825 Credit Score: Is 825 a good credit score? - Upstart Learn (2024)

At Upstart, we believe you’re more than your credit score. Your credit score is simply a number based on the information in your credit report, and doesn’t consider anything else. Having said that, it can still be a great idea to know what your credit score is and what it could mean to you.

While there is no universal definition of an “excellent” credit score, virtually all lenders would consider your 825 FICO Score to be in that category. Here’s a rundown of what this credit score means to you, different types of lenders, and how to make sure your 825 credit score stays in the top tier for years to come.

What does an 825 credit score mean?

In short, an 825 credit score puts you in the top tier of U.S. consumers in the eyes of lenders. In the widely used FICO credit scoring model, scores range from 300 to 850. The average credit score was 714 in 2021. Fewer than one-fourth of U.S. adults have credit scores of 800 or higher.

Generally speaking, it takes a rather long history of responsible credit behavior to build your score to this level. A credit score of 825 tells lenders that you are highly likely to pay back money that you borrow. According to a 2019 study by FICO, far fewer than 1% of borrowers with a FICO Score of 800 or higher become seriously delinquent on loan obligations such as credit cards or installment loans.

With all of that in mind, it’s important to keep in mind that your credit score is just one part of your overall financial well-being, and it is often not the only thing lenders look at when evaluating a loan application. At Upstart, our model looks at more than 1,000 data points when evaluating personal loan applicants, including factors like education¹, employment, and more.

Buying a home with an 825 credit score

To be perfectly clear, you don’t need a top-tier credit history to qualify for a mortgage. Even the most restrictive mortgage products have credit score requirements in the mid-700s.

A credit score of 825 will generally qualify you for a lender’s best interest rates. As a real-world example, the average 30-year fixed mortgage interest rate was just over 7% as of late October 2022. However, the average rate paid by a homebuyer whose FICO credit score was 760 or higher was 6.583%.

This might not sound like a huge difference but consider this. Let’s say that you’re buying a $500,000 home with a 20% down payment, so you’re borrowing $400,000. The typical borrower with top-tier credit would save about $59,000 over the term of a 30-year mortgage compared with someone with a good credit score of 670.

Buying a car with an 825 credit score

You could get an auto loan even if you have bad credit. But just like with mortgages, having an excellent credit score like 825 should qualify you for the best rates a lender can offer, assuming your income and debt situation is acceptable. And with auto loans, your high credit score can make even more of a difference.

On a 60-month new car loan, the average borrower with a credit score of 720 or higher gets a 5.52% APR as of October 2022. With a score in the 660-689 range, the average rate is 9.14%. With a “fair” score of 600? You’re looking at an average rate of nearly 16%.

Getting a credit card or personal loan with an 825 credit score

Most credit card issuers don’t have a formal “minimum” credit score they’ll accept, and most that do have a cutoff don’t make it public. However, an exceptional credit score of 825 should qualify you for pretty much every credit card offer. This also depends on meeting the credit card issuer’s other requirements—for example, some won’t open a new credit card if you’ve applied for too many other credit cards recently, regardless of your score.

To qualify for a personal loan, you don’t need such a high credit score, but it can certainly help you access a lender’s best rates and loan origination fees.

Tips for maintaining your excellent credit score

As we’ve mentioned several times, we believe you’re more than your credit score. But that doesn’t mean your exceptional credit score isn’t something to be proud of.

Since you’ve already reached the realm of exceptional credit, your focus should be on maintaining your credit score in order to continue to receive the best interest rates and loan terms. First and foremost, you should keep an eye on your credit score regularly and monitor your credit report. You can obtain a free copy of your credit report from each major credit bureau once a year at www.annualcreditreport.com, and there are several excellent credit monitoring services that can alert you as soon as something changes with any of your credit reports.

While some of these might sound obvious, here are the best things you can do in order to keep your score at the top end of the credit score ranges.

Keep paying your bills on time

If you have an 825 credit score, there’s a good chance that you don’t even have a single late payment on your credit report. Maintaining a flawless payment history on every credit account you have is the single most important factor in maintaining your elite credit score. Setting up automatic payments on your loan accounts can help you achieve this.

Maintain a low credit utilization

According to Kiplinger, the average person with a FICO Score of 795 or higher uses only 7% of their available revolving credit lines (credit cards, HELOCs, etc.). By keeping your amounts owed low as a percentage of your available credit, you’ll put yourself in a great position to maximize your top-tier credit score.

Let your accounts age

When building credit, time is your best friend. By simply letting your accounts age, your credit score can improve. The average credit card account of someone with a FICO Score in the 800 to 850 range has been open for nearly 12 years, so keep this in mind before you consider closing any unused credit lines.

Only apply for new credit if you need it

The average consumer with excellent credit filled out their latest application nine months ago. Credit inquiries from the previous 12 months can have a damaging effect on your credit score, and while a single credit inquiry isn’t likely to move your score by more than a few points, excessive inquiries can have a big impact.

The bottom line on your 825 credit score

We believe there is much more to being a great consumer than having a high credit score, but it’s still important to protect the excellent credit history you’ve already built. With smart personal finance behavior, it is certainly possible to maintain your credit score in the 800+ range for years, or even decades to come. Excellent credit is one of the best financial tools you can have, so it’s important to protect it.

825 Credit Score: Is 825 a good credit score? - Upstart Learn (2024)

FAQs

825 Credit Score: Is 825 a good credit score? - Upstart Learn? ›

Membership in the 800+ credit score club is quite exclusive, with fewer than 1 in 6 people boasting a score that high, according to WalletHub data.

How rare is a credit score of 825? ›

Membership in the 800+ credit score club is quite exclusive, with fewer than 1 in 6 people boasting a score that high, according to WalletHub data.

Can I get a loan with an 825 credit score? ›

A credit score of 825 will generally qualify you for a lender's best interest rates. As a real-world example, the average 30-year fixed mortgage interest rate was just over 7% as of late October 2022. However, the average rate paid by a homebuyer whose FICO credit score was 760 or higher was 6.583%.

What interest rate can I get with a 825 credit score? ›

A Higher FICO Score Saves You Money
760-8506.968 %
700-7597.19 %
680-6997.367 %
660-6797.581 %
640-6598.011 %
3 more rows

What can you do with an 825 credit score? ›

An 825 credit score is often considered very good — or even excellent. A very good or excellent credit score can mean you're more likely to be approved for good offers and rates when it comes to mortgages, auto loans and credit cards with rewards and other perks.

How to increase credit score from 825 to 850? ›

Pay all your bills on time

One of the easiest ways to boost your credit is to simply never miss a payment. The biggest share of your FICO credit score — 35% — is based on how often you make minimum debt payments on time, whether that's for a credit card, personal loan or auto financing.

Does anyone have a 900 credit score? ›

While older models of credit scores used to go as high as 900, you can no longer achieve a 900 credit score. The highest score you can receive today is 850. Anything above 800 is considered an excellent credit score.

What credit score do I need to buy a house with no money down? ›

Eligible borrowers typically include those with debt lower than 41 percent of income, a fairly good credit score above 620, no previous home ownership in the last 36 months, primary residence intent for the property being bought, and the overall financing is 97 percent maximum.

What is a good credit score to buy a house? ›

Some types of mortgages have specific minimum credit score requirements. A conventional loan requires a credit score of at least 620, but it's ideal to have a score of 740 or above, which could allow you to make a lower down payment, get a more attractive interest rate and save on private mortgage insurance.

What is the most accurate credit score? ›

The most accurate credit scores are the latest versions of the FICO Score and VantageScore credit-scoring models: FICO Score 9/10 and VantageScore 3.0/4.0. It is important to check a reputable, accurate credit score because there are more than 1,000 different types of credit scores floating around.

What mortgage rate can I get with a credit score of 826? ›

Buying a home with an 826 credit score

As a real-world example, the average 30-year fixed mortgage interest rate was just over 7% as of late October 2022. However, the average rate paid by a homebuyer whose FICO credit score was 760 or higher was 6.583%.

Can I get 0 APR with 800 credit score? ›

The exact credit score you might need to qualify for a 0% APR loan varies depending on your situation. Many lenders require a minimum score of at least 700. Others require excellent credit scores, such as 720, 750, or even 800.

How much will my credit score go up if I pay off my credit card? ›

If you're close to maxing out your credit cards, your credit score could jump 10 points or more when you pay off credit card balances completely. If you haven't used most of your available credit, you might only gain a few points when you pay off credit card debt.

How many people have 830 credit scores? ›

Less than 21% of people have a credit score in the 800-850 range. An 800+ credit score, such as 835, is considered perfect credit, indicates a borrower uses credit responsibly, and qualifies the person for the best loan and credit card terms.

How rare is an 800 credit score? ›

How rare is an 800 credit score? An 800 credit score is not as rare as most people think, considering that roughly 23% of adults have a credit score in the 800-850 range, according to data from FICO. A score in this range allows consumers to access the best credit card offers and loans with the most favorable terms.

How many people have an 850 credit score? ›

In the U.S., only about 1.7 percent of the scorable population had a perfect 850 FICO credit score in April 2023, according to FICO data. This suggests that for most people, a perfect score is simply too hard to reach — but it also suggests that it's not really necessary, either.

How rare is an 850 credit score? ›

How many Americans have an 850 credit score? Only 1.31% of Americans with a FICO® Score have a perfect 850 credit score. While a score this high is rare among any demographic, older generations are more likely to have perfect credit. Baby boomers make up a whopping 59.4% of the people with an 850 credit score.

What is a rare credit score? ›

If you have a FICO credit score over 800, your credit is considered exceptional — and, 24.1 percent of the scorable population had credit scores in the 800 to 850 range in April 2023, according to FICO. So, while getting an 850 credit score is difficult, a score above 800 seems like a more achievable goal.

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