What Is a Good Credit Score?

You are probably here because you want to know what is a good credit score and how it compares to your own. GetCreditScore can give you instant access to your credit report overview to help you assess your eligibility for credit products and services. 

Equifax calculates your credit score based on the information from your credit report – a document that contains an extensive record of your credit history. We can help you obtain a copy of this file so that you can find out how to improve your credit score.

It is also a good idea to monitor your credit rating to ensure that everything is in order. You may think you have a clean record, but a default from several years ago may still be impacting your rating.

Availing of our services does not affect your credit score rating in any way since it is not a hard enquiry. Moreover, we use cutting-edge encryption and identity verification technology to ensure that your information is secure.

GetCreditScore can help you find out what your credit score is in a matter of minutes. If you have ever applied for a loan or credit card before, you are entitled to request a copy of your credit report. Sign up today and get access to exclusive offers on premium credit services, including credit cards, personal loans, car loans, home loans, business loans, and insurance policies!

What is a good credit score?

Equifax rates credit scores on a scale and classifies credit report holders as follows (these score ranges are approximate since they change regularly):

• Excellent (≈841–1,200): This rating range is the epitome of what is a good credit score. The people in this cluster are some of the most influential consumers in Australia. They are very unlikely to face an adverse financial circumstance – such as a default or bankruptcy – over the next year. Therefore, if you fall into this range, most credit providers would be glad to offer you credit with favourable terms and interest rates.

• Very Good (≈756–840): You are twice as likely to maintain a clean credit report over the next year than the average consumer if your credit score is in this range. You should have no trouble taking out a loan as long as the terms align with your budget. If you want to score even higher, you can limit the number of credit applications you make to reduce the enquiries on your credit report.

• Good (≈666–755): Those who have credit scores in this range are more likely to keep a clear credit report over the next year than the average consumer. A good credit rating is fairly healthy and indicates to lenders that you are not prone to major financial setbacks. You may move up a classification if you make your payments on time and limit your credit applications. 

• Average (≈506–665): You are likely to experience an adverse financial circumstance over the next year if your credit score is in this range. It is not indicative of a serious financial setback, but lenders may view you as a riskier borrower than those who rank in higher classifications. If you tighten up on your credit behaviour, you should see improvements in your credit rating over time.

• Below Average (≈0–505): Those who have credit scores in this range are the most likely to experience an adverse financial circumstance over the next year. Your credit report may contain a string of negative data that caused your credit score to plummet. You should work on clearing defaults and paying your bills on time to raise your credit rating.

Unaware of your credit score? We can help you find out!

GetCreditScore can get your credit score in a matter of minutes. All you have to do is complete a quick form, and we can handle the rest. Sign up now!

Why is having a good credit score is important?

Your credit score and credit report are the two main variables credit providers consider when evaluating your application. This information gives them a sense of how reliable you are as a borrower based on your credit history. 

While others aren’t keeping track of what is a good credit score, you can increase your negotiating power by taking measures in improving yours so you can be perceived as a low-risk applicant. That means your approval chances are higher than applicants who have lower ratings. It also gives you leverage when negotiating terms and interest rates for your credit accounts.

If you have a bad credit score, it is not the end of the world. There are alternative lenders who specialise in credit products and services for people with bad credit. Moreover, you can take the necessary steps to improve your credit score and qualify for better deals.

Now that you know what is a good credit score, find out how yours fares! Sign up now!

How to maintain a good credit score?

Equifax uses proprietary algorithms to calculate your credit score from the information on your credit report. This information includes your credit account history and repayment history. 

The implementation of the Comprehensive Credit Reporting system gives you more control over your credit score. As long as you pay your obligations on time and demonstrate good credit behaviour, you should see your rating increase in no time. So sign up now and see how your rating stacks up to what is a good credit score!
 

Disclaimer: The information contained in this article is general in nature and does not take into account your personal objectives, financial situation or needs. Therefore, you should consider whether the information is appropriate to your circumstance before acting on it, and where appropriate, seek professional advice from a finance professional such as an adviser.