Your credit score ranges from 300 to 850. There are technically many types of credit scores, and not all of them use this scale, but the most popular ones do. That includes the FICO® Score system, which is what's most widely used by lenders.
Since higher scores are better, an 850 is a perfect score. It's also notoriously difficult to reach. While improving your credit score isn't too difficult, getting the highest possible score is. It takes many years and quite a bit of work managing your credit.
So, just how rare is it to have a perfect credit score? A credit score study by The Motley Fool Ascent has the answer. After we look at that, we'll also cover why perfection isn't necessary when it comes to your credit score.
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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. Millennials, on the other hand, make up just 4.1%, and Generation Z a mere 0.1%.
In terms of actual numbers, there were 258 million credit-eligible people as of the 2020 U.S. Census. However, some adults don't have enough data on their credit history for FICO to be able to calculate a score for them. They're considered "credit invisible."
FICO data scientists have estimated that 232 million U.S. consumers could be scored under the FICO® Score system. Based on that number, about 3.04 million Americans would have an 850 credit score.
Nobody needs perfect credit
The financial benefits of perfect credit are the same as having very good credit. The only special thing about perfect credit is bragging rights -- but showing off an 850 probably isn't going to make you the life of the party.
In terms of how high your credit score needs to be, a FICO® Score of at least 760 is fine. At that point, your score is high enough to pass any credit check, qualify for any financial product, and get the lowest rates on loans. You'll likely be able to qualify for all these:
- Best credit cards
- Low-interest mortgages
- Low-interest personal loans
To be clear, no credit score guarantees you'll be approved for whatever you want. You can still get denied for a credit card or mortgage with a 760 credit score, or an 850. Lenders look at much more than just your credit score. But once you have a FICO® Score of 760, your credit won't hold you back from anything.
To sum it up, an 850 credit score is a lot of work for no real reward. A high credit score is beneficial, but an 850 isn't necessary.
How to improve your credit score
If it's not where you want it to be yet, here are a few tips that will help you raise your credit score:
- Have at least one credit card you use regularly. To build credit, you need to borrow money and pay it back. A credit card is one of the best ways to do this. If you pay your full balance every month, you don't get charged credit card interest.
- Always pay your bills by the due date. Your payment history is the most significant factor in your credit score. A late payment (meaning one that's past due by 30 days or more) on a credit card or loan can severely damage your credit.
- Keep your balance below 30% of your credit limit. For example, if your card has a limit of $10,000, aim to always have the balance below $3,000. Another important part of your credit score is your credit utilization ratio, and using too much of your credit can cause issues.
- Be selective when applying for new credit cards and loans. Opening new accounts and applying for new credit cards can lower your credit score. When you're trying to improve your credit, it's best to keep these to a minimum.
Some people think building credit is complicated, but it's really not. If you follow those habits, you can make fast progress with your credit score.
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FAQs
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.
Who has 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.
How rare is 825 credit score? ›
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 an 830 credit score? ›
Your score falls in the range of scores, from 800 to 850, that is considered Exceptional. Your FICO® Score and is well above the average credit score. Consumers with scores in this range may expect easy approvals when applying for new credit. 21% of all consumers have FICO® Scores in the Exceptional range.
Is there a difference between 800 and 850 credit scores? ›
Just getting your credit score over 800, officially an excellent credit score, gives you the same advantages and benefits that come with a perfect credit score. Experian reports that 21 percent of all consumers have achieved excellent credit, compared to just 1.6 percent with a perfect 850 credit score.
Is a 1000 credit score possible? ›
A credit score of 1,000 is not possible because the standard credit score range used by FICO and VantageScore is 300 to 850. Other credit scoring models have a high of 900 or 950, but they are industry-specific and only used by certain financial institutions.
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 rare is an 840 credit score? ›
Your 840 FICO® Score falls in the range of scores, from 800 to 850, that is categorized as Exceptional. Your FICO® Score is well above the average credit score, and you are likely to receive easy approvals when applying for new credit. 21% of all consumers have FICO® Scores in the Exceptional range.
What is a good credit score by age? ›
How Credit Scores Breakdown by Generation
| Average FICO 8 Score by Generation |
|---|
| Generation | 2022 | 2023 |
|---|
| Generation Z (ages 18-26) | 679 - Good | 680 - Good |
| Millennials (27-42) | 687 - Good | 690 - Good |
| Generation X (43-58) | 707 - Good | 709 - Good |
2 more rowsBorrower risk profiles
- Deep subprime (credit scores below 580)
- Subprime (credit scores of 580-619)
- Near-prime (credit scores of 620-659)
- Prime (credit scores of 660-719)
- Super-prime (credit scores of 720 or above)
An 830 credit score is often considered very good — or even excellent. With excellent credit, your credit scores become more of a bridge and less of a roadblock — a high score can help you qualify for premium rewards credit cards, auto loans and mortgages with the best terms.
How do I go from 830 to 850? ›
Payment History
To get to the magic 850 mark, you'll need to have a glistening history of never missing a credit payment deadline. Yes, that's easier said than done, but if you can build a perfect credit payment history of five years (great) or 10 years, you're in the "credit conquering" club.
How many Americans have a credit score of 830 or higher? ›
Less than 21% of people have a credit score in the 800-850 range.
How rare is an 850 FICO 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 the average credit score in America? ›
The average FICO credit score in the US is 717, according to the latest FICO data. The average VantageScore is 701 as of January 2024. Credit scores, which are like a grade for your borrowing history, fall in the range of 300 to 850.
What percentage of people have a credit score over 825? ›
But according to Experian data captured as 2023 came to a close, nearly 22% of consumers have a FICO® Score in the highest credit score range—800 to 850. Consumers with scores in this range are considered to have exceptional credit.
How many people have a perfect 900 credit score? ›
It's exceedingly rare for anyone to have a credit score over 900, as most credit scoring models have a maximum limit of 850, and even achieving that score is uncommon.
Who has had the highest credit score? ›
Pavelka, 56, has a credit score of 848 out of 850. The letter he got from the credit bureau recently said his score "ranks higher than 100 percent of U.S. consumers." That makes Pavelka a financial anomaly. While an 848 isn't a perfect score, it's as high as most experts have ever seen.
Who has a 999 credit score? ›
A credit score of 999 from Experian is the highest you can get. It usually means you don't have many marks on your credit file and are very likely to be accepted for a loan or credit card.
Who has the lowest credit score? ›
Mississippi has the lowest average FICO credit score, with an average FICO score of 673.
