710 Credit Score: What does it mean?

A 710 credit score is considered to be good. You can expect to get low rates on credit cards and loans. Lenders see consumers with scores in the good range as being "acceptable" borrowers and may offer them a variety of credit products.

Let’s get started to understand what it means, what you can get with a 710 credit score and how to improve it.

21% of U.S. consumers have credit scores that are considered to be in the "Good" range.

Is 710 a good credit score?

A 710 credit score is considered to be "Good." If you have a 710 credit score, you will likely have no trouble getting approved for a mortgage, auto loan, or personal loan. Lenders prefer to work with borrowers who have good credit score because it is less risky. And it gets even better: repairing your credit is one of the best ways to increase your score, which will in turn unlock even better loan rates that you and your family deserve. In short, a 710 credit score means a good credit rating, many loan options, cheap loan costs, and minimal credit repair.

Good range credit scores by age

The average age of your credit cards and loans is one of the factors that determine your credit score. Therefore, it's not surprising that people with high credit scores tend to be older. However, it's encouraging to know that nearly 25% of people aged 18-24 have credit scores of 700 or higher.

Good range credit scores by income

People who earn at least $50,000 per year are significantly more likely to have a credit score of 700 or above. Those who make between $75,000 and $99,999 per year are in the ideal range for a score that begins with a 7 or 8. But it is possible to have a score in the 700s even if you make less money or to have a much lower score even if you make more money. It all depends on spending within your means.

40% of consumers have credit scores that are lower than 710.

How to get a 710 credit score

There is no one-size-fits-all solution to achieving a specific credit score. However, you can aim to get within a general score range. Even though there are different credit scores and definitions of good credit, there are general principles that can help you build and maintain healthy credit. If you follow these principles over time, your scores will improve, and lenders will see you as a lower-risk borrower.

Here are some practical tips to help you stay on top of the important factors that can affect your credit:

1. Keep your credit utilization rate low

Your credit utilization rate is the percentage of your available credit that you use. It is usually recommended to keep this rate below 30% by using less than 30% of your available credit at any given time. Generally, the less available credit you use (while still maintaining consistent use to help keep the card active), the better.

If you check your credit reports and find that your credit utilization rate is higher than 30%, you have options to lower it, such as paying down debt or increasing your credit limits. To increase your credit limits, you’ll need to ask your current lenders for a limit increase — but be aware that this could result in them doing a hard inquiry on your credit when making their decision.

2. Pay your installments on time

Your payment history is a significant factor in your credit scores. How much a late payment can affect your scores varies depending on how late the payment is and how recently the payment was missed.

But if you consistently pay on time, it can help you build your credit, which could increase your likelihood of being approved for more credit if you need it in the future.

3. Build your credit mix

We generally do not recommend taking out a potentially expensive loan for the sole purpose of building your credit scores. However, having a mix of different types of credit can indeed benefit your scores over the long term. Types of credit include revolving credit (like credit cards) and installment credit (like auto loans and mortgages).

There is one potential downside, however: Applying for new credit can lead to a hard inquiry on your credit reports, which can temporarily lower your scores. While this impact is typically minor, too many hard inquiries in a short period of time can be a red flag to lenders. That is why it is important to have a general sense of how likely you are to be approved before you apply for any new credit cards or loans.

4. Time is needed

The length of your credit history can also have an impact on your credit scores. Having a longer credit history can show lenders that you have more experience using credit.

If you have a line of credit that is expensive to maintain (like a credit card with a high annual fee), you may be considering closing it. However, closing a credit card can negatively affect important credit factors such as the age of your credit history. Carefully weigh your options before making a decision to cancel a credit card.

How to improve your 710 credit score

A credit score of 710 gives you access to many different loans and credit card products. However, if you increase your score, you will have a better chance of being approved for more loans at more affordable terms.

Furthermore, since a 710 credit score is on the middle of the Good range, it is important to be careful with your credit in order to prevent your score from dropping into the Fair range (580-669).

Check your credit score regularly: It is recommended that you check your credit score on a regular basis. Doing so can give you useful insights into your progress as you work to improve your score. Please keep in mind that it is normal for your score to fluctuate from time to time, and what you should be looking for is a general upward trend. If you would like to automate this process, there are various credit-monitoring services available. You may also want to look into an identity theft protection service; these can help to prevent fraud by flagging any suspicious activity on your credit reports.

Avoid high credit utilization rates or debt usage: To avoid lowering your credit score, try to keep your debt usage below 30% across all of your accounts.

Seek a solid credit mix: It is advisable to have a mix of different types of credit. Nobody should borrow money they don't need, but taking on debt in the form of installment loans and revolving credit can actually improve your credit score.

30% of people with credit scores of 710 have at least one late payment (past due 30 days) on their credit report.

Pay your bills on time: It is important to pay your bills on time if you want to improve your credit score. Find a system that works for you and stick to it. Automated tools like smartphone reminders and automatic bill-payment services can be helpful for many people. Others may prefer to use sticky notes or paper calendars. After six months or so, you may find that you don't need help remembering to pay your bills anymore. (Even so, it's a good idea to keep using the system in case you forget.)

Strategies to build 700+, 750+ credit score and above

Your credit score of 710 is already good, but did you know that there are ways to make it even better? A "very good" score (740 and above) can get you the best rates on loans and credit cards. The good news is that it doesn’t take much to improve your credit when you're already in the good range. Pay attention to these credit score factors:

Payment history

One late payment can have a significant impact on your credit score. To avoid the risk of making a late payment, you may want to consider setting up autopay for your credit cards and other bills. For a credit score of 750, an "A" grade indicates that all payments were made on time.

For a 750 credit scorecard Debt Load, a grade of "A" means less than a 0.28 debt-to-income ratio.

Credit utilization

If you want to maintain a high credit score, aim to keep your credit utilization at 30% or below. Utilization below 10% is excellent and will give you the highest score possible, according to VantageScore. If your utilization is higher than you'd like, you can ask your credit card issuer for a higher limit or open a new credit card. Just be careful not to increase your spending, or you'll cancel out the positive effects of having a higher credit limit.

By Collections Accounts and Public Records, a credit scorecard for someone with a credit score of 750+ grade A means zero collections accounts and public records.

Length of credit history

The credit score tends to be better the longer you have been using credit, and the longer your average age of accounts. It is important to remember that a credit score is meant to estimate your risk as a customer, and therefore a long history gives more data to estimate with.

Unless there is a pressing reason, like a high annual fee, it is best to avoid closing credit cards. Another option is to look into doing a product switch to a more suitable card from the same issuer. On the credit scorecard for account age, a grade "B" means that the average account is less than 9 years old.

Credit applications

Every time you apply for credit, there will likely be a hard inquiry on your credit report. This can lower your credit score temporarily, so it's best to space out applications by about six months. If you have fewer than three hard inquiries in the past 24 months, this is considered good (an "A" grade) by credit scoring standards.

Credit mix

It is better for your credit score to have a mix of installment loans (with fixed payments for a set time) and revolving credit (like credit cards). For example, a credit scorecard for 750+ credit score with 4+ account types or 21+ total accounts would be given an "A" for account diversity.

Maintaining a good credit history

The average American consumer has a good FICO® score. With some time and effort, you can increase your score into the Very Good range (740-799) or even the Exceptional range (800-850). Moving in that direction requires an understanding of the behaviors that help grow your score and those that hinder growth.

Late and missed payments have a significant negative impact on your credit score. Lenders prefer borrowers who pay their bills on time, and research shows that people who have missed payments in the past are more likely to default on debt than those who pay on time. If you have a history of making late payments, you can improve your credit score considerably by changing this habit. In fact, 35% of your credit score is determined by whether or not you have late or missed payments on your record.

Your credit utilization rate is a good way to gauge how close you are to "maxing out" your credit card accounts. You can measure it on an account-by-account basis by dividing each outstanding balance by the card's spending limit and then multiplying by 100 to get a percentage. To get your total utilization rate, add up all the balances and divide by the sum of all the spending limits.

Table 1: Utilization rate example

	Balance	Spending limit	Utilization rate (%)
American Express	$1,300	$3,000	43%
Diners Club	$500	$5,000	10%
VISA	$3,000	$12,000	25%
Total	$20,000	$20,000	24%

Credit history: Although other factors play a role, the length of your credit history is one of the main determinants of your credit score. So if you're just starting out, it might seem like there's not much you can do to improve your score. But if you manage your credit carefully and make all your payments on time, your score will gradually increase over time. In fact, the age of credit history can account for up to 15% of your score.

Typically, when you engage in new credit activity, it will have a negative, short-term effect on your credit score. Any time you apply for new credit or take on additional debt, the credit-scoring system assesses that you are at greater risk of not being able to pay your debts. Consequently, your credit score will dip slightly but should rebound within a few months if you keep up with your bills. Because of this factor, it's advisable to "rest" for six months or so between applications for new credit—and to avoid opening new accounts in the months before you plan to apply for a major loan, such as a mortgage or an auto loan. New-credit activity can make up for 10% of your overall credit score.

While public records like bankruptcies don't appear on every credit report, they can still have a significant impact on your score if they are listed. In fact, one or more bankruptcies can outweigh all other factors and severely lower your credit score. For example, a bankruptcy can stay on your credit report for 10 years and may prevent you from getting access to many types of credit for much or all of that time.

If you want to improve your credit score, it's important to have a variety of different types of credit accounts. The FICO® credit scoring system gives higher scores to people who have both revolving credit (like credit cards) and installment loans (like a car or student loans). This is because it shows that you're responsible for different types of credit. Credit mix accounts for about 10% of your credit score, so it's definitely worth considering if you're trying to improve your score.

39% of Individuals with a 710 credit score have credit portfolios that include auto loans and 29% have a mortgage loan.

What does a 710 credit score get you?

Credit Cards For 710 Credit Score

Table 2: What can you get with a 710 credit score

Item	Does 710 credit score qualifies?
No annual fee credit card	Yes
Credit card with 0% financing	Yes
Favorite store’s credit card	Yes
No-foreign-fee credit card	Yes
Airline/Hotel credit card	Yes
Initial credit card bonus	Yes
Any credit card	No
Apartment rental	Yes
Personal loan	Maybe
Mortgage loan	Maybe
Auto loan	Maybe

Benefits from a good range credit score

A credit score that is in the good range may reflect a credit history that is relatively short but has been managed well. Alternately, it may characterize a credit history that is longer and has a few mistakes, such as an occasional late or missed payment, or higher credit usage rates. Lenders see people with scores like yours as individuals who are likely to repay their debts, and most are willing to extend credit to you even though you may not qualify for the best interest rates. Similarly, credit card issuers may not offer you their most generous rewards and bonuses.

Consumers with 710 credit scores have an average of 4.5 credit card accounts.

Can I get a mortgage loan with a 710 credit score?

If you have a credit score of 710, you shouldn't have much trouble getting a mortgage or home loan. Your current score is a mid-to-high credit rating, which is good news. There are multiple types of FICO scores and while mortgage lenders don’t usually use the same one that’s used to make most lending decisions, they will take into account a version of it that doesn’t weigh as heavily on credit utilization. Most lenders will still look at your credit score to get an idea of your creditworthiness. A 710 credit score is also good enough to buy a house. You can even find lenders that will consider you for higher-value homes requiring “jumbo” mortgages. In addition, your credit score is just one of many factors that determine mortgage interest rates. Getting a good rate can save you many thousands of dollars over the life of your loan, so it's definitely worth investigating your options.

Can I get an auto loan with a 710 credit score?

If you have a 710 credit score, you may be wondering if it's good enough to qualify for an auto loan. The answer is: yes, it's relatively cheap to take out an auto loan with a 710 credit score. There isn't as much risk for a car lender when approving a loan for someone with a good credit score (which means you get good rates). So if you're looking to take out an auto loan, a credit score of 710 shouldn't be difficult to achieve. In fact, the best rates for auto loans are typically available to people with good-to-excellent credit scores. However, it's important to note that each lender has its own definition of what “good” credit means. Beyond the base credit-scoring models like FICO and VantageScore, there are also industry-specific scores that lenders could check, such as FICO® Auto Scores. As you research the best credit card for your needs, pay attention to the score required. Since each application can temporarily nip a few points off your score, you want to make sure you're likely to be approved before applying. But don't worry – you should find plenty of choices of credit cards for a 710 score.

Can I get a credit card with a 710 credit score?

If you have a good credit score, you may be eligible for credit cards with great perks like cash back, travel rewards, or an introductory 0% APR offer. However, the best and most exclusive credit cards may still be out of reach if you only have "good" credit. You may need excellent credit to be approved for these cards. Therefore, there is still room for improvement if that is your goal. Having a credit score of 710 would still give you access to travel rewards credit cards, though you usually need to have a very good or excellent credit score to get a luxury credit card.

You can get even better terms on your loan or credit card by repairing your credit and waiting a few short months until your score improves. A 710 score means you likely have a few negative items on your report. Removing any outstanding negative items (or hard inquiries) is usually the quickest way to fix your report.