FICO Score: Getting Your FICO Credit Score

Your FICO score is a three-digit number that was devised by Fair Isaac Corporation as a means for creditors/lenders to gauge your credit worthiness. While there are other types of credit ratings out there, FICO is the most important simply because it is what most lenders use to qualify you for credit.

Caution: Don't be duped into believing that you can obtain a true FICO score for free, as most ads claim. Those ads make this claim just to get you to their website, and then and then try to sell you other services such as monitoring services.

Where to Get Your True FICO Score

Unlike your credit report that you can get free once a year, you have to pay for your credit score. And, you don't want any score; you want your FICO score.

Currently, only two companies offer the true FICO score to consumers;

MyFico: This is the official site for obtaining this all important score, owned by Fair Isaac Corporation, creator the FICO score. They also offer credit reports from all the three major bureaus. Unfortunately Experian, one of the major credit bureaus has since decided to stop supplying data to MyFico. You therefore cannot get your Experian credit report or Experian FICO score at MyFico.

Equifax: The only major credit reporting agency that supplies the true FICO score directly to consumers. Equifax is the only place you can get 3-in-1 credit report and FICO score.

FICO Score Ranges and How They Affect You

So, what is a good credit score? What are the FICO credit score ranges? The numbers differ from lender to lender, but here are some general guidelines:

720 or above: You have great credit and will qualify for the best loans and interests rates reserved for borrowers in the upper prime level. Lenders are virtually knocking on your door.

700-719: You have excellent (prime level) credit and are considered low risk. But there's room for improvement and might not get the best interest rates.

660-699: You have fair to good credit. You might qualify for good rates but not prime rates. The rates you get might also depend on the strength of the rest of your credit report.

620-659: You have weak credit and are greater risk. You will have to pay higher interest rates and terms will be more stringent.

Below 620: You have poor credit. Interest rates will be high, if you get any loan or credit at all. Terms will be horrible and you are prime-cut for predatory lenders.

Note: It matters little whether you gain or lose a few points here and there. Perfect credit is not even all that important. What matters is the range you're in - just aim for the next range up and keep at at till you get to the top range or as close as you can.