot hold onto their "investment" properties and may soon start selling them off for cheaper that they are now. For every dollar you pay extra in your home loan repayment, you basically save one and half times in interest over of the life of the loan. So he followed my advice and started to smash as much into his home loan. It helped that he was a penny saver in regards to the food shopping, but he and his family still has a few nice things from time to time. However, a couple of years later he needed to replace that old Corolla as it gave up the ghost and was able to get himself a 3yr old Hilux dual cab at a reasonable price. He asked if he should borrow off the home loan, which I said if you do, make sure that you make the repayments as if you had taken out a loan on its own over the 4 years.

 

That was just over 5 years ago when he first asked for this advice, and he had gotten to the point where he cannot put any more money off his home loan (and basically paid back the Hilux monies) due to the terms and conditions of the loan arrangement that his loan broker had arranged. I said that when that period of time is up for that arrangement, bypass his broker as he is only feathering his own pocket, go into one of the local Building Societies (similar to banks which are not owned by shareholders) and get your loan refinanced that you can pay it out as fast as you can. He had borrowed about $390K to buy his home, then used another $40K for the Hilux, and the last time I was speaking to him they owed only about $180K. Basically he had paid $260K plus interest in about 5-6 years, and still has a good lifestyle with his young family. Now that the interest rates are rising, many are starting to feel the pinch on their costs of living, and most of his workmates are feeling it too and are always talking about what they are to do. What is my brother doing? He is now sitting back watching them squirm. He no longer works overtime, and his wife now earns some money working nightfill a couple of days a week, as she wanted to be home with them until they started school. In another 5 years time, he would own his own home outright.

Most jobs in the US don’t require a good credit score rating. But most jobs dealing with finances do. Other jobs like law enforcement, political office, accounting, security, military, and government workers do. They claim that they do this because people with bad credit are more likely to commit fraud or accept a bribe.

 

I also forgot to mention that in the United States, your credit score has the power to dictate where you can live. If you want to live in a nice, upper class neighborhood or rent an apartment in a class A property and send your child/children to a top rated school, you’d better have good credit. If not, you may be forced to live in a bad part of town, always looking over your shoulder because of the crime. 

 

 I agree with you that there’s only two types of debt, necessary and unnecessary and that home and car loans are the only ones that are really excusable. I’ve paid cash for 11 out of the 14 cars I’ve ever owned and only finance a car if I know I can pay it off within a year. 
You gave your brother really good advice. I would have done the same. It’s always good to take extra money you come into and put towards your mortgage or car loan, unless you don’t have a decent emergency fund.

[Cushi]

2 hours ago, Ishaya said:

 

I'm beginning to understand how it is easier to live and survive in Nigeria than abroad.Nigerians abroad always say this but I never got the point,Lol.

 

here in Nigeria you don't need all that requirements to get a good job or to get a good home.in fact I've never seem anyone with a credit card here only debit cards,honestly banks don't even talk about credit cards since people don't care about it.

 

If I have to get a credit card in my locality,I think it will be to build my credit just incase of emergency,which seem very useful regardless of where you live,since people are afraid to lend money to other people this days,it's good to arrange to borrow from your bank in emergency.

 

But I always try to avoid credit,I prefer to save for the rainy days like you rightly suggested.

 

credit score is not used in my place or even talked about,but It seem like a good way to assess someone's ability to pay a debt.

 

I have a question,does poor credit score contribute to the increasing number of homeless people in the US?

 

That’s what I use my credit card for, to build credit and only that. I’ve had my card for over 5 years and have never paid one single penny in interest because I pay it in full every month before the due date. I always say that if a person can’t afford to pay their credit card bills in full every month, then they shouldn’t use it.

 

No, I wouldn’t say that bad credit contributes to the growing homeless population in the US. I would say that drugs and mental illness does. You can pretty much find a place to stay no matter your credit score is… it may not be pretty, though. 

[New World Explorer]

2 minutes ago, *Jack* said:

ou can pretty much find a place to stay no matter your credit score is… it may not be pretty, though. 

Texas anyone? LOL 

[Ishaya]

Can I buy a house in the US even if I don't intend to live there, Just incase I want to visit at anytime I can have a place to stay?

 

I'm sorry if this is off topic.I just thought I could ask it here since you mentioned buying nice apartments in the US.

[Cushi]

11 hours ago, Ishaya said:

Can I buy a house in the US even if I don't intend to live there, Just incase I want to visit at anytime I can have a place to stay?

 

I'm sorry if this is off topic.I just thought I could ask it here since you mentioned buying nice apartments in the US.

No problem. I personally wouldn’t do something like that because you may not have ones to watch over the house when you’re gone. That could lead to burglaries and squatters. It will be cheaper to just get a hotel because you’ll be paying home owners insurance every month, year after year on a house you don’t live in, not to mention the cost to keep the yard work done. 
Also, many states in the US have freezing temperatures during winter. Unless you’re there to leave your faucets on a drip, your pipes may freeze and burst, causing extensive flood damage. It’s not worth it in my opinion. I would just pay for a hotel. You’ll save a ton of money.

[Cushi]

On 7/22/2022 at 5:12 PM, *Jack* said:

I also forgot to mention that in the United States

Also you may not get approved to rent a car in the US if you have bad credit, unless you prepay.

[Ishaya]

20 hours ago, *Jack* said:

No problem. I personally wouldn’t do something like that because you may not have ones to watch over the house when you’re gone. That could lead to burglaries and squatters. It will be cheaper to just get a hotel because you’ll be paying home owners insurance every month, year after year on a house you don’t live in, not to mention the cost to keep the yard work done. 
Also, many states in the US have freezing temperatures during winter. Unless you’re there to leave your faucets on a drip, your pipes may freeze and burst, causing extensive flood damage. It’s not worth it in my opinion. I would just pay for a hotel. You’ll save a ton of money.

 

Thanks Bro Jack,your suggestion is very good.

About home owners insurance, is it compulsory for house owners in the US? because here in Nigeria insurance is a voluntary thing, if you feel you need it.

when you own a house here in Nigeria there are no compulsory bills or taxes attached, its all yours.

[Cushi]

10 hours ago, Ishaya said:

 

Thanks Bro Jack,your suggestion is very good.

About home owners insurance, is it compulsory for house owners in the US? because here in Nigeria insurance is a voluntary thing, if you feel you need it.

when you own a house here in Nigeria there are no compulsory bills or taxes attached, its all yours.

It must be nice living in Nigeria and not having to pay property tax 😁 we’re not legally obligated to have home owners insurance… but if you have a mortgage, your lender most likely will require it just like most car lenders require full coverage insurance if you’re paying a note on the car. Even if you own your home, it’s not wise to not have homeowners insurance here because of storms and any other unforeseen occurrence. 
 

In Texas, the state I live, you can easily pay about $4,500 a year in property taxes on a relatively inexpensive home.

[Cushi]

Here’s some good information on Experience boost, a service offered by Experian.com

 

 

[Cushi]

 

[Cushi]

 

[bobby]

i had credit cards when i was in my 20's. today how ever i don't have any 

 Why don't them, i have had a credit card sense i was in my late 30's

1 i could never own a Home do to be on SSDI 

2 don't drive so i don't need a car 

 

 but thank for the info

[bobby]

On 7/21/2022 at 5:55 AM, Pabo said:

 

 

But in simple terms, live a simple life, and don't get caught up and be enticed by offerings this system offers. 

very true i  do my SSDI check is about 1,500 i spend 1,000 on life bills Rent, Phone, Internet, Food, but being that im also sick the rest go's to medical  

[M.J.]

On 11/10/2021 at 12:12 AM, Tortuga said:

Is this good? 

I thought this was impossible. I've tried to increase my score, wondering if it was possible to get to 850, but several people told me that reaching 850 is purely theoretical, and the system is designed so that no one actually gets that score....847 is very impressive and not easy. I'll never get there because I close unused cards, and in theory you should never close. 

Edited September 18, 2022 by M.J.

[Tortuga]

8 hours ago, M.J. said:

I thought this was impossible. I've tried to increase my score, wondering if it was possible to get to 850, but several people told me that reaching 850 is purely theoretical, and the system is designed so that no one actually gets that score....847 is very impressive and not easy. I'll never get there because I close unused cards, and in theory you should never close. 

I don't pay any attention to it but I checked this morning and Experian is 846, Equifax is 837 and Transunion reports 832. I have no idea why they are that high.

Edited September 18, 2022 by Tortuga

[Cushi]

10 hours ago, M.J. said:

I thought this was impossible. I've tried to increase my score, wondering if it was possible to get to 850, but several people told me that reaching 850 is purely theoretical, and the system is designed so that no one actually gets that score....847 is very impressive and not easy. I'll never get there because I close unused cards, and in theory you should never close. 

It’s possible, but to achieve a credit score of 850, you have to let time pass. Most people with a credit score of 850 have a lengthy credit age. Yes, closing an unused credit card will lower your score. I touched on this in post #10. This is why it’s good to not get credit cards with an annual fee, unless they have really good benefits. I say this because you may get tired of paying the annual fee, regret it, and close the card, leading to a drop in your score. I prefer cash back credit cards with no annual fee that have sign up cash bonuses. That way I get a cash bonus, plus cash back on what I spend, all without paying any interest.

 

A high credit score is achievable nonetheless. My Experian score is 810 without having done the “boost”. I achieved it a little more than 5 years after getting my credit card. It took me about 1 year to achieve a 720 and about another year to get it to 792.

 

 

[Cushi]

2 hours ago, Tortuga said:

I have no idea why they are that high.

How long have you been using credit cards? I ask because you’re an older man, so you have credit age on your side. Plus, you probably have a nice credit mix of installment loans and revolving credit, like a mortgage, car loans and credit card accounts. Plus, I’m sure with scores like that, you probably use 10% or less of your available credit and have excellent payment history. This is probably why your scores are so high  

[New World Explorer]

I have score of 850, don’t know if I care as I do not want any loans.

I buy things for cash, including cars (I save money long term) 

Credit score is highly overrated, as most lenders will still consider your income and tax return as more important.

They call this “financial capacity” 

If you do not meet requirements for financial capacity, having high credit score in Australia is virtually useless. 
 

[Cushi]

6 hours ago, New World Explorer said:

I have score of 850, don’t know if I care as I do not want any loans.

I buy things for cash, including cars (I save money long term) 

Credit score is highly overrated, as most lenders will still consider your income and tax return as more important.

They call this “financial capacity” 

If you do not meet requirements for financial capacity, having high credit score in Australia is virtually useless. 
 

I also prefer to buy things in cash. I only finance things like cars if I’m sure I can pay the loan off within a year. And I agree that lenders want to see financial capacity when considering offering you credit. However, in the United States having good credit is important, no matter how much money you make or whether you apply for loans or not. For example, your credit score will determine whether or not a landlord will rent to you, will influence the amount you pay for car and home owners insurance, will determine whether or not an energy company will give you the best rates or if you’ll have to put down a deposit, will determine whether or not you can finance a new phone and whether or not you can get certain jobs. Credit is very important in the US.

Edited September 19, 2022 by *Jack*

[M.J.]

6 hours ago, New World Explorer said:

I have score of 850

But which credit rating system are you using?

 

https://www.tippla.com.au/credit-scores/credit-scores-in-australia-vs-the-us/

Different scales are used

For credit scores in Australia, Equifax uses a scale ranging from 0 – 1,200 to rank credit scores. Experian and illion use a scale spanning from 0 – 1,000. The FICO system, however, uses a range of 300 to 850. On this scale, anything above 720 is deemed to be an excellent credit score.