How Long Does It Take to Build Credit from 600 to 700? A Complete Guide

Improving your credit score from fair to good takes time and effort. But the payoff for reaching a score of 700 can be huge – unlocking better loan terms, lower interest rates, and more financial opportunities.

This complete guide will tell you everything you need to know to get from 600 to 700.

Why Is 700 an Important Milestone?

A score between 600 and 649 on the FICO and VantageScore systems is considered “fair,” and a score between 700 and 749 is considered “good.” Lenders will see that you are a lower-risk borrower when your score goes above 700, which opens doors that may have been closed at 600.

Specifically, a 700 credit score can get you:

• Lower interest rates on credit cards, auto loans, and mortgages. In the long run, even a small rate cut can save a lot of money.

• Improved approval odds and better terms for top-tier credit products. The best deals from lenders are only given to people with good or excellent credit.

• Larger credit limits and loan amounts. A higher score means more buying power and flexibility.

• No need for security deposits when renting an apartment or starting new utilities. Landlords and utility companies often require deposits for applicants with sub-700 scores.

• More options and negotiating leverage You’ll have your pick of lenders competing for your business,

Boosting your score to 700 lays the groundwork for financial growth. So what does it take to make the climb?

Key Factors That Influence Your Credit Score

Before outlining the timeline to 700, it’s important to understand what goes into calculating your credit score. The FICO and VantageScore models both use versions of the following factors:

Payment History (35%): Making monthly payments on time is crucial. Just one 30 or 60 day late can hurt.

Credit Utilization (30%): Keeping balances low compared to limits shows responsibility. Shoot for less than 30%.

Credit Age/History (15%): More established credit histories score better. Don’t close old accounts unnecessarily.

Credit Mix (10%): Having different types of credit (credit cards, auto loans, mortgage) is ideal.

New Credit (10%): Opening many new accounts quickly can lower your score if not managed prudently. Space out applications.

With this foundation, let’s explore how long it takes to move from 600 to 700.

What’s A Realistic Timeline to Boost Your Credit from 600 to 700?

The journey from 600 to 700 takes diligence and patience. Most people find it takes 12 to 18 months of consistent effort to increase their score within that range. However, your specific situation and starting score within the “fair” band affects your timeline.

Here are general guidelines based on where you’re starting:

• Starting in the Very Low 600s: Plan for 18 to 24 months if you’re beginning with a score like 620 or 630. You have more points to gain and likely more negative items to resolve. But the impact of each positive action will be greater.

• Starting in the Mid 600s: If you’re in the 650-670 range, aim for about 12 to 18 months to reach 700. With less damage to repair, you just need to demonstrate healthy credit habits.

• Starting Near the High 600s: Beginners with scores around 680 or 690 could hit 700 within 6 to 12 months by continuing responsible credit behaviors.

While not exact, these timeframes set realistic expectations based on your starting score. Now let’s look at how to maximize your credit boosting efforts.

How to Fast Track Your Credit Improvement to Reach 700

Though no magic formula can get you to 700 overnight, certain steps help expedite your credit’s recovery:

1. Review credit reports and dispute errors. Inaccuracies like closed accounts listed as open or debts paid long ago can drag down your score. Dispute mistakes with the credit bureaus.

2. Pay all bills on time. Payment history is the biggest factor in your score. Set up autopay and calendar reminders to never miss payments.

3. Lower credit utilization. Keep balances below 30% of limits, with lower being better. Pay down balances aggressively and consider spreading charges between multiple cards.

4. Hold off on new credit. Each application causes a hard inquiry that dings your score a few points. Let your score recover before taking on new credit.

5. Become an authorized user. Ask a family member with great credit to add you to a longstanding account. Their good history can be shared.

6. Monitor credit regularly. Sign up for free monitoring services to track your progress. Make course corrections as needed.

7. Let time work for you. As the impact of missteps fades and the effects of responsible habits accumulate, your score naturally increases.

With diligence across these areas, you can shave months off your 700 timeline. Though not an overnight process, your efforts will be rewarded.

Month-to-Month Credit Improvement Roadmap

If you’re starting with a score in the low 600s, what might your journey to 700 look like month to month? Here is an example roadmap:

Month 1: Review credit reports and dispute any errors. Begin paying all bills early or on autopay.

Months 2-3: Score starts slowly improving as on-time payments are recorded. Credit utilization decreases as balances are paid down.

Months 4-6: With 6+ months of perfect payment history, score rising faster. Utilization now below 30%.

Months 7-9: Credit mix expands with addition of an installment loan or new credit card. Score hits 650.

Months 10-12: All negative items have aged past the 12 month mark so impact is decreasing. Score crosses 675.

Months 13-15: Consistent good habits continue improving score. Mistakes from 2+ years ago now only faintly impact score. Approaching 700.

Months 16-18: Score reaches 700+! Continue good habits to lock in creditworthiness. Milestone achieved through steadfast effort.

With a concrete timeline, you can anticipate progress, celebrate small wins, and stick with credit-boosting behaviors until you cross the 700 finish line. Then you can look ahead to the next goal – a 750 or 800+ score!

Maintaining Good Credit After Reaching 700

Congratulations – you’ve achieved your 700 credit score! But the work doesn’t stop here. Reaching 700 is just the first step to unlocking the full benefits of excellent credit over your lifetime.

Here are tips to maintain your hard-earned score:

• Review credit reports quarterly and continue disputing errors
• Use credit cards lightly and pay balances in full each month
• Only apply for new credit as needed, not just for perks
• Set up automatic payments to avoid ever missing payment deadlines
• Keep longest-open credit accounts open and active

With sustained diligence, a 700 score opens doors to the prime credit opportunities – lower rates, bigger loans, and premium rewards – that enable borrowing power for life’s biggest purchases and dreams.

The Journey to 700 Is Worth the Effort

The climb from a fair credit score of 600 to a good credit score of 700 takes time, effort, and commitment. But persistently demonstrating responsible habits allows your score to steadily improve month after month. Plan for 12-18 months if you’re starting in the low 600s. But you could reach the milestone faster when beginning with a higher baseline score.

Stick with credit-boosting behaviors like lowering utilization, making timely payments, and limiting new credit. With diligence across these areas, you can shave months off your 700 timeline. Though not an overnight transformation, your efforts will be rewarded as your credit profile reflects lower and lower risk.

Crossing the 700 threshold unlocks better loan terms, lower interest rates, and financial opportunities. And maintaining your new score opens doors to prosperity for years to come. The journey brings valuable skills that enable borrowing power when you need it most. Your bright financial future is within reach!