What Is a Perfect Credit Score?

What Is the Highest Credit Score You Can Have?

The highest credit score you can have in the base FICO^® Score and VantageScore credit scoring models is 850. Both base FICO^® Scores and the most recent VantageScore credit scores range from 300 to 850.

In addition to the base scores, which are designed to be used by any type of lender, FICO also has industry-specific credit scoring models for auto lenders and credit card companies. These scores, which aren't used for general credit decisions, range from 250 to 900.

Learn more: Which Credit Score Is Most Important?

How Are Credit Scores Calculated?

Individual credit scores are calculated using information from one of your credit reports at the three national credit bureaus (Experian, TransUnion and Equifax). Credit score providers use specialized software to analyze credit report data such as your payment history, recent credit applications and credit account balances.

Each credit scoring model works differently, but all of them assign you a three-digit credit score that reflects how likely you are to repay future loans on time. Lenders use your credit score to help determine how risky you are as a borrower.

Learn more: How Often Is My Credit Score Updated?

What Are the Factors That Affect Credit Scores?

The following factors, in order of influence, help determine your credit scores.

• Payment history: Paying your bills on time is the single biggest factor in your credit score. Late or missed payments can harm your score, and delinquent accounts—those 90 days or more past due—can hurt it even more. Payment history accounts for 35% of your FICO^® Score.
• Credit usage: Your credit utilization ratio reflects how much credit you're using relative to your total credit limits. You can calculate this by adding up the balances on your revolving credit accounts (such as credit cards) and dividing the result by your total credit limit. If you owe $4,000 on your credit cards and have a total credit limit of $10,000, for instance, your credit utilization rate is 40%. Lower utilization is better; those with the best credit scores typically keep credit utilization under 10%. Credit usage is responsible for 30% of your FICO^® Score.
• Length of credit history: Lenders like to see a solid track record of managing credit well. Generally, a longer credit history helps increase your credit score. Keeping old credit card accounts open, even if you aren't using them, can help improve your length of credit history. Length of credit history accounts for 15% of your FICO^® Score.
• Credit mix: Maintaining a mix of installment credit (loans with fixed monthly payments, such as auto loans) and revolving credit (such as credit cards) can benefit your credit score by showing lenders how well you manage different types of credit. Credit mix accounts for 10% of your FICO^® Score.
• Recent credit applications: Applying for credit triggers a hard inquiry when your lender checks your credit report. Hard inquiries typically cause a temporary, minor drop in your credit scores, but if you keep paying your bills on time, your scores typically rebound quickly. Recent credit applications can account for 10% of your FICO^® Score.

Tip: Checking your own credit report is known as a soft inquiry, which doesn't affect your credit scores.

Learn more: How Do I Check My Credit Score?

Benefits of Perfect Credit

A perfect credit score is a lofty goal, but you don't need a score of 850 to qualify for the lowest interest rates, highest credit limits or best credit card perks. Any FICO^® Score in the exceptional range (800 or greater) generally gives you the same benefits as a perfect FICO^® Score, including:

• Low-interest credit and loans: If you have an exceptional FICO^® Score, you'll likely have your pick of multiple low-interest loan and credit card offers. Since one percentage point less on a mortgage loan can save you tens of thousands of dollars over the life of the loan, that can mean major savings.
• Higher borrowing limits: With an exceptional credit score, you can expect higher spending limits on new credit cards, and can even get increased limits on current credit accounts. Higher limits make larger purchases possible and allow you to carry larger short-term balances without negatively impacting your credit score.
• Top rewards credit cards: An exceptional FICO^® Score can help you qualify for credit cards that offer cash back, travel points and other incentives and bonuses. Card issuers reserve their most appealing offers for borrowers with top-notch credit, and rewards cards can help you save big on air travel, lodging, car rentals, purchases and more.
• Insurance discounts: Some insurance companies factor in credit scores when determining monthly premiums for home and auto insurance. An exceptional score could help you save on coverage.
• More housing options: When screening tenants, landlords may use credit scores to assess your financial responsibility. An exceptional credit score could help you rent a house or apartment and spare you from paying a large security deposit.
• Security deposit savings: A utility company may check your credit report to determine if you're likely to pay your bills on time. With an exceptional credit score, you may not need to pay a security deposit when you sign up for service.

Learn more: How High Does Your Credit Score Really Need to Be?

Frequently Asked Questions

The Bottom Line

You likely have dozens, if not hundreds, of credit scores, all with somewhat different criteria for excellence. Fortunately, the same actions that can improve one of your credit scores tend to help all of them. When it comes to your credit score, consistently practicing good credit habits is more important than reaching a specific number.

Regularly checking your credit report and score is a good habit to get into. You can get your FICO^® Score for free from Experian to find out which factors impact your credit score. You'll also see what you can do to improve your credit score—and possibly reach perfection one day.