While having a credit score of 850 is nice for bragging rights, it’s not really necessary to get the best deals on mortgages and other credit.
CNBC reports that, according to experts in the field, a credit score of 760 is just as good as a score of 850 for most consumers.
John Ulzheimer, formerly of FICO and Equifax, told CNBC Select that the best published rates for car loans are offered to people with a credit score north of 720, and for mortgages, 760 is the target to aim for.
Jim Droske, president of the credit counseling company Illinois Credit Services, agrees that the 760 threshold is accurate, but if you can tick that up to 780, you’re in the “safest” position for credit approval.
Even FICO says that a perfect score isn’t something to stress over. Ethan Dornhelm, VP of FICO scores and predictive analytics, said that for lenders, a score of 800 is “sparkling”.
And if you don’t have a perfect score, you’re certainly not alone. Only 1.9 percent of the population can boast of a FICO score of 850.